Quarterly report pursuant to Section 13 or 15(d)

Net Income (Loss) per Share

v3.10.0.1
Net Income (Loss) per Share
9 Months Ended
Sep. 30, 2018
Notes to Financial Statements  
Net Income (Loss) per Share

The Company calculates basic and diluted net income (loss) per share using the weighted-average number of shares of common stock outstanding during the period.

 

When the Company is in a net loss position, it excludes from the calculation of diluted net loss per share all potentially dilutive stock options, preferred stock and warrants, and the diluted net loss per share is the same as the basic net loss per share for such periods. If the Company was to be in a net income position, the weighted average number of shares used to calculate the diluted net income per share would include the potential dilutive effect of in-the-money securities, as determined using the treasury stock method.

 

Basic and diluted net loss per share is computed as follows:

 

    Three Months Ended September 30,      Nine Months Ended September 30,   
    2018     2017     2018     2017  
Net income (loss) allocable to common stockholders   $ 340,681     $ (6,200,161 )   $ (7,296,247 )   $ (22,784,296 )
Basic net income (loss) per common share   $ 0.04     $ (1.62 )   $ (0.81 )   $ (8.04 )
Diluted net income (loss) per share   $ 0.02     $ (1.62 )   $ (0.81 )   $ (8.04 )
Weighted average common shares outstanding     9,253,880       3,830,280       8,983,980       2,834,692  
Diluted weighted average shares outstanding     17,123,742       3,830,280       8,983,980       2,834,692  

 

Diluted weighted average shares outstanding for the three months ended September 30, 2018, includes only the common stock reserved for conversion of preferred stock, as the exercise price for the warrants to purchase common stock and the exercise price for common stock options outstanding are substantially above the weighted average price per share during the period. The table below presents the potentially dilutive securities that would have been included in the calculation of diluted net loss per share for the three months ended September 30, 2017, and for the Nine Months ended September 30, 2018 and 2017, respectively, if they were not antidilutive for those periods presented.

 

    Nine Months Ended September 30,  
     2018      2017  
Common stock reserved for conversion of preferred stock     7,869,862       3,877,796  
Warrants to purchase common stock     1,221,935       691,139  
Common stock options outstanding     1,820,589       938,413  
Unvested restricted stock           317,902  
Total     10,912,386       5,825,250