Earnings (loss) per share
|9 Months Ended|
Sep. 30, 2021
|Earnings Per Share [Abstract]|
|Earnings (loss) per share||Earnings (loss) per share
The Company presents earnings (loss) per share on a basic and diluted basis. Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of common shares outstanding during the period. Diluted earnings (loss) per share includes the dilutive effect of common stock equivalents, consisting of stock options and warrants using the treasury stock method and convertible notes and preferred stock using the if-converted method. Under the treasury stock method, the amount the holder must pay for exercising stock options or warrants and the amount of average compensation cost for future service that has not yet been recognized are collectively assumed to be used to repurchase shares.
As the Company reported net income for the nine months ended September 30, 2021, basic and diluted earnings per share are calculated as outlined above. For the nine months ended September 30, 2021, the weighted average diluted common shares had 5,397,048 common stock equivalents excluded based on the fact that their inclusion would have had an anti-dilutive effect on earnings per share. For the three months ended September 30, 2021 and for the three and nine months ended September 30, 2020, the Company’s basic and diluted net loss per share attributable to common stockholders are the same because the Company generated a net loss and common stock equivalents are excluded from diluted net loss per share as they have an antidilutive impact.
The following table sets forth basic and diluted net income (loss) per share attributable to common stockholders for the three and nine months ended September 30, 2021 and 2020 (in thousands, except share and per share amounts):
The entire disclosure for earnings per share.
Reference 1: http://www.xbrl.org/2003/role/disclosureRef