v3.8.0.1
Net (Loss) Income per Share Attributable to Common Stockholders
9 Months Ended
Sep. 30, 2017
Earnings Per Share [Abstract]  
Net (Loss) Income per Share Attributable to Common Stockholders
Net (Loss) Income per Share Attributable to Common Stockholders
Basic net (loss) income per share is computed by dividing net (loss) income attributable to common shareholders by the weighted-average number of common shares outstanding during the period. For the three and nine months ended September 30, 2017 and September 24, 2016, we applied the two-class method to calculate basic and diluted net income per share of common stock, as our Series A Redeemable Convertible Preferred Stock (Series A Preferred Stock) is a participating security. The two-class method is an earnings allocated formula that treats a participating security as having rights to earnings that otherwise would have been available to common stockholders. We compute diluted net (loss) income per common share using income from continuing operations as the “control number” in determining whether potential common shares are dilutive, after giving consideration to all potentially dilutive common shares, including stock options, unvested restricted stock outstanding during the period and potential issuance of stock upon the conversion of the our Series A Preferred Stock, including accrued dividends, outstanding during the period, except where the effect of such securities would be antidilutive.
The calculations of basic and diluted net (loss) income per share and basic and dilutive weighted-average shares outstanding for the three and nine months ended September 30, 2017 and September 24, 2016 were as follows (in thousands, except per share data):
 
Three Months Ended
 
Nine Months Ended
 
September 30, 2017
 
September 24, 2016
 
September 30, 2017
 
September 24, 2016
Numerator:
 
 
 
 
 
 
 
Net (loss) income attributable to common stockholders - basic
$
(418
)
 
$
(4,010
)
 
$
704

 
$
(674
)
Net (loss) income attributable to common stockholders - diluted
$
(418
)
 
$

 
$
712

 
$

 
 
 
 
 
 
 
 
Denominator:
 
 
 
 
 
 
 
Weighted-average shares outstanding - basic
29,825

 
28,769

 
29,510

 
31,045

 
 
 
 
 
 
 
 
Dilutive impact from:
 
 
 
 
 
 
 
Options outstanding
1,962

 

 
1,869

 

Restricted stock units
734

 

 
706

 

Weighted-average shares outstanding - dilutive
32,521

 
28,769

 
32,085

 
31,045

 
 
 
 
 
 
 
 
Net (loss) income per share attributable to common stockholders (Basic):
 
 
 
 
 
 
 
(Loss) income from continuing operations attributable to common stockholders
$
(0.01
)
 
$
(0.14
)
 
$
0.02

 
$
(0.27
)
Income from discontinued operations attributable to common stockholders

 

 

 
0.25

Net (loss) income per share attributable to common stockholders
$
(0.01
)
 
$
(0.14
)
 
$
0.02

 
$
(0.02
)
 
 
 
 
 
 
 
 
Net (loss) income per share attributable to common stockholders (Diluted):
 
 
 
 
 
 
 
(Loss) income from continuing operations attributable to common stockholders
$
(0.01
)
 
$
(0.14
)
 
$
0.02

 
$
(0.27
)
Income from discontinued operations attributable to common stockholders

 

 

 
0.25

Net (loss) income per share attributable to common stockholders
$
(0.01
)
 
$
(0.14
)
 
$
0.02

 
$
(0.02
)

The following equity shares were excluded from the calculation of diluted net income per share from continuing operations and discontinued operations because their effect would have been antidilutive for the periods presented (in thousands):
 
Three Months Ended
 
Nine Months Ended
 
September 30,
2017
 
September 24,
2016
 
September 30,
2017
 
September 24,
2016
Stock options
1,385

 
4,444

 
1,334

 
4,444

Restricted stock units
184

 
1,940

 
108

 
1,940

Series A Redeemable Convertible Preferred Stock (as converted to common stock)
4,724

 
4,473

 
4,724

 
4,473

The Series A Preferred Stock is considered antidilutive due to the fact that the two-class method was more dilutive when calculating dilutive net income per share attributable to common stockholders.