INCOME/LOSS PER SHARE

6 Months Ended

Jun. 30, 2022

The following table presents the calculation of basic and diluted income/loss per share of common stock:


	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
	(In thousands, except share and per share data)
Numerator:
Net (loss) income attributable to Acacia Research Corporation	$	(61,503)	$	19,660	$	(134,769)	$	(144,805)
Dividend on Series A redeemable convertible preferred stock	(699)		(263)		(1,399)		(523)
Accretion of Series A redeemable convertible preferred stock	(1,241)		(918)		(2,392)		(1,771)
Undistributed earnings allocated to participating securities	—		(3,245)		—		—
Net (loss) income attributable to common stockholders - Basic	(63,443)		15,234		(138,560)		(147,099)




Less: Change in fair value of Series A warrants	—		221		—		—
Less: Change in fair value of dilutive Series B warrants	—		1,355		—		—
Add: Interest expense associated with Starboard Notes, net of tax	—		1,238		—		—
Add: Undistributed earnings allocated to participating securities	—		3,245		—		—
Reallocation of undistributed earnings to participating securities	—		(2,365)		—		—
Net (loss) income attributable to common stockholders - Diluted	$	(63,443)	$	18,928	$	(138,560)	$	(147,099)

Denominator:
Weighted average shares used in computing net (loss) income per share attributable to common stockholders - Basic	43,988,677		48,729,020		45,259,435		48,662,897
Potentially dilutive common shares:

Restricted stock units	—		869,763		—		—
Stock options	—		46,858		—		—
Series A Warrants	—		1,934,490		—		—
Series B Warrants	—		31,506,849		—		—
Weighted average shares used in computing net (loss) income per share attributable to common stockholders - Diluted	43,988,677		83,086,980		45,259,435		48,662,897

Basic net (loss) income per common share	$	(1.44)	$	0.31	$	(3.06)	$	(3.02)
Diluted net (loss) income per common share	$	(1.44)	$	0.23	$	(3.06)	$	(3.02)

Anti-dilutive potential common shares excluded from the computation of diluted net (loss) income per share:
Equity-based incentive awards	3,711,223		—		3,711,223		1,208,687
Series A warrants	5,000,000		—		5,000,000		5,000,000
Series B warrants	100,000,000		68,493,151		100,000,000		100,000,000
Total	108,711,223		68,493,151		108,711,223		106,208,687