Annual report pursuant to Section 13 and 15(d)

Net (Loss) Income per Share

Net (Loss) Income per Share

12 Months Ended

Dec. 31, 2022

Net (Loss) Income per ShareThe Company presents both basic earnings per share (“EPS”) and diluted EPS. Basic EPS excludes potential dilution and is computed by dividing net (loss) income by the weighted-average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if stock awards were exercised and if the 2028 Convertible Notes and 2025 Convertible Notes were converted. The potential dilution from stock awards is accounted for using the treasury stock method based on the average market value of the Company’s common stock. The potential dilution from conversion of the 2028 Convertible Notes and 2025 Convertible Notes is accounted for using the if-converted method, which requires that all of the shares of the Company’s common stock issuable upon conversion of the 2028 Convertible Notes and the 2025 Convertible Notes will be included in the calculation of diluted EPS assuming conversion of the 2028 Convertible Notes and the 2025 Convertible Notes at the beginning of the reporting period (or at time of issuance, if later).

The following table shows the calculations for the years ended December 31, 2022, 2021 and 2020 (in thousands, except per share amounts):


	2022		2021		2020

NET (LOSS) INCOME	$	(144,250)	$	(8,347)	$	4,172



Basic weighted average common shares outstanding	124,217		119,962		108,579
Dilutive effect of stock options	—		—		3,010
Dilutive effect of restricted stock awards	—		—		205


Diluted weighted average shares outstanding	124,217		119,962		111,794

Basic net (loss) income per share	$	(1.16)	$	(0.07)	$	0.04
Diluted net (loss) income per share	$	(1.16)	$	(0.07)	$	0.04

The following potential dilutive shares were excluded from the calculation of diluted net (loss) income per share because their effect would be anti-dilutive for the years ended December 31, 2022, 2021 and 2020:


	2022	2021	2020
Stock options	199	1,892	—
Restricted stock awards	312	194	—
2025 Convertible Notes	5,538	5,538	3,723
2028 Convertible Notes	5,215	5,130	—

The Capped Call Transactions are not reflected in diluted net (loss) income per share as they are anti-dilutive. For further details on the Capped Call Transactions, please refer to Note 9. Debt.