Basic and Diluted Net Loss Per Share

6 Months Ended

Jun. 30, 2021

Basic and Diluted Net Loss Per Share

Basic and Diluted Net Loss Per Share

12. Basic and Diluted Net Loss Per Share

Basic and diluted net loss per share attributable to common stockholders is presented in conformity with the two-class method required for participating securities. It has been retrospectively adjusted for all periods prior to the reverse capitalization. The retroactive adjustment is based on the same number of weighted-average shares outstanding in each historical period.

Under the two-class method, basic net loss per share attributable to common stockholders is computed by dividing the net loss attributable to common stockholders by the weighted-average number of shares of common stock outstanding during the period.

Diluted earnings per share attributable to common stockholders adjusts basic earnings per share for the potentially dilutive impact of stock options, RSUs, RSAs, convertible notes, earnout shares and warrants. As the Company has reported losses for all periods presented, all potentially dilutive securities are antidilutive and accordingly, basic net loss per share equals diluted net loss per share.

The following table sets forth the computation of the Company’s basic and diluted net loss attributable per share to common stockholders for the three and six months ended June 30, 2021 and 2020:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2021		2020		2021		2020
Numerator:
Net loss	$	(16,296)	$	(6,258)	$	(81,398)	$	(24,625)
Denominator:
Shares used in computing net loss attributable per share to common stockholders, basic and diluted		95,221,928		35,478,347		91,483,053		35,117,130
Net loss attributable per share to common stockholders:
Basic and diluted	$	(0.17)	$	(0.18)	$	(0.89)	$	(0.70)

The following table discloses securities that could potentially dilute basic net loss per share in the future that were not included in the computation of diluted net loss per share because to do so would have been antidilutive for all periods presented:

	Three Months Ended		Six Months Ended
	2021	2020	2021	2020
Stock options	6,350,253	7,719,210	6,350,253	7,719,210
Restricted stock units and awards	2,975,463	106,890	2,975,463	106,890
Legacy Porch warrants	—	3,134,068	—	3,134,068
Public and private warrants	3,125,154	—	3,125,154	—
Earnout shares	4,099,999	—	4,099,999	—
Convertible debt	—	1,034,760	—	1,034,760

See Note 8 for additional information regarding the terms of the warrants. See Note 9 for additional information regarding stock options and restricted stock.