Net (Loss) Income per Share

9 Months Ended

Sep. 30, 2024

Net (Loss) Income per Share [Abstract]

10.	Net (Loss) Income per Share

Basic net (loss) income per share of common stock is computed by dividing net (loss) income by the weighted average number of shares of common stock outstanding during the period. Diluted earnings or loss per share of common stock is computed similarly to basic earnings or loss per share except the weighted average shares outstanding are increased to include additional shares from the assumed exercise of any common stock equivalents, if dilutive. The Company’s warrants, stock options, RSUs and any unissued common stock for services, while outstanding, are considered common stock equivalents for this purpose. Diluted earnings is computed utilizing the treasury method for the warrants, stock options, RSUs and any unissued common stock for services. With the exception of the third quarter of 2023, no incremental common stock equivalents were included in calculating diluted loss per share because such inclusion would be anti-dilutive given the net loss reported for the other periods presented.

The following table presents the computation of weighted average common shares considered in the computation of diluted net (loss) income per share during the periods presented:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Basic		26,145,080		21,446,648		25,501,117		21,117,211
Dilutive stock options		—		914,583		—		—
Dilutive RSUs		—		44,764		—		—
Dilutive warrants		—		—		—		—
Diluted common shares outstanding		26,145,080		22,405,995		25,501,117		21,117,211

The following potential common shares were not considered in the computation of diluted net (loss) income per share as their effect would have been anti-dilutive for the three and nine-month periods presented below:

	Three Months Ended September 30,			Nine Months Ended September 30,
		2024	2023	2024		2023
Series A and RDO warrants		7,204,299	7,204,299		7,204,299		7,204,299
Stock options		4,848,064	2,554,806		4,848,064		3,469,389
RSUs		1,130,430	237,244		1,130,430		282,008
Former Rexahn warrants		—	58,597		—		58,597