Chegg 2015 Annual Report Download - page 109

Table of Contents
70
Net Loss Per Share
Basic net loss per share is computed by dividing the net loss attributable to common stockholders by the weighted-
average number of shares of common stock outstanding during the period, less the weighted-average unvested common stock
subject to repurchase or forfeiture. Net loss attributable to common stockholders includes the issuance of 11,667,254 shares of
our common stock in the form of a deemed stock dividend to the holders of our Series D and Series E convertible preferred
stock of approximately $102.6 million during the year ended December 31, 2013. Diluted net loss per share attributable to
common stockholders is computed by giving effect to all potential shares of common stock, including stock options, warrants,
RSUs and convertible preferred stock prior to its conversion in our IPO, to the extent dilutive. Basic and diluted net loss per
share was the same for each period presented as the inclusion of all potential common shares outstanding would have been anti-
dilutive.
The following table sets forth the computation of historical basic and diluted net loss per share (in thousands, except per
share amounts):
Year Ended
December 31,
2015 2014 2013
Numerator:
Net loss. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $(59,210) $ (64,758) $ (55,850)
Deemed dividend to preferred stockholders . . . . . . . . . . . . . . . . . . . . . . . . . . — — (102,557)
$(59,210) $ (64,758) $ (158,407)
Denominator:
Weighted-average common shares outstanding. . . . . . . . . . . . . . . . . . . . . . . . 86,818 83,241 21,121
Less: Weighted-average unvested common shares subject to repurchase or
forfeiture . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . —(36)(219)
Weighted average shares used to compute net loss per share attributable to
common stockholders, basic and diluted . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 86,818 83,205 20,902
Net loss per share, attributed to common stockholders, basic and diluted. . . . . . $(0.68) $ (0.78) $ (7.58)
The following potential weighted-average shares of common stock outstanding were excluded from the computation of
diluted net loss per share attributable to common stockholders because including them would have been anti-dilutive (in
thousands):
Year Ended December 31,
2015 2014 2013
Options to purchase common stock . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,446 14,253 17,972
RSUs and PSUs. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 200 289 1,480
Common stock subject to repurchase or forfeiture . . . . . . . . . . . . . . . . . . . . . . . . — — 100
Warrants to purchase common stock. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 299 996 1,118
Total common stock equivalents. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,945 15,538 20,670
Foreign Currency T
The functional currency of our foreign subsidiaries is the local currency. Adjustments resulting from the translation of
foreign currencies into U.S. dollars for balance sheet amounts are based on the exchange rates as of the consolidated balance
sheet date. Non-monetary balance sheet items denominated in a currency other than the applicable functional currency are
translated using the historical rate. Revenues and expenses are translated at average exchange rates during the period. Foreign
currency translation gains or losses are included in accumulated other comprehensive loss as a component of stockholders’
equity on the consolidated balance sheets. Gains or losses resulting from foreign currency transactions, which are denominated
in currencies other than the entity’s functional currency, are included in other income (expense), net in the consolidated
statements of operations and were not material during 2015, 2014 or 2013.