Quarterly report pursuant to Section 13 or 15(d)

NET INCOME (LOSS) PER SHARE

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NET INCOME (LOSS) PER SHARE
9 Months Ended
Sep. 30, 2024
NET INCOME (LOSS) PER SHARE  
NET INCOME (LOSS) PER SHARE

11.

NET INCOME (LOSS) PER SHARE

Basic net earnings per share applicable to common stockholders is calculated by dividing net earnings applicable to common shareholders by the weighted average shares outstanding during the period, without consideration for common share equivalents. Diluted net earnings per share applicable to common shareholders is calculated by adjusting the weighted average shares outstanding for the dilutive effect of common share equivalents outstanding for the period, determined using the treasury-stock method and the if-converted method. For purposes of the calculation of dilutive net income (loss) per share applicable to common shareholders, stock options, and warrants are considered to be common stock equivalents but are excluded from the calculation of diluted net income (loss) per share applicable to common shareholders when their effect would be anti-dilutive or would not add additional Common Shares to the denominator of the calculation due to being out-of-the-money.

As of September 30, 2024, 2,162,013 Pre-Funded Warrants to purchase common shares for little to no consideration, issued in connection with the August 2023 PIPE and July 2024 PIPE, were included in both the basic and diluted net income (loss) per share calculation. The following table sets forth the computation of basic and diluted net income (loss) per share attributable to common shareholders:

Three Months Ended September 30, 

Nine Months Ended September 30, 

    

2024

    

2023

2024

    

2023

Numerator:

Net income (loss)

$

9,275,825

$

(2,360,648)

$

3,017,080

$

(9,632,053)

Denominator:

 

  

 

  

 

  

 

  

Basic weighted-average common shares outstanding

 

30,023,675

 

12,370,830

 

22,953,751

 

9,861,719

Effect of potentially dilutive securities:

Warrants

696,070

Stock options

43,420

26,283

Diluted weighted-average common shares outstanding

30,067,095

12,370,830

23,676,104

9,861,719

Basic net income (loss) per share attributable to common shareholders

$

0.31

$

(0.19)

$

0.13

$

(0.98)

Diluted net income (loss) per share attributable to common shareholders

$

0.31

$

(0.19)

$

0.13

$

(0.98)

The following outstanding potentially dilutive Common Shares equivalents were excluded from the computation of diluted net income (loss) per share for the periods presented because including them would have been antidilutive:

Three Months Ended

Nine Months Ended

September 30, 

September 30, 

    

2024

    

2023

    

2024

    

2023

Options issued and outstanding under stock option plan

 

1,087,493

 

1,041,492

 

651,030

 

1,041,492

Warrants

 

56,746,647

 

13,955,897

 

45,518,933

 

13,955,897

Series 1 Convertible Preferred Shares

1,166,667

1,166,667

Deferred Share Units

 

1,061

 

1,061

 

1,061

 

1,061

Total

 

57,835,201

 

16,165,117

 

46,171,024

 

16,165,117