Basic net income (loss) per share is computed by dividing the net income (loss) by the weighted-average number of shares of common stock outstanding during the period. Diluted net income (loss) per share is computed by giving effect to all potential shares of common stock, stock options, restricted stock units, performance stock units, ESPP, convertible notes, and convertible preferred stock, to the extent dilutive. For the three months ended March 31, 2025, all such common stock equivalents have been excluded from diluted net loss per share as the effect to net loss per share would be anti-dilutive.

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


	Three Months Ended March 31,
		2026		2025
Numerator
Net income (loss)		$	30,618	$	(10,328)
Denominator
Weighted-average common shares outstanding for basic net income (loss) per share		84,662		91,015
Effect of dilutive securities:
Shares of common stock issuable under equity incentive awards outstanding		1,586		—
Shares of common stock related to convertible preferred stock		743		—

Weighted-average common shares outstanding for diluted net income (loss) per share		86,991		91,015
Basic net income (loss) per share		$	0.36	$	(0.11)
Diluted net income (loss) per share		$	0.35	$	(0.11)

The following table summarizes the potentially dilutive common shares that were excluded from diluted weighted-average common shares outstanding because including them would have had an anti-dilutive effect (in thousands):


	Three Months Ended March 31,
		2026	2025
Shares of common stock issuable under equity incentive plans outstanding		4,915	8,085
Shares of common stock related to convertible preferred stock		—	743

Potential common shares excluded from diluted net loss per share		4,915	8,828