XML 91 R23.htm IDEA: XBRL DOCUMENT v3.19.3.a.u2
Net Income (Loss) Per Share
 12 Months Ended
Dec. 31, 2019
Earnings Per Share [Abstract]  
Net Income (Loss) Per Share
NET LOSS PER SHARE
Basic net loss per share is computed by dividing the net loss attributable to common stockholders for the applicable period by the weighted average number of common shares outstanding during the period. Potentially dilutive shares, consisting of outstanding stock options, restricted stock units, ESPP plan awards, warrant shares as well as the 2020 Notes and 2024 Notes, are excluded from the net loss per share computations when their effect is anti-dilutive.
The following table presents the calculation of basic and diluted net loss per share (in thousands, except per share amounts):
 
Year Ended December 31,
 
2019
 
2018
 
2017
Numerator:
 
 
 
 
 
  Net loss
$
(5,924
)
 
$
(21,035
)
 
$
(82,955
)
Denominator:
 
 
 
 
 
Weighted average number of shares outstanding:
 
 
 
 
 
  Basic and diluted
89,575

 
85,615

 
80,974

Net loss per share:
 
 
 
 
 
  Basic and diluted
$
(0.07
)
 
$
(0.25
)
 
$
(1.02
)

The diluted net loss per share is the same as basic net loss per share for the years ended December 31, 2019, 2018 and 2017, as the effect of inclusion of potential common shares outstanding would have been anti-dilutive due to the Company’s net losses for the years presented. The following table sets forth the potential weighted common shares outstanding that were excluded from the computation of basic and diluted net loss per share calculations (in thousands):
 
December 31,
 
2019
 
2018
 
2017
Convertible notes
1,322

 
—

 
—

Stock options
2,568

 
3,327

 
4,470

Restricted stock units
2,955

 
2,997

 
3,059

Stock purchase rights under the ESPP
478

 
609

 
620

Warrants (1)
4,321

 
1,268

 
782

  Total
11,644

 
8,201

 
8,931


(1) See Note 17, “Warrants,” for additional information.
The Company’s intent is to settle the principal amount of the 2020 Notes and the 2024 Notes in cash. The treasury stock method is used to calculate any potential dilutive effect of the conversion spread on diluted net income per share, if applicable.

•
The conversion spread of 7,962,609 shares had a dilutive impact on diluted net income per share as the Company’s average market price of its common stock for a given period exceeded the conversion price of $5.75 per share for the 2020 Notes.

•
The conversion spread of 13,337,182 shares will have a dilutive impact on diluted net income per share when the Company’s average market price of its common stock for a given period exceeds the conversion price of $8.66 per share for the 2024 Notes.

See Note 12, “Convertible Notes, Other Debts and Finance Leases” for additional information on the 2020 Notes and the 2024 Notes.