NET INCOME (LOSS) PER SHARE

12 Months Ended

Dec. 31, 2022

NOTE 14: NET INCOME (LOSS) PER SHARE

We present net income (loss) per share using the two-class method required for multiple classes of common stock. The rights, including the liquidation and dividend rights, of the holders of Class A common stock and Class B common stock are identical, except with respect to voting. As the liquidation and dividend rights are identical for Class A common stock and Class B common stock, the undistributed earnings are allocated on a proportionate basis and the resulting income (loss) per share will, therefore, be the same for both Class A common stock and Class B common stock on an individual or combined basis.

The following table presents the calculation of basic and diluted income (loss) per share:


(in millions, except per share data)	Year Ended December 31,
	2020		2021		2022
Net income (loss)	$	7	$	(3,687)	$	(1,028)
Less: allocation of earnings to participating securities	4		—		—
Net income (loss) attributable to common stockholders	$	3	$	(3,687)	$	(1,028)

Weighted-average common shares outstanding - basic	225,748,355		492,381,190		878,630,024
Dilutive effect of stock options and unvested shares	19,249,033		—		—
Weighted-average common shares used to compute diluted loss per share	244,997,388		492,381,190		878,630,024

Net income (loss) per share attributable to common stockholders:
Basic	$	0.01	$	(7.49)	$	(1.17)
Diluted	$	0.01	$	(7.49)	$	(1.17)

The following potential common shares were excluded from the calculation of diluted net income (loss) per share because their effect would have been anti-dilutive or issuance of such shares is contingent upon the satisfaction of certain conditions that were not satisfied by the end of the period:


	Year Ended December 31,
	2020	2021	2022
Redeemable convertible preferred stock	412,742,897	—	—
RSUs	75,375,307	108,359,188	114,614,461
Stock options	60,082	14,527,468	15,226,096
Early-exercised stock options	8,423	15,126	—
Warrants	—	14,278,034	14,278,034
ESPP shares	—	246,179	364,427
Total anti-dilutive securities	488,186,709	137,425,995	144,483,018