NOTE 8: NET INCOME (LOSS) PER SHARE OF COMMON STOCK

Basic net income (loss) per share is computed based on the weighted average number of shares of common stock outstanding during each period. Diluted net income (loss) per share is computed based on the weighted average number of shares of common stock outstanding during each period, plus dilutive potential shares of common stock considered outstanding during the period, in accordance with FASB ASC No. 260, “Earnings Per Share.”


	Six months ended June 30,					Three months ended June 30,
	2018 (unaudited)			2017 (unaudited)		2018 (unaudited)			2017 (unaudited)
Numerator:
Net income (loss)	$	(4,272	)	$	8,015	$	(2,090	)	$	3,908

Denominator (in thousands):
Basic weighted-average common stock outstanding		22,139			21,556		22,129			21,712
Effect of stock-based awards		—			820		—			851

Diluted weighted average common stock outstanding		22,139			22,376		22,129			22,563

Basic net income (loss) per share	$	(0.19	)	$	0.37	$	(0.09	)	$	0.18

Diluted net income (loss) per share	$	(0.19	)	$	0.36	$	(0.09	)	$	0.17

The total number of shares related to the outstanding equity-based awards excluded from the calculation of diluted net loss per share was 1,283,607 for both the three and six months ended June 30, 2018. The weighted average number of shares related to outstanding equity-based awards excluded from the calculation of diluted net income per share, since their effect was anti-dilutive, was 15,569 and 59,785 shares for the three and six months ended June 30, 2017, respectively.