Net Loss per Share

12 Months Ended

Dec. 31, 2022

Net Loss Per Share

Basic earnings per share (“EPS”) excludes dilution for common stock equivalents and is computed by dividing net income or loss attributable to common stockholders by the weighted average number of shares of common stock outstanding for the period. All options, warrants, or other potentially dilutive instruments issued for nominal consideration are required to be included in the calculation of basic and diluted net income attributable to common stockholders. Diluted EPS is calculated using the “if-converted” method. The “if-converted” method is only assumed in periods where such application would be dilutive. In applying the “if-converted” method for diluted net income per share, the Company would assume conversion of the 2024 Notes at a ratio of 25.9182 shares of its common stock per $1,000 principal amount of the 2024 Notes. The Company would assume conversion of the 2026 Notes at a ratio of 13.2933 shares of its common stock per $1,000 principal amount of the 2026 Notes. Assumed converted shares of the Company’s common stock are weighted for the period the 2024 Notes and 2026 Notes (collectively, the “Notes”) were outstanding. The shares of common stock underlying the conversion option of the Notes were not included in the calculation of diluted income per share for the years ended December 31, 2022 and 2021.

See Note 8 – Convertible Senior Notes, Net and Capped Call Transactions for a description of the Notes.

Basic and diluted earnings per common share are calculated for the years ended December 31, 2022, 2021, and 2020, were as follows:


	Year Ended December 31,
	2022		2021		2020
Net loss (in thousands)	$	(225,747)	$	(124,974)	$	(107,594)
Weighted average number of shares outstanding, basic and diluted	74,509,404		69,606,105		65,888,450
Net loss per share, basic and diluted	$	(3.03)	$	(1.80)	$	(1.63)

The anti-dilutive securities excluded from the shares used to calculate diluted net loss per share are as follows:


	December 31,
	2022	2021
Shares subject to outstanding common stock options and employee stock purchase plan	4,459,324	4,782,487
Restricted stock units	5,234,733	3,732,013
Fair Value of Earnouts	12,049,211	1,150,504
Conversion option of the 2024 Notes	5,961,186	5,961,186
Conversion option of the 2026 Notes	6,879,283	6,879,283
	34,583,737	22,505,473