NET INCOME (LOSS) PER SHARE

6 Months Ended

Jun. 30, 2023

Basic net income (loss) per share is computed based on the weighted average number of shares of common stock outstanding during the period. Diluted net income (loss) per share is computed based on the weighted average number of common shares outstanding plus the effect of dilutive potential common shares outstanding during the period using the treasury stock method. During the periods when there is a net loss, potentially dilutive common stock equivalents have been excluded from the calculation of diluted net loss per share as their effect is anti-dilutive. No dividends were declared or paid for the three and six months ended June 30, 2023 or 2022.

The Company uses the two-class method to calculate net income (loss) per share and apply the more dilutive of the two-class method, treasury stock method or if-converted method to calculate diluted net income (loss) per share. Undistributed earnings for each period are allocated to participating securities, based on the contractual participation rights of the security to share in the current earnings as if all current period earnings had been distributed. As there is no contractual obligation for participating securities to share in losses, the Company’s basic net income (loss) per share is computed by dividing the net income (loss) attributable to common shareholders by the weighted-average shares of common stock outstanding during periods with undistributed losses.

The following table sets forth the computation of the Company’s basic and diluted net income (loss) per share attributable to common shareholders for the three and six months ended June 30, 2023 and 2022 (in millions, except share amounts which are presented in thousands, and per share amounts):


	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Basic and diluted net income (loss) per share:
Numerator:



Net income (loss) attributable to common shareholders – basic	$	23	$	(54)	$	(78)	$	(26)
Denominator:
Weighted average shares outstanding – basic	646,062		624,958		646,750		622,064
Basic net income (loss) per share	$	0.04	$	(0.09)	$	(0.12)	$	(0.04)
Diluted net income (loss) per share:
Numerator:




Net income (loss) attributable to common shareholders – diluted	$	23	$	(54)	$	(78)	$	(26)
Denominator:
Weighted average shares outstanding – basic	646,062		624,958		646,750		622,064

Plus: Dilutive effect of employee stock-based awards	21,097		—		—		—


Weighted average shares outstanding - diluted	667,159		624,958		646,750		622,064
Diluted net income (loss) per share	$	0.03	$	(0.09)	$	(0.12)	$	(0.04)

There were no preferred dividends declared or accumulated for the periods presented.

The following securities were not included in the computation of diluted shares outstanding because the effect would be anti-dilutive, or issuance of such shares is contingent upon the satisfaction of certain conditions which were not satisfied by the end of the period (in thousands):


	Three Months Ended June 30,		Six Months Ended June 30,
	2023	2022	2023	2022



RSUs	25,947	57,823	68,994	57,823
Options	4,630	11,722	8,211	11,722

Restricted Shares	—	555	—	555
Employee Stock Purchase Plan	—	678	3,398	678

Total anti-dilutive securities	30,577	70,778	80,603	70,778