Loss Per Share

6 Months Ended

Jun. 30, 2021

Earnings Per Share [Abstract]

Loss Per Share

Note 3 – Loss Per Share

Basic loss per share is computed by dividing the loss available to common stockholders by the weighted-average number of shares of common stock outstanding during the period. Basic loss per share excludes potential dilution of securities or other contracts to issue shares of common stock. Diluted loss per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the income of the Company. For each of the three and six months ended June 30, 2021 and 2020, basic loss per share is the same as diluted loss per share.

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

	Three Months Ended June 30,						Six Months Ended June 30,
	2021			2020			2021			2020
Numerator
Net income (loss) from continuing operations	$	(1,490,097	)	$	2,153,355		$	(5,157,425	)	$	(3,657,354	)
Deemed dividends		(99,253,330	)		(3,150,368	)		(149,611,479	)		(3,150,368	)
Net loss available to common stockholders, continuing operations		(100,743,427	)		(997,013	)		(154,768,904	)		(6,807,722	)
Net income (loss) from discontinued operations		10,561,415			(31,727	)		10,334,044			(12,796	)
Net loss available to common stockholders	$	(90,182,012	)	$	(1,028,740	)	$	(144,434,155	)	$	(6,820,518	)
Denominator
Basic and diluted weighted average shares of common stock outstanding		7,310,286			990			3,799,062			986
Loss per share available to common stockholders, basic and diluted:
Continuing operations	$	(13.78	)	$	(1,007.08	)	$	(40.74	)	$	(6,904.38	)
Discontinued operations		1.44			(32.05	)		2.72			(12.98	)
Total basic and diluted	$	(12.34	)	$	(1,039.13	)	$	(38.02	)	$	(6,917.36	)

Diluted loss per share excludes all dilutive potential shares if their effect is anti-dilutive. As of June 30, 2021 and 2020, the following potential common stock equivalents were excluded from the calculation of diluted loss per share as their effect was anti-dilutive:

	June 30,
	2021		2020
Warrants		122,395,632		63,467
Convertible preferred stock		85,852,763		16,761
Convertible debentures		5,963,367		1,548
Stock options		26		26
		214,211,788		81,802

The terms of certain of the warrants, convertible preferred stock and convertible debentures issued by the Company provide for reductions in the per share exercise prices of the warrants and the per share conversion prices of the debentures and preferred stock (if applicable and subject to a floor in certain cases), in the event that the Company issues common stock or common stock equivalents (as that term is defined in the agreements) at an effective exercise/conversion price that is less than the then exercise/conversion prices of the outstanding warrants, preferred stock or debentures, as the case may be. In addition, many of these equity-based securities contain exercise or conversion prices that vary based upon the price of the Company’s common stock on the date of exercise/conversion (see Notes 7, 11 and 12). These provisions have resulted in significant dilution of the Company’s common stock.

As a result of these down round provisions, the potential common stock and common stock equivalents totaled 4.7 billion at August 11, 2021, as more fully discussed in Note 16. See Note 11 regarding a discussion of the number of shares of the Company’s authorized common stock.