Condensed Consolidated Financial Statements Details

9 Months Ended

Sep. 30, 2020

Condensed Consolidated Financial Statements Details

Condensed Consolidated Financial Statements Details

3. Condensed Consolidated Financial Statements Details

Equity Securities

As of September 30, 2020 and December 31, 2019, equity securities consisted of an investment in Rezolute’s common stock of $2.6 million and $0.7 million, respectively (Note 4). For the three and nine months ended September 30, 2020 the Company recognized gains of $2.0 million and $1.9 million, respectively, due to the change in fair value of its investment in Rezolute’s common stock in the other income (expense), net line item of the condensed consolidated statements of operations and comprehensive (loss) income. The Company recognized a loss of $0.3 million and a gain of $0.5 million for the three and nine months ended September 30, 2019.

Accrued and Other Liabilities

Accrued and other liabilities consisted of the following (in thousands):

	September 30,		December 31,
	2020		2019
Accrued legal and accounting fees	$	202	$	256
Accrued payroll and other benefits		154		231
Interest payable		51		69
Accrued incentive compensation		26		332
Other		33		57
Total	$	466	$	945

Net (Loss) Income Per Share Attributable to Common Stockholders

The following is a reconciliation of the numerator (net loss or income) and the denominator (number of shares) used in the calculation of basic and diluted net (loss) income per share attributable to common stockholders (in thousands, except per share amounts):

	Three Months Ended September 30,				Nine Months Ended September 30,
	2020		2019		2020		2019
Numerator
Net (loss) income	$	(1,077)	$	3,178	$	(9,368)	$	2,339
Less: Allocation of undistributed earnings to participating securities		—		(1,327)		—		(977)
Net (loss) income available to common stockholders, basic		(1,077)		1,851		(9,368)		1,362
Add: Adjustments to undistributed earnings allocated to participating securities		—		60		—		41
Net (loss) income available to common stockholders, diluted	$	(1,077)	$	1,911	$	(9,368)	$	1,403
Denominator
Weighted average shares used in computing basic net (loss) income per share available to common stockholders		11,019		8,731		10,537		8,721
Effect of dilutive stock options		—		708		—		657
Effect of dilutive warrants		—		2		—		1
Weighted average shares used in computing diluted net (loss) income per share available to common stockholders		11,019		9,441		10,537		9,379
Basic net (loss) income per share of common stock	$	(0.10)	$	0.21	$	(0.89)	$	0.16
Diluted net (loss) income per share of common stock	$	(0.10)	$	0.20	$	(0.89)	$	0.15

Potentially dilutive securities are excluded from the calculation of diluted net (loss) income per share available to common stockholders if their inclusion is anti-dilutive.

The following table shows the weighted-average outstanding securities considered anti-dilutive and therefore excluded from the computation of diluted net (loss) income per share attributable to common stockholders (in thousands):

	Three Months Ended September 30,		Nine Months Ended September 30,
	2020	2019	2020	2019
Convertible preferred stock	5,003	—	5,483	—
Common stock options	931	893	611	926
Warrants for common stock	19	15	21	15
Total	5,953	908	6,115	941