Net Income Per Share
 3 Months Ended
Mar. 31, 2015
Earnings Per Share [Abstract]  
Net Income Per Share
Net Income Per Share
Employee equity share options and unvested shares granted by the Company are treated as potential common shares outstanding in computing diluted earnings per share. Diluted shares outstanding include the dilutive effect of of in-the-money options, unvested restricted stock units, and ESPP. The dilutive effect of such equity awards is calculated based on the average share price for each fiscal period using the treasury stock method. Under the treasury stock method, the amount the employee must pay for exercising stock options, the amount of compensation cost for future service that the Company has not yet recognized and the amount of tax benefits that would be recorded in additional paid-in capital when the award becomes deductible are collectively assumed to be used to repurchase shares.
Basic and diluted net income (loss) per share were computed using the two-class method for periods prior to the completion of the IPO, which is an allocation method that determines net income (loss) per share for common stock and participating securities.
The following table sets forth the computation of the Company’s basic and diluted net income (loss) per share attributable to common stock for the periods presented (in thousands, except per share data):
 
 
Three Months Ended March 31,
 
2015
 
2014
 
(unaudited)
 
(unaudited)
BASIC:
 
 
 
Net income (loss)
$
12,786

 
$
(22,354
)
Less: net income allocated to participating securities
—

 
—

Net income (loss) attributable to common shareholders
$
12,786

 
$
(22,354
)
Weighted-average common shares outstanding
43,184

 
702

Basic net income (loss) per share
$
0.30

 
$
(31.86
)
DILUTED:
 
 
 
Net income (loss)
$
12,786

 
$
(22,354
)
Less: net income allocated to participating securities
—

 
—

Net income (loss) attributable to common shareholders
$
12,786

 
$
(22,354
)
Weighted-average common shares outstanding-basic
43,184

 
702

Effect of dilutive potential common shares
1,434

 
—

Weighted-average common shares outstanding-diluted
44,618

 
702

Diluted net income (loss) per share
$
0.29

 
$
(31.86
)

The following warrants and director and employee stock awards were excluded from the calculation of diluted net loss per share attributable to common stockholders because their effect would have been anti-dilutive for the periods presented (share data, in thousands):
 
Three Months Ended March 31,
 
2015
 
2014
 
(unaudited)
 
(unaudited)
Warrants to purchase common stock
—

 
42,243

Stock option awards
17

 
—