RECONCILIATION OF GAAP NET INCOME (LOSS) TO NON-GAAP NET INCOME (UNAUDITED)
(In thousands, except per share amounts)
| Three months ended | Year ended | ||||||||||||||||||
| December 31, | September 30, | December 31, | December 31, | December 31, | |||||||||||||||
| 2022 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||
| GAAP net income (loss) | $ | 483 | $ | 1,385 | $ | (7,000 | ) | $ | (3,429 | ) | $ | (21,488 | ) | ||||||
| Adjustments to reconcile GAAP net income (loss) to non-GAAP net income: | |||||||||||||||||||
| Stock-based compensation expense | 5,088 | 5,136 | 3,457 | 19,649 | 12,931 | ||||||||||||||
| Amortization of acquired technology under costs of revenues | 553 | 553 | 554 | 2,213 | 2,079 | ||||||||||||||
| Amortization of other acquired intangible assets | 325 | 318 | 313 | 1,270 | 1,255 | ||||||||||||||
| Expenses of arbitration (1) | 852 | 556 | 757 | 1,895 | 1,951 | ||||||||||||||
| Write-down in value of property and equipment (2) | — | — | 3,183 | — | 3,183 | ||||||||||||||
| Tax impact of valuation allowance for deferred tax assets and reconciling items (3) | 98 | (373 | ) | 1,539 | 1,326 | 3,091 | |||||||||||||
| Non-GAAP net income | $ | 7,399 | $ | 7,575 | $ | 2,803 | $ | 22,924 | $ | 3,002 | |||||||||
| GAAP net income (loss) per diluted share | $ | 0.01 | $ | 0.04 | $ | (0.19 | ) | $ | (0.09 | ) | $ | (0.58 | ) | ||||||
| Non-GAAP net income per diluted share | $ | 0.19 | $ | 0.20 | $ | 0.07 | $ | 0.60 | $ | 0.08 | |||||||||
| Weighted average common shares used in GAAP net income (loss) per diluted share calculation | 38,276 | 38,054 | 37,348 | 37,309 | 37,138 | ||||||||||||||
| Weighted average common shares used in Non-GAAP net income per diluted share calculation | 38,276 | 38,054 | 38,430 | 38,130 | 37,901 | ||||||||||||||
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