Net Income (Loss) Per Share

3 Months Ended

Mar. 31, 2023

Note 14: Net Income (Loss) Per Share

“Basic net income (loss) per share” is calculated using the weighted average number of common shares outstanding during the applicable period. “Diluted net income (loss) per share” is calculated using the weighted average number of common shares outstanding plus the number of dilutive potential common shares outstanding during the applicable period. Dilutive potential common shares consist of the incremental common shares issuable upon the exercise of outstanding stock options and the vesting of outstanding RSUs using the treasury stock method. Cash-settled restricted stock units are not settled in common shares and are therefore excluded from dilutive potential common shares. Dilutive potential common shares are excluded from the calculation of diluted net income (loss) per share if their effect is antidilutive, including when we report a loss from continuing operations. Performance-based RSUs are considered contingently issuable shares and are excluded from the diluted weighted average common shares outstanding computation if the related performance-based criteria are not expected to be achieved as of the end of the reporting period.

The calculation of basic and diluted net income (loss) per share is as follows (in thousands, except per share amounts):


	Three Months Ended March 31,
	2023		2022
Numerator:
Income (loss) from continuing operations	$	(248)	$	3,552
Income from discontinued operations	1,921		31,068
Net income	$	1,673	$	34,620
Denominator:
Basic weighted average common shares outstanding	44,645		48,513
Dilutive potential common shares (1)	—		1,234
Diluted weighted average common shares outstanding	44,645		49,747
Basic net income (loss) per share:
Continuing operations	$	(0.01)	$	0.07
Discontinued operations	0.05		0.64
Basic net income per share:	$	0.04	$	0.71
Diluted net income (loss) per share:
Continuing operations	$	(0.01)	$	0.07
Discontinued operations	0.05		0.63
Diluted net income per share:	$	0.04	$	0.70
Shares excluded (1)	2,959		910

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(1)Potential common shares were excluded from the calculation of diluted net income per share for these periods because their effect would have been anti-dilutive. For the three months ended March 31, 2023 all potential common shares were excluded from the calculation of diluted net income per share as their effect would have been anti-dilutive due to the loss from continuing operations.