Net Income (Loss) Per Share of Common Stock | 11. Net Income (Loss) Per Share of Common Stock Basic net income (loss) per share is computed by dividing net income (loss) attributable to common stockholders by the weighted-average number of common shares outstanding during the period. In computing diluted net income (loss) attributable to common stockholders, net income (loss) is re-allocated to reflect the potential impact of dilutive securities, including stock options, warrants, unvested restricted stock and unvested ZSUs. Diluted net income (loss) per share is computed by dividing net income (loss) attributable to common stockholders by the weighted-average number of common shares outstanding, including potential dilutive securities. For periods in which we have generated a net loss or there is no income attributable to common stockholders, we do not include stock options, warrants, unvested restricted stock and unvested ZSUs in our computation of diluted net income (loss) per share, as the impact of these awards is anti-dilutive. The net per share amounts are the same for Class A, Class B and Class C common stock because the holders of each class are legally entitled to equal per share distributions whether through dividend or distribution. Further, as we assume the conversion of Class B and Class C common shares into Class A common shares (on a one-to-one basis) for the Class A diluted net income (loss) per share computation, the net income (loss) is equal to total net income (loss) for that computation. The following table sets forth the computation of basic and diluted net income (loss) per share of common stock (in thousands, except per share data): Three Months Ended June 30, 2016 2015 Class Class Class Class Class Class A B C A B C (unaudited) BASIC: Net income (loss) attributable to common stockholders $ (3,805 ) $ (537 ) $ (104 ) $ (22,901 ) $ (3,362 ) $ (605 ) Weighted-average common shares outstanding 747,482 105,394 20,517 777,099 114,083 20,517 Basic net income (loss) per share $ (0.01 ) $ (0.01 ) $ (0.01 ) $ (0.03 ) $ (0.03 ) $ (0.03 ) DILUTED: Net income (loss) attributable to common stockholders $ (3,805 ) $ (537 ) $ (104 ) $ (22,901 ) $ (3,362 ) $ (605 ) Reallocation of net income (loss) as a result of conversion of Class C shares to Class A shares (104 ) — — (605 ) — — Reallocation of net income (loss) as a result of conversion of Class B shares to Class A shares (537 ) — — (3,362 ) — — Net income (loss) attributable to common stockholders-diluted $ (4,446 ) $ (537 ) $ (104 ) $ (26,868 ) $ (3,362 ) $ (605 ) Weighted-average common shares outstanding-basic 747,482 105,394 20,517 777,099 114,083 20,517 Conversion of Class C to Class A common shares outstanding 20,517 — — 20,517 — — Conversion of Class B to Class A common shares outstanding 105,394 — — 114,083 — — Weighted-average common shares outstanding-diluted 873,393 105,394 20,517 911,699 114,083 20,517 Diluted net income (loss) per share $ (0.01 ) $ (0.01 ) $ (0.01 ) $ (0.03 ) $ (0.03 ) $ (0.03 ) Six Months Ended June 30, 2016 2015 Class Class Class Class Class Class A B C A B C (unaudited) BASIC: Net income (loss) attributable to common stockholders $ (26,384 ) $ (3,891 ) $ (729 ) $ (62,450 ) $ (9,251 ) $ (1,663 ) Weighted-average common shares outstanding 742,271 109,455 20,517 770,415 114,126 20,517 Basic net income (loss) per share $ (0.04 ) $ (0.04 ) $ (0.04 ) $ (0.08 ) $ (0.08 ) $ (0.08 ) DILUTED: Net income (loss) attributable to common stockholders $ (26,384 ) $ (3,891 ) $ (729 ) $ (62,450 ) $ (9,251 ) $ (1,663 ) Reallocation of net income (loss) as a result of conversion of Class C shares to Class A shares (729 ) — — (1,663 ) — — Reallocation of net income (loss) as a result of conversion of Class B shares to Class A shares (3,891 ) — — (9,251 ) — — Net income (loss) attributable to common stockholders-diluted $ (31,004 ) $ (3,891 ) $ (729 ) $ (73,364 ) $ (9,251 ) $ (1,663 ) Weighted-average common shares outstanding-basic 742,271 109,455 20,517 770,415 114,126 20,517 Conversion of Class C to Class A common shares outstanding 20,517 — — 20,517 — — Conversion of Class B to Class A common shares outstanding 109,455 — — 114,126 — — Weighted-average common shares outstanding-diluted 872,243 109,455 20,517 905,058 114,126 20,517 Diluted net income (loss) per share $ (0.04 ) $ (0.04 ) $ (0.04 ) $ (0.08 ) $ (0.08 ) $ (0.08 ) The following weighted-average equity awards were excluded from the computation of diluted net income (loss) per share because their effect would have been anti-dilutive for the periods presented (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Stock options and employee stock purchase plan 24,939 28,912 24,059 33,498 Restricted shares 3,692 8,459 4,580 9,787 ZSUs 63,239 59,812 62,983 63,952 Total 91,870 97,183 91,622 107,237 |