Net Income (Loss) Per Share

9 Months Ended

Sep. 30, 2021

19. NET INCOME (LOSS) PER SHARE

Basic net income (loss) per share is computed by dividing net income (loss) attributable to common stockholders by the weighted average number of common shares outstanding during each period. The Redeemable Series A-1 Preferred Stock, which was outstanding prior to its redemption on July 27, 2020, and the Convertible and Redeemable Series A-2 Preferred Stock are considered a participating security during the applicable period. Net losses are not allocated to the Redeemable Series A-1 Preferred stockholders nor the Convertible and Redeemable Series A-2 stockholders, as they were not contractually obligated to share in the Company’s losses.

Diluted net income (loss) per share is computed by dividing net (income) loss attributable to common stockholders by the weighted average number of common and dilutive common equivalent shares outstanding for the period using the treasury-stock method or the as-converted method. During the three and nine months ended September 30, 2020, shares issuable in connection with the warrant options (Note 12) were considered outstanding common shares for purposes of calculating net (loss) income per share since they did not contain any conditions that must be satisfied for the holder to exercise the warrant. Potentially dilutive shares are comprised of restricted stock and shares of common stock underlying stock options outstanding under the Plans and warrants (other than warrant options) to purchase common stock. During the nine months ended September 30, 2021 and the three and nine months ended September 30, 2020, there is no difference in the number of shares used to calculate basic and diluted shares outstanding due to the Company’s net loss and potentially dilutive shares being anti-dilutive.

The following table summarizes the computation of basic and diluted net (loss) income per share attributable to common stockholders of the Company:

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(In thousands, except for net loss per share)	2021			2020			2021			2020
Net income (loss)	$	2,226		$	(30,737	)	$	(23,853	)	$	(58,761	)
Accretion of redeemable series A-1 preferred stock		—			(6,542	)		—			(17,601	)
Redeemable series A-1 preferred stock deemed dividend					(24,341	)					(24,341	)
Convertible and redeemable series A-2 preferred stock dividend		(4,100	)		(2,870	)		(12,300	)		(2,870	)
Net loss attributable to common stockholders –basic and diluted		(1,874	)		(64,490	)		(36,153	)		(103,573	)
Weighted-average common shares outstanding – basic and diluted		26,220			21,554			25,798			13,669
Net loss per share attributable to common stockholders –basic and diluted	$	(0.07	)	$	(2.99	)	$	(1.40	)	$	(7.58	)

The following equity shares were excluded from the calculation of diluted net income (loss) per share attributable to common stockholders because their effect would have been anti-dilutive:

	September 30,
	2021		2020
Stock options		1,686,688		2,423,900
Restricted stock		28,623		176,384
Warrants		—		116,350