Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Net (Loss) Income Per Share

v3.20.2
Net (Loss) Income Per Share
6 Months Ended
Jun. 30, 2020
Earnings Per Share [Abstract]  
Net (Loss) Income Per Share Net (Loss) Income Per Share
We present both basic earnings per share (“EPS”) and diluted EPS. Basic EPS excludes potential dilution and is computed by dividing “Net income (loss)” 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 our 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 our common stock. The potential dilution from conversion of the Convertible Notes is accounted for using the if-converted method, which requires that all of the shares of our common stock issuable upon conversion of the Convertible Notes will be included in the calculation of diluted EPS assuming conversion of the Convertible Notes at the beginning of the reporting period (or at time of issuance, if later).
The following table shows the calculations for the three and six months ended June 30, 2020 and 2019 (in thousands, except per share amounts).

Three Months Ended June 30, Six Months Ended June 30,
2020 2019 2020 2019
Numerator (both basic and diluted)
Net (loss) income $ (6,824)   $ 1,991    $ (13,802)   $ (433)  
Denominator
Basic weighted average shares outstanding 107,887    98,297    106,209    96,734   
Dilutive effect of stock options —    3,709    —    —   
Dilutive effect of restricted stock awards —    330    —    —   
Dilutive effect of Convertible Notes —    —    —    —   
Diluted weighted average shares outstanding 107,887    102,336    106,209    96,734   
Basic net (loss) income per share $ (0.06)   $ 0.02    $ (0.13)   $ 0.00   
Diluted net (loss) income per share $ (0.06)   $ 0.02    $ (0.13)   $ 0.00   

The following potential dilutive shares were excluded from the calculation of diluted net loss per share because their effect would be anti-dilutive for the three and six months ended June 30, 2020 and 2019:

Three Months Ended June 30, Six Months Ended June 30,
2020 2019 2020 2019
Stock options 2,870,633    —    2,944,330    3,404,296   
Restricted stock awards 280,734    —    236,917    259,805   
Convertible Notes 3,773,388    —    1,886,694    —