INCOME (LOSS) PER SHARE

3 Months Ended

Mar. 31, 2026

Basic net income (loss) per share is computed using the weighted-average number of common shares

outstanding during the period. Diluted net income (loss) per share is computed using the weighted-average number of common shares and the effect of potentially dilutive securities outstanding during the period. Potentially dilutive securities include stock options, RSUs, PSUs, ESPP shares, incentive shares, and convertible senior notes. If dilutive, those potentially dilutive securities are reflected in diluted net income (loss) per share using the treasury stock method, except for the convertible senior notes, which are subject to the if-converted method.

The following table sets forth the computation of basic and diluted net income (loss) per share of Common Stock for the three months ended March 31, 2026 and 2025 (in thousands, except share amounts and per share amounts):


	Three Months Ended March 31,
	2026		2025
Basic and diluted net income (loss) per share:

Numerator
Net income (loss) - continuing operations	$	(12,589)	$	8,027
Less: Net income (loss) attributable to noncontrolling interests	240		381
Net income (loss) attributable to common stockholders - continuing operations	(12,829)		7,646
Net income (loss) attributable to common stockholders - discontinued operations	(30)		(471)
Basic net income (loss) attributable to common stockholders	$	(12,859)	$	7,175





Denominator
Shares used in computation of basic net income (loss) per share	40,532,674		39,809,354
Weighted-average effect of diluted securities:
Stock options	—		1,594,981
RSUs	—		314,170

ESPP Shares	—		1,150



Shares used in computation of diluted net income (loss) per share	40,532,674		41,719,655

Basic net income (loss) per share:
Continuing operations	$	(0.32)	$	0.19
Discontinued operations	—		(0.01)
Basic net income (loss) per share	$	(0.32)	$	0.18

Diluted net income (loss) per share:
Continuing operations	$	(0.32)	$	0.18
Discontinued operations	—		(0.01)
Diluted net income (loss) per share	$	(0.32)	$	0.17

The following weighted-average potentially dilutive instruments are not included in the diluted net income (loss) per share calculations above because they would have had an antidilutive effect on the net income (loss) per share from continuing operations:


	Three Months Ended March 31,
	2026	2025
Capped call transactions (1)	407,249	788,903
Convertible Senior notes due 2026 (2)	407,249	788,903
Convertible Senior notes due 2027 (2)	1,575,318	6,575,268
Convertible Senior notes due 2030 (2)	4,516,070	—
Stock options	3,062,500	—
RSUs	567,569	8,743
PSUs	1,700,684	—
ESPP	12,157	—
Total	12,248,796	8,161,817

(1)The capped call transactions were intended to reduce potential dilution to our Common Stock in the event the 2026 Notes were converted into shares. If the 2026 Notes had converted on or prior to maturity on March 15, 2026, the exercise of the capped call transactions would have substantially offset the economic dilution that would have otherwise resulted from the issuance of shares upon conversion. The capped call transactions expired in connection with the maturity of the 2026 Notes.

(2)We apply the if-converted method in computing the effect of our convertible senior notes on diluted net income (loss) per share, whereby the numerator of our diluted net income (loss) per share computations is adjusted for interest expense, net of tax, and the denominator is adjusted for the number of shares into which the convertible senior notes could be converted. The effect is only included in the calculation of income (loss) per share for those instruments for which it would reduce income (loss) per share. See Note 5, Financing Arrangements, for additional information.

As of March 31, 2026, there were up to 889,671 shares of Common Stock issuable upon vesting of outstanding 2024 Executive PSUs, 2,163,701 shares of Common Stock issuable upon vesting of outstanding 2025 PSUs and 954,000 shares issuable upon vesting of outstanding Major Rocket incentive shares that were excluded from the table above as neither the applicable market and performance conditions nor the specified merchant revenue-related profit thresholds were satisfied as of the end of the period. Refer to Note 7, Stockholders' Equity (Deficit) and Compensation Arrangements for more information.