Earnings (Loss) Per Share

12 Months Ended

Dec. 30, 2023

Earnings (Loss) Per Share

Earnings (Loss) Per Share

4. Earnings (Loss) Per Share

The following table sets forth the computation of basic and diluted earnings (loss) per share (in thousands, except per share data):

	Year Ended
	December 30,		December 31,		January 1,
	2023		2022		2022
Income (loss) from continuing operations	$	(34,516)	$	91,402	$	(57,874)
Shares used in computing basic earnings (loss) per share		31,804		35,086		42,830
Effect of dilutive securities:
Stock-based awards and convertible debt		—		956		—
Shares used in computing diluted earnings (loss) per share		31,804		36,042		42,830
Earnings (loss) per share:
Basic	$	(1.09)	$	2.61	$	(1.35)
Diluted	$	(1.09)	$	2.54	$	(1.35)

In periods where the Company reports income from continuing operations, diluted earnings per share was computed using the treasury stock method for stock-based awards and the if-converted method for convertible debt. Diluted shares for fiscal 2023 excluded 0.9 million shares and fiscal 2021 excluded 1.5 million shares due to the Company’s loss from continuing operations for the periods.

The Company irrevocably elected to settle the principal amount of its 0.625% convertible senior notes due 2025 (the “2025 Notes”) in cash and intended to settle any excess value in shares in the event of a conversion. In June 2023, the Company paid $535.0 million in cash and issued 0.9 million shares of common stock in connection with the conversions and redemptions of the 2025 Notes. For fiscal 2022, approximately 0.6 million shares were included in the denominator for the calculation of diluted earnings per share (related to the not yet converted or redeemed 2025 Notes.) See Note 10, Debt, to the Consolidated Financial Statements for additional information. Securities that were anti-dilutive were insignificant and were excluded from the computation of diluted earnings per share in all periods presented.