Quarterly report pursuant to Section 13 or 15(d)

Net Income (Loss) Per Share

v3.20.2
Net Income (Loss) Per Share
 9 Months Ended
Sep. 30, 2020
Earnings Per Share [Abstract]  
Net Income (Loss) Per Share Net Income (Loss) Per Share
Basic earnings per share, or EPS, is calculated by dividing net income (loss) by the weighted-average number of common shares outstanding for the period, without consideration for common stock equivalents. Diluted EPS is computed by dividing net income (loss) by the weighted-average number of common shares outstanding for the period and the weighted-average number of dilutive common stock equivalents outstanding for the period determined using the treasury-stock method. For purposes of this calculation, common stock options, restricted stock units and restricted stock awards are considered to be common stock equivalents and are only included in the calculation of diluted EPS when their effect is dilutive. In periods in which the Company has a net loss, dilutive common stock equivalents are excluded from the calculation of diluted EPS.
The table below presents the computation of basic and diluted EPS:
Three Months Ended September 30, Nine Months Ended September 30,
2020 2019 2020 2019
(in thousands, except per share amounts)
Numerator:
Net loss $ (36,645) $ (4,714) $ (73,921) $ (11,794)
Denominator:
Weighted average common shares outstanding—basic 73,402  71,366  72,729  70,755 
Dilutive common stock equivalents —  —  —  — 
Weighted average common shares outstanding—diluted 73,402  71,366  72,729  70,755 
Net loss per share:
Basic $ (0.50) $ (0.07) $ (1.02) $ (0.17)
Diluted $ (0.50) $ (0.07) $ (1.02) $ (0.17)
For the three and nine months ended September 30, 2020 and 2019, the Company incurred net losses and accordingly excluded common stock equivalents for outstanding stock-based awards, which represented all potentially dilutive securities, of 3.5 million and 3.1 million for the 2020 periods, respectively, and 2.4 million and 2.6 million for the 2019 periods, respectively, from the calculation of diluted net loss per share due to their anti-dilutive nature.