Net Loss Per Share

9 Months Ended

Sep. 30, 2016

16. Net Loss Per Share

Basic net loss per share excludes the effect of dilution and is computed by dividing the net loss attributable to common stockholders by the weighted-average number of shares of common stock outstanding less the weighted-average number of shares subject to repurchase during the period.

Diluted net loss per share is computed by giving effect to all potential shares of common stock, including stock options and warrants to the extent dilutive. Basic net loss per share was the same as diluted net loss per share for the quarters and nine months ended September 30, 2016 and 2015 as the inclusion of all potential common shares outstanding would have an anti-dilutive effect.

The following awards were not included in the computation of weighted average common shares for the quarter and nine months ended September 30, 2016 and 2015:


	Quarter Ended September 30,				Nine Months Ended September 30,
	2016		2015		2016		2015
Dilutive stock options		1,892,800		—		1,892,800		—
Warrants		83,120		—		83,120		—
Restricted stock		395,500		—		395,500		—

Total		2,371,420		—		2,371,420		—

As described in note 1 and Note 15, all outstanding Series AA Preferred Stock, Series D Preferred Stock and common stock were retired and cancelled prior to the 2016 Merger without consideration. They are therefore being excluded in the calculation of the net loss per share calculation included in these financial statements which have been retrospectively adjusted for the recapitalization of the Company. The weighted average common shares in 2016 and 2015 reflect the outstanding private company Series AB Preferred Stock of the private company as converted at the conversion ratio of 0.23856.