Basic net (loss) income per share is determined using the weighted average number of common shares outstanding during the period. Diluted net (loss) income per share is determined using the weighted average number of common shares and potential common shares (representing the hypothetical number of incremental shares issuable under the assumed exercise of outstanding stock options and vesting of outstanding restricted stock units (“RSUs”) during the period using the treasury stock method. The calculation of dilutive shares outstanding excludes securities that would have an antidilutive effect on net income per share.

Diluted net (loss) income per share is based on the treasury stock method and computed by dividing net (loss) income available to common stockholders by the diluted weighted-average shares of common stock outstanding during each period. The potentially dilutive shares are considered to be common stock equivalents and are only included in the calculation of diluted net loss per share when the effect is dilutive.

The following table presents the computation of basic and diluted net (loss) income per share:

Schedule of Basic and Diluted Net Income (Loss) Per Share

The potentially dilutive shares of common stock that have been excluded from the calculation of net loss per share because of the anti-dilutive effect are as follows as of June 30, 2026: 0.4 million warrants, 0.2 million stock options, and 0.5 million unsettled RSUs. The number of potentially dilutive shares is based on the maximum number of shares issuable on exercise or conversion of the related securities as of the period end. Such amounts have not been adjusted for the treasury stock method or weighted-average outstanding calculations as required if the securities were dilutive.