Basic and diluted net income (loss) per common share is presented in conformity with the two-class method required for participating securities. Immediately prior to the consummation of the Company’s IPO in September 2019, all outstanding shares of convertible preferred stock and common stock were converted to Class B common stock. As a result, Class A and Class B common stock are the only outstanding equity in the Company as of March 31, 2020.

Basic and diluted net income (loss) per share is computed using the weighted-average number of common shares outstanding during the period. The undistributed earnings are allocated based on the contractual participation rights of the Class A and Class B common shares as if the earnings for the year have been distributed. As the liquidation and dividend rights are identical, the undistributed earnings are allocated on a proportionate basis. Further, as the conversion of Class B common stock is assumed in the computation of the diluted net income (loss) per share of Class A common stock, the undistributed earnings are equal to net income (loss) for that computation.

The following table presents the calculation of basic and diluted net income (loss) per share (in thousands, except per share data):

	Three Months Ended March 31,
	2020				2019
Basic net income (loss) per share:	Class A		Class B
Numerator:
Net income (loss)	$	1,852	$	4,627	$	(9,491	)
Denominator:
Weighted average shares used in calculating net income (loss) per share, basic		84,434		211,021		77,061
Basic net income (loss) per share	$	0.02	$	0.02	$	(0.12	)
Diluted net income (loss) per share:
Numerator:
Allocation of distributed income (loss) for basic computation	$	1,852	$	4,627	$	(9,491	)
Reallocation of undistributed income as a result of conversion of Class B to Class A shares		4,627		—		—
Allocation of undistributed income (loss)	$	6,479	$	4,627	$	(9,491	)
Denominator:
Number of shares used in basic calculation		84,434		211,021		77,061
Weighted average effect of diluted securities:
Conversion of Class B to Class A common shares outstanding		211,021		—		—
Employee stock options		30,708		—		—
Employee stock purchase plan		129		—		—
Unvested early exercises		1,139		—		—
Restricted Stock Units		126		—		—
Unvested restricted stock in connection with acquisition		244		—		—
Number of shares used in diluted calculation		327,801		211,021		77,061
Diluted net income (loss) per share	$	0.02	$	0.02	$	(0.12	)

Potentially dilutive securities that were not included in the diluted per share calculations because they would be anti-dilutive were as follows (in thousands):