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Net Income (Loss) Per Share
 9 Months Ended
Sep. 30, 2016
Earnings Per Share [Abstract]  
Net Income (Loss) Per Share
Net Income (Loss) Per Share
Basic net income (loss) per share is computed by dividing the net income (loss) for the year by the weighted average number of common shares outstanding during the year. Diluted income (loss) per share is calculated in accordance with the treasury stock method and reflects the potential dilution that would occur if securities or other contracts to issue common stock were exercised or converted to common stock. The calculation of diluted income (loss) per share requires that, to the extent the average market price of the underlying shares for the reporting period exceeds the exercise price of the warrants and the presumed exercise of such securities are dilutive to loss per share for the period, an adjustment to net loss used in the calculation is required to remove the change in fair value of the warrants from the numerator for the period. Likewise, an adjustment to the denominator is required to reflect the related dilutive shares, if any, under the treasury stock method.
The following tables reconcile the components of the numerator and denominator included in the calculations of diluted income (loss) per share:

Three Months Ended September 30,

2016

2015
Numerator



Net income (loss) attributable to Inovio Pharmaceuticals, Inc.
$
(20,759,338
)

$
5,594,468

Reflect adjustment for decrease in fair value of warrant liability
(2,841
)

(616,477
)
Numerator for use in diluted income (loss) per share
$
(20,762,179
)

$
4,977,991





Denominator



Weighted average number of common shares outstanding
73,602,834


72,029,644

Effect of dilutive potential common shares
186,174


1,931,593

Denominator for use in diluted income (loss) per share
73,789,008


73,961,237


 
 
 
Net income (loss) per share, diluted
$
(0.28
)
 
$
0.07

 
Nine Months Ended September 30,
 
2016
 
2015
Numerator
 
 
 
Net loss attributable to Inovio Pharmaceuticals, Inc.
$
(47,506,869
)
 
$
(11,235,561
)
Reflect adjustment for decrease in fair value of warrant liability
—

 
(928,978
)
Numerator for use in diluted loss per share
$
(47,506,869
)
 
$
(12,164,539
)
 
 
 
 
Denominator
 
 
 
Weighted average number of common shares outstanding
72,932,199

 
66,846,481

Effect of dilutive potential common shares
—

 
172,480

Denominator for use in diluted loss per share
72,932,199

 
67,018,961

 
 
 
 
Net loss per share, diluted
$
(0.65
)
 
$
(0.18
)


The following table summarizes potential common shares that were excluded from the diluted net loss per share calculation because of their anti-dilutive effect for the three months ended September 30, 2016 and 2015:
 
 
Common Stock Equivalents
2016
 
2015
Options to purchase common stock
6,747,961

 
2,812,185

Restricted stock units
771,335

 
—

Convertible preferred stock
8,456

 
8,456

Total
7,527,752

 
2,820,641



The following table summarizes potential common shares that were excluded from the diluted net loss per share calculation because of their anti-dilutive effect for the nine months ended September 30, 2016 and 2015:
 
 
Common Stock Equivalents
2016
 
2015
Options to purchase common stock
6,747,961

 
5,875,211

Warrants to purchase common stock
284,091

 
580,904

Restricted stock units
771,335

 
230,000

Convertible preferred stock
8,456

 
8,456

Total
7,811,843

 
6,694,571