Net Loss Per Common Share

3 Months Ended

Mar. 31, 2022

Net loss per common share is calculated using two methods: basic and diluted.

Basic Net Loss Per Common Share

Basic net loss per common share is calculated as net loss available to common stockholders divided by weighted average common shares outstanding. Net loss available to common stockholders is calculated as net loss less (i) dividends accumulated on the Company’s Series B Convertible Preferred Stock during the period, and (ii) periodic accretion of the increasing-rate dividend feature.

The following table provides a reconciliation of net loss to net loss available to common stockholders and calculation of basic net loss per common share for each of the three months ended March 31, 2022 and 2021 (amounts in thousands, except share and per share amounts):


	Three Months Ended March 31,
	2022		2021
Net loss	$	(10,489)	$	(8,382)
Adjustments to reconcile to net loss available to common stockholders
Accumulated dividend on Series B Preferred Stock	1,586		1,006
Accretion of increasing-rate dividend feature	—		462
Total adjustments	1,586		1,468
Net loss available to common stockholders	$	(12,075)	$	(9,850)
Weighted average common shares outstanding	111,615,839		109,401,383
Basic net loss per common share	$	(0.11)	$	(0.09)

Diluted Net Loss Per Common Share

Diluted net loss per common share is calculated as net loss available to common stockholders, adjusted for dividends on convertible preferred stock (to the extent such conversions would be dilutive), divided by weighted average common shares outstanding plus potential common shares. The calculation of potential common shares considers incremental shares resulting from certain transactions, including the exercise of stock options and the issuance of restricted stock using the treasury stock method, as well as the hypothetical conversion of the Company’s Series B Convertible Preferred Stock using the if-converted method. The treasury stock method assumes that proceeds from the transaction are used to purchase common stock at the average market price throughout the period. The if-converted method adds back periodic accrued or deemed dividends on the Company’s Series B Convertible Preferred Stock, and assumes conversion as of the beginning of the period.

Each individual transaction is assessed for its dilutive effect on net loss per common share. To the extent that the transaction is antidilutive or does not reduce net loss per common share, the effect is excluded from the calculation.

The following table sets forth the computation of diluted net loss per common share (in thousands, except share and per share amounts):


	Three Months Ended March 31,
	2022		2021
Net loss available to common stockholders	$	(12,075)	$	(9,850)
Adjustments:
Dividends on Series B Convertible Preferred Stock	1,586		1,468
Less: antidilutive adjustments	(1,586)		(1,468)
Total adjustments	—		—
Numerator	$	(12,075)	$	(9,850)
Weighted average shares outstanding	111,615,839		109,401,383
Adjustments
Potential common shares	29,459,846		30,470,089
Less: antidilutive potential common shares (a)	(29,459,846)		(30,470,089)
Total adjustments	—		—
Weighted average shares outstanding adjusted for potential common shares	111,615,839		109,401,383
Diluted net loss per common share	$	(0.11)	$	(0.09)

(a) Weighted average common shares outstanding for the calculation of diluted net loss per common share does not include the following adjustments for potential common shares below because their effects were determined to be antidilutive for the periods presented.


	Three Months Ended March 31,
	2022	2021
Series B Convertible Preferred Stock	27,850,916	26,497,570
Restricted stock awards	597,805	1,629,273
Restricted stock unit awards	822,642	1,349,898
Outstanding stock options	188,483	964,640
Performance stock unit awards	—	28,708
Potential common shares	29,459,846	30,470,089