Net Income Per Common Share Data
 9 Months Ended
Sep. 30, 2013
Earnings Per Share [Abstract]  
Net Income (Loss) Per Common Share Data
Net Income (Loss) Per Common Share Data
Basic net income (loss) per share is computed using the weighted-average number of common shares outstanding during the period. Diluted net income (loss) per share is computed using the weighted-average number of common shares and, if dilutive, potential common shares outstanding during the period. The Company’s potential common shares consist of the incremental common shares issuable upon the exercise of stock options, and to a lesser extent, shares issuable upon the release of RSUs. In addition, for the nine months ended September 30, 2012, the potential common shares included the conversion of preferred stock on an as if converted basis prior to the Company's initial public offering in February 2012. The dilutive effect of these potential common shares is reflected in diluted earnings per share by application of the treasury stock method.
The following table presents the calculation of basic and diluted net income (loss) per share for the three and nine month periods ended September 30, 2012 and 2013 (in thousands, except share and per share amounts):
 
Three Months Ended,
September 30,
 
Nine Months Ended,
September 30,
 
2012
 
2013
 
2012
 
2013
Basic net income (loss) per share:


 


 
 
 
 
  Numerator:


 


 
 
 
 
        Net income (loss)
$
652

 
$
(832
)
 
$
3,025

 
$
(1,539
)
  Denominator:
 
 
 
 
 
 
 
        Weighted-average common shares outstanding
27,329,106

 
27,333,693

 
23,728,120

 
27,293,898

Basic net income (loss) per share
$
0.02

 
$
(0.03
)
 
$
0.13

 
$
(0.06
)
 
 
 
 
 
 
 
 
Diluted net income (loss) per share:
 
 
 
 
 
 
 
  Numerator:
 
 
 
 
 
 
 
        Net income (loss)
$
652

 
$
(832
)
 
$
3,025

 
$
(1,539
)
  Denominator:
 
 
 
 
 
 
 
        Number of shares used in basic calculation
27,329,106

 
27,333,693

 
23,728,120

 
27,293,898

        Add weighted-average effect of dilutive securities:
 
 
 
 
 
 
 
        Conversion of preferred stock (as if converted basis)
—

 
—

 
2,602,923

 
—

        Employee stock options and RSUs
2,681,253

 
—

 
2,434,109

 
—

  Number of shares used in diluted calculation
30,010,359

 
27,333,693

 
28,765,152

 
27,293,898

Diluted net income (loss) per share
$
0.02

 
$
(0.03
)
 
$
0.11

 
$
(0.06
)

The following equivalent shares were excluded from the calculation of diluted net income (loss) per share because their effect would have been anti-dilutive for the periods presented:
 
Three Months Ended,
September 30,
 
Nine Months Ended,
September 30,
  
2012
 
2013
 
2012
 
2013
Antidilutive equity awards:
 
 
 
 
 
 
 
Stock options and RSUs
132,850

 
5,529,388

 
132,850

 
5,529,388


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