(LOSS) EARNINGS PER SHARE

3 Months Ended

Mar. 31, 2025

14. (LOSS) EARNINGS PER SHARE

Basic (loss) earnings per share is computed by dividing net (loss) income by the weighted-average number of shares of common stock outstanding. Diluted earnings per share is computed based on the treasury stock method for stock awards and the if-converted method for convertible debt by dividing net income by the weighted-average number of shares of common stock and dilutive common stock equivalents outstanding. Given that the Company recorded a net loss for the three months ended March 31, 2025, there is no difference between basic and diluted net loss per share since the effect of common stock equivalents would be anti-dilutive and are, therefore, excluded from the diluted net loss per share calculation.

The following table sets forth the computation of basic and diluted (loss) earnings per common share:


		For the Three Months Ended March 31,
		2025			2024
	(in thousands, except per share amounts)
Numerator:
Net (loss) income - basic		$	(447,508	)	$	36,119
Add: interest expense, net of tax, on the Company's convertible debt			—			429
Net (loss) income - diluted		$	(447,508	)	$	36,548
Denominator:
Weighted-average common shares outstanding, basic			97,362			93,991
Effect of dilutive securities:
Common stock issuable under the Company's equity incentive plans			—			3,681
Common stock issuable under the Company's convertible debt			—			1,442
Weighted-average common shares outstanding, diluted			97,362			99,114
(Loss) earnings per common share, basic		$	(4.60	)	$	0.38
(Loss) earnings per common share, diluted		$	(4.60	)	$	0.37

The following table summarizes potential shares of common stock that were excluded from the computation of diluted earnings per share as they were anti-dilutive:


		For the Three Months Ended March 31,
		2025			2024
	(in thousands)
Common stock issuable under the Company's equity incentive plans			12,353	(1)		4,270	(2)
Common stock issuable under the Company's convertible debt			8,100			8,100
Total number of potentially issuable common stock			20,453			12,370

(1) As of March 31, 2025, the anti-dilutive common stock issuable under the Company's equity incentive plans includes 1.3 million shares that have performance or market conditions that were not met. These and all shares issued under the Company’s equity incentive plans were anti-dilutive as the Company was in a net loss position at the end of the period.

(2) As of March 31, 2024, the anti-dilutive common stock issuable under the Company's equity incentive plans excludes 1.2 million shares that are dilutive but have performance or market conditions that were not met as of the end of the period.