Earnings (Loss) Per Share

9 Months Ended

Sep. 27, 2022

Basic earnings (loss) per share (“EPS”) is calculated by dividing net income (loss) available to common stockholders by the weighted-average number of shares of common stock outstanding during each period. Diluted EPS is calculated using net income (loss) available to common stockholders divided by diluted weighted-average shares of common stock outstanding during each period. Potentially dilutive securities include shares of common stock underlying stock options, warrants and RSUs. Diluted EPS considers the impact of potentially dilutive securities except in periods in which there is a loss because the inclusion of the potential common shares would have an anti-dilutive effect.

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


	Fiscal Quarter Ended				Three Fiscal Quarters Ended
	September 27, 2022		September 28, 2021		September 27, 2022		September 28, 2021
Net income (loss)	$	795	$	4,697	$	(4,289)	$	8,403
Shares:
Basic weighted average shares outstanding	46,010,824		45,635,455		45,872,893		45,414,332
Effect of dilutive securities	186,687		747,054		—		720,662
Diluted weighted average shares outstanding	46,197,511		46,382,509		45,872,893		46,134,994
Earnings (loss) per share:
Basic earnings (loss) per share	$	0.02	$	0.10	$	(0.09)	$	0.19
Diluted earnings (loss) per share	$	0.02	$	0.10	$	(0.09)	$	0.18

The Company computes the effect of dilutive securities using the treasury stock method and average market prices during the period. Potential common shares are excluded from the computation of diluted earnings (loss) per share when the effect would be anti-dilutive. The shares issuable on the vesting or exercise of share-based awards that were excluded from the calculation of diluted earnings per share because the effect of their inclusion would have been anti-dilutive totaled 1,810,346 and 359,211 for the third quarters of 2022 and 2021, respectively, and totaled 2,364,003 and 479,494 for the first three quarters of 2022 and 2021, respectively.