Net Loss Per Common Share

3 Months Ended

Mar. 31, 2021

Basic net income (loss) per share is calculated by dividing net income (loss) by the weighted-average number of common shares outstanding during the period, without consideration for common stock equivalents. Diluted net income (loss) per share is computed by dividing net income (loss) by the weighted-average number of common stock equivalents outstanding for the period, including shares that potentially could be dilutive if they were exercised or vested during the period, determined using the treasury-stock method. For purposes of this calculation, stock options, unvested RSUs, shares issuable under the ESPP and shares issuable upon conversion of the convertible notes are considered to be common stock equivalents and are only included in the calculation of diluted net loss per share when their effect is dilutive.

The shares outstanding at the end of the respective periods presented below were excluded from the calculation of diluted net loss per share due to their anti-dilutive effect:


	Three Months Ended March 31,
	2021	2020
Common shares under option	4,030,575	4,829,454
Unvested RSUs	639,581	389,762
Shares issuable related to the ESPP	17,838	—
Shares issuable upon conversion of convertible notes	8,460,237	—
Total potential dilutive shares	13,148,231	5,219,216