Basic and Diluted Net Income (Loss) Per Share

6 Months Ended

Jun. 30, 2020

Earnings Per Share, Basic and Diluted [Abstract]

Basic and Diluted Net Income (Loss) Per Share

Basic and Diluted Net Income (Loss) Per Share

We present net loss per share attributable to common stockholders in conformity with the two-class method required for participating securities, as the warrants are considered participating securities. We have not allocated net loss attributable to common stockholders to warrants because the holders of our warrants are not contractually obligated to share in our losses. Basic net loss per share attributable to common stockholders is computed by dividing net loss attributable to common stockholders by the weighted-average number of common shares outstanding during the period. Diluted net loss per share attributable to common stockholders is calculated to give effect to all potential shares of common stock, including common stock issuable upon exercise of warrants, stock options, and RSUs. In periods for which there is a net loss, diluted loss per common share is equal to basic loss per common share, since the effect of including any common stock equivalents would be antidilutive.

The following table sets forth the reconciliation of shares used to compute basic and diluted net (loss) income per share for the periods indicated (in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2020		2019		2020		2019
Numerator:
Loss from continuing operations	$	(1,287)	$	(1,475)	$	(4,240)	$	(3,132)
Net income from discontinued operations	—		266		—		266
Net loss	$	(1,287)	$	(1,209)	$	(4,240)	$	(2,866)
Deemed dividend on Series A redeemable preferred stock	(484)		—		(968)		—
Net loss attributable to common shareholders	$	(1,771)	$	(1,209)	$	(5,208)	$	(2,866)
Denominator:
Weighted average shares outstanding - basic	3,041		2,038		2,547		2,034
Dilutive potential common shares:
Stock options	—		—		—		—
Stock warrants	—		—		—		—
Restricted stock units	—		—		—		—
Weighted average shares outstanding - diluted	3,041		2,038		2,547		2,034
Net loss per common share - basic and diluted
Net loss per share, continuing operations	$	(0.42)	$	(0.72)	$	(1.66)	$	(1.54)
Net income per share, discontinued operations	—		0.13		—		0.13
Net loss per share	(0.42)		(0.59)		(1.66)		(1.41)
Deemed preferred stock per share	(0.16)		—		(0.38)		—
Net loss per share, attributable to common shareholders - basic and diluted (1)	$	(0.58)	$	(0.59)	$	(2.04)	$	(1.41)

⁽¹⁾ Earnings per share may not add due to rounding.

The computation of diluted earnings per share excludes stock options and stock units that are anti-dilutive. The following common stock equivalents were anti-dilutive (in thousands):

	Three Months Ended June 30,		Six Months Ended June 30,
	2020	2019	2020	2019
Stock options	51	111	53	106
Stock warrants	2,160	—	2,160	—
Restricted stock units	30	34	34	32
Total	2,241	145	2,247	138