Net loss per share

12 Months Ended

Dec. 31, 2022

Note 11. Net Loss per Share

Basic net loss per share is computed by dividing net loss by the weighted-average number of common shares outstanding during the period. Diluted net loss per share is computed by dividing net loss by the weighted-average number of common shares outstanding and dilutive potential common shares that would be issued upon the exercise or vesting of common stock awards and exercise of common stock warrants that are not pre-funded. Potential common shares that are issuable for little or no cash consideration at issuance, such as the Company’s pre-funded warrants issued in March 2022, are considered outstanding common shares and are included in the calculation of basic and diluted net loss per share in accordance with ASC 260 Earnings Per Share. The Company applies the two-class method to calculate basic and diluted net loss per share as the 2022 common warrants issued in March 2022 are participating securities. However, the two-class method does not impact the net loss per share of common stock as the 2022 common warrants issued in March 2022 do not participate in losses. For the years ended December 31, 2022 and 2021, the effect of issuing the potential common stock is anti-dilutive due to the net losses in those periods and therefore the number of shares used to compute basic and diluted net loss per share are the same in each of those periods.

The following potentially dilutive securities outstanding have been excluded from the computations of diluted weighted-average shares outstanding because such securities have an antidilutive impact due to losses reported (in common stock equivalent shares):


	As of December 31,
	2022		2021
Warrants issued to 2010/2012 convertible note holders to purchase common stock		6,804		6,804
Options to purchase common stock		686,574		408,370
Outstanding restricted stock units		19,068		29,050
Warrants issued to underwriter to purchase common stock		1,100		1,100
2018 PIPE warrants		34,241		34,241
2022 common warrants		4,000,000		-
Total		4,747,787		479,565