Net Loss Per Share

6 Months Ended

Jun. 30, 2022

(9)

Net Loss Per Share

Basic net loss per share attributable to the Company’s common stockholders is computed in conformity with the two-class method required for participating securities. Prior to the automatic conversion of all of its redeemable convertible preferred stock outstanding into Class B common stock concurrent with the Direct Listing, the Company considered all series of its redeemable convertible preferred stock to be participating securities as holders of such stock had the right to receive nonforfeitable dividends on a ratable basis in the event that a dividend was paid on common stock. Under the two-class method, the net loss attributable to common stockholders was not allocated to the redeemable convertible preferred stock as the preferred stockholders did not have a contractual obligation to share in the Company's losses.

Basic net loss per share is computed by dividing the net loss attributable to the Company’s common stockholders by the weighted-average number of shares of common stock outstanding during the period. Diluted net loss per share is the same as basic net loss per share for all periods presented because the effects of potentially dilutive items were anti-dilutive given the Company’s net loss position in each period presented.

The rights, including the liquidation and dividend rights, of the holders of Class A and Class B common stock are identical, except with respect to voting, conversion, and transfer rights. As the liquidation and dividend rights are identical, all undistributed earnings are allocated on a proportionate basis to each class of common stock and the resulting basic and diluted net loss per share attributable to common stockholders are, therefore, the same for both Class A and Class B common stock on both an individual and a combined basis.

The following table presents the calculation of basic and diluted net loss per share (in thousands, except per share data):


	Three Months Ended June 30,						Six Months Ended June 30,
	2022			2021			2022			2021

Net loss attributable to Class A and Class B common stockholders	$	(24,568	)	$	(10,083	)	$	(46,788	)	$	(16,522	)
Weighted-average shares used in computing net loss per share attributable to Class A and Class B common stockholders, basic and diluted		111,036			29,681			110,297			28,808
Net loss per share attributable to Class A and Class B common stockholders, basic and diluted	$	(0.22	)	$	(0.34	)	$	(0.42	)	$	(0.57	)

The following potential common shares were excluded from the calculation of diluted net loss per share because their effect would have been anti-dilutive for the periods presented (in thousands):


	As of June 30,
	2022		2021

Redeemable convertible preferred stock		—		67,136
Warrants		—		7
Non-plan stock options		—		36
Equity plan stock options outstanding		17,621		28,771
Equity plan stock options early exercised		409		628
RSUs outstanding		6,475		3,051
Restricted shares		302		376
Shares issuable pursuant to the ESPP		513		—
Total		25,320		100,005