Net Income (Loss) Per Share

9 Months Ended

Sep. 30, 2013

Earnings Per Share [Abstract]

Net Income (Loss) Per Share

4. Net Income (Loss) Per Share

The following table sets forth the computation of basic and diluted net income (loss) per share (in thousands, except per share data).

	Three Months Ended September 30,				Nine Months Ended September 30,
	2013		2012		2013		2012
Net income (loss)	$	1,932	$	3,279	$	6,022	$	(9,136	)
Weighted average common basic shares		40,942		40,873		40,925		40,856
Effect of dilutive securities		219		70		23		—
Weighted average common dilutive shares		41,161		40,943		40,948		40,856
Basic and diluted net income (loss) per share	$	0.05	$	0.08	$	0.15	$	(0.22	)

For both the three and nine months ended September 30, 2013, 23 thousand shares of unvested restricted common stock were included in the computation of diluted income per share. For the three months ended September 30, 2013, there were outstanding options to purchase approximately 1.3 million shares, of which 825 thousand were included in the computation of diluted income per share.

For the three months ended September 30, 2012, 70 thousand shares of unvested restricted common stock were included in the computation of diluted income per share. For the nine months ended September 30, 2012, the computation of diluted net loss per share did not include 70 thousand shares of unvested restricted common stock as their inclusion would have been anti-dilutive.

Options to purchase approximately 1.3 million and 1.6 million shares for the nine months ended September 30, 2013 and the three and nine months ended September 30, 2012, respectively, were also not included in the computation of diluted net loss per share as their exercise prices were in excess of the average stock prices for the periods presented.