Earnings (Loss) Per Share

9 Months Ended

Sep. 30, 2014

Earnings Per Share [Abstract]

Earnings (Loss) Per Share

Earnings (Loss) Per Share

Basic earnings per share is computed by dividing net income available to common stockholders by the weighted-average number of shares of common stock outstanding during the period. The weighted-average number shares of common stock outstanding does not include any potentially dilutive securities or any unvested restricted shares of common stock. These unvested restricted shares, although classified as issued and outstanding at September 30, 2014 and 2013, are considered contingently returnable until the restrictions lapse and will not be included in the basic earnings per share calculation until the shares are vested. Unvested shares of our restricted stock do not contain non-forfeitable rights to dividends and dividend equivalents.

Diluted earnings per share includes the effect of all potentially dilutive securities on earnings per share. The difference between basic and diluted weighted-average shares outstanding was the dilutive effect of unvested restricted stock, stock options, and preferred stock, for the three months ended September 30, 2014.

The following table represents a reconciliation of the basic and diluted earnings per share computations contained in our condensed consolidated financial statements (in thousands, except per share data):

	Three Months Ended					Nine Months Ended
	September 30,					September 30,
	2014		2013			2014			2013
Net income (loss)	$	198	$	(551	)	$	(635	)	$	(2,686	)
Less: Preferred stock dividends	5		(185		)	15			25
Net income (loss) attributable to common stockholders	$	193	$	(366	)	$	(650	)	$	(2,711	)
Weighted average shares outstanding - basic	34,950		31,692			34,885			29,094
Add effect of dilutive securities:
Unvested restricted stock	670		—			—			—
Shares of common stock issuable upon conversion of preferred stock, Series A-2	132		—			—			—
Stock options	17		—			—			—
Weighted average shares outstanding - diluted	35,769		31,692			34,885			29,094
Basic net income (loss) per share	$	0.01	$	(0.01	)	$	(0.02	)	$	(0.09	)
Diluted net income (loss) per share	$	0.01	$	(0.01	)	$	(0.02	)	$	(0.09	)

The weighted-average diluted shares of common stock outstanding for the three months ended September 30, 2014 excludes the effect of 1,283,000 out-of-the-money options, because their effect would be anti-dilutive.

For the nine months ended September 30, 2014 and 2013, and the three months ended September 30, 2013, diluted net loss per share is the same as basic net loss per share due to the Company's net loss attributable to common stockholders and the potential shares of common stock that could have been issuable have been excluded from the calculation of diluted net loss per share because the effects, as a result of our net loss attributable to common stockholders, would be anti-dilutive. The following table sets forth the potential shares of common stock that were excluded from diluted weighted-average shares of common stock outstanding (in thousands):

	Three Months Ended		Nine Months Ended
	September 30,		September 30,
	2014	2013	2014	2013
Unvested restricted stock	670	534	670	534
Shares of common stock issuable upon conversion of preferred stock, Series A-2	132	133	132	133
Stock options outstanding	1,358	1,924	1,358	1,924
Warrants	—	33	—	33