7. Net Loss Per Share

Basic net loss per common share is calculated using the two-class method by dividing the net loss allocated to common shares by the weighted-average number of common shares outstanding for the period, which includes the common shares deliverable upon the exercise of outstanding pre-funded warrants. Diluted net loss per common share is calculated by adjusting net loss to remove the effects from potential dilutive common shares and dividing this adjusted amount by the weighted average number of common shares and potential dilutive common shares outstanding for the period. Potential dilutive common shares are not included if their effect is anti-dilutive.

As discussed further in Note 10, “Long-Term Obligations”, the conversion obligation for our 3.00% unsecured convertible senior notes due 2025 (the “2025 Notes”) and 6.00% senior secured convertible notes due 2029 (the “2029 Notes”) when outstanding, were potentially settleable in common shares. No 2025 Notes or 2029 Notes were outstanding during the three and six months ended June 30, 2026. The 2025 Notes and 2029 Notes did not impact the calculation of dilutive loss per common share during the three and six months ended June 30, 2025 because they were anti-dilutive in those periods.

As discussed further in Note 10, “Long-Term Obligations”, the conversion obligation for our New 2029 Notes and 2028 Notes can potentially be settled in common shares. The New 2029 Notes and 2028 Notes did not impact the calculation of dilutive loss per common share during the three and six months ended June 30, 2026 because they were anti-dilutive in those periods. No 2028 Notes or New 2029 Notes were outstanding during the three and six months ended June 30, 2025.

As discussed further in Note 11, “Common Share Warrants”, warrants to purchase common shares were outstanding as of June 30, 2026 and 2025. All outstanding warrants, except pre-funded warrants, are excluded from the calculation of basic net loss per share because the warrant holders do not have an obligation to share in our losses. All warrants, except pre-funded warrants, did not impact the calculation of dilutive loss per common share during the three and six months ended June 30, 2026 and 2025 because they either did not exist or were anti-dilutive during these periods. Pre-funded warrants are included in the calculation of basic and diluted net loss per share due to their de-minimis exercise price.