QUARTERLY INFORMATION (UNAUDITED)

The following table sets forth selected quarterly financial data for 2017, 2016, and 2015 (shown in thousands except per share data):



	2017 (by quarter)
	1			2			3			4
Revenue	$	9,269		$	11,419		$	11,798		$	12,904
Cost of revenue	891			830			1,182			1,138
Operating expenses	9,050			9,365			10,132			10,033
Operating income (loss)	(672		)	1,224			484			1,733
Other income, net	65			67			149			121
Income tax benefit (provision)	—			(74		)	(17		)	11,012
Net income (loss)	(607		)	1,217			616			12,866
Net income (loss) per share:
Basic income (loss) per share	(0.02		)	0.04			0.02			0.38
Shares used in calculating net income (loss) per share - basic	32,377			32,786			33,024			33,522
Diluted income (loss) per share	(0.02		)	0.03			0.02			0.35
Shares used in calculating net income (loss) per share - diluted	32,377			34,815			35,610			36,251



	2016 (by quarter)
	1			2			3		4
Revenue	$	7,404		$	8,522		$	9,105	$	9,670
Cost of revenue	942			720			793		940
Operating expenses	6,804			7,171			7,618		7,889
Operating income (loss)	(342		)	631			694		841
Other income, net	36			30			45		23
Income tax benefit (provision)	(16		)	(79		)	—		96
Net income (loss)	(322		)	582			739		960
Net income (loss) per share:
Basic income (loss) per share	(0.01		)	0.02			0.02		0.03
Shares used in calculating net income (loss) per share - basic	31,094			31,326			31,823		32,086
Diluted income (loss) per share	(0.01		)	0.02			0.02		0.03
Shares used in calculating net income (loss) per share - diluted	31,094			33,134			34,532		34,860



	2015 (by quarter)
	1			2		3		4
Revenue	$	5,389		$	5,672	$	6,440	$	7,866
Cost of revenue	497			558		591		825
Operating expenses	4,758			4,628		5,539		6,079
Operating income	134			486		310		962
Other income, net	15			21		30		25
Income tax benefit (provision)	(3		)	—		578		(32		)
Net income	146			507		918		955
Net income per share:
Basic income per share	—			0.02		0.03		0.03
Shares used in calculating net income per share - basic	30,618			30,697		30,765		30,969
Diluted income per share	—			0.02		0.03		0.03
Shares used in calculating net income per share - diluted	31,174			31,321		31,646		31,664