Annual report pursuant to Section 13 and 15(d)

Note 14 - Net Loss per Share

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Note 14 - Net Loss per Share
12 Months Ended
Dec. 31, 2016
Earnings Per Share [Abstract]  
Net Loss per Share

Note 14. Net Loss per Share

 

Basic net loss per share is computed by dividing net loss for the period by the weighted average number of shares of common stock outstanding during each period. There was no dilutive effect for the outstanding potentially dilutive securities for the years ended December 31, 2016 and 2015, respectively, as the Company reported a net loss for all periods.

 

The following table sets forth the computation of the Company’s basic and diluted net loss per share for the periods presented (in thousands, except share and per share data):

   

For the Year Ended

December 31,

    2016   2015
Net loss   $ (3,477 )   $ (51,858 )
Weighted average common shares used in computing net loss per share, basic and diluted     13,438,248       13,621,255  
Net loss per share, basic and diluted   $ (0.26 )   $ (3.81 )

 

Diluted net income per share is computed by dividing net income for the period by the weighted average number of shares of common stock, common stock equivalents and potentially dilutive securities outstanding during each period. The Company uses the treasury stock method to determine whether there is a dilutive effect of outstanding potentially dilutive securities, and the if-converted method to assess the dilutive effect of the convertible notes.

 

There was no dilutive effect for the outstanding awards for the years ended December 31, 2016 and 2015, respectively, as the Company reported a net loss for both periods. However, if the Company had net income for the year ended December 31, 2016, the potentially dilutive securities included in the earnings per share computation would have been 8,663,206. If the Company had net income for the year ended December 31, 2015, the potentially dilutive securities included in the earnings per share computation would have been 2,608,695.

 

Total outstanding potentially dilutive securities were comprised of the following:

 

    As of December 31,
    2016   2015
Stock options     331,584       —    
Warrants     1,389,378       100,000  
Unvested restricted stock     378,425       1,025,999  
Convertible notes     8,619,624       2,608,695  
Total common stock equivalents     10,719,011       3,734,694