Net Income (Loss) Per Common Share

6 Months Ended

Oct. 31, 2023

Net income (loss) per share:

Net Income (Loss) Per Common Share

Note 8 – Net Income (Loss) Per Common Share

Basic net income (loss) per common share is computed by dividing our net income (loss) by the weighted average number of shares of common stock outstanding during the period. Diluted net income (loss) per common share is computed by dividing our net income (loss) by the sum of the weighted average number of shares of common stock outstanding during the period plus the potential dilutive effects of stock options, unvested RSUs, unvested PSUs, shares of common stock expected to be issued under our ESPP, and 2026 Notes.

The potential dilutive effect of stock options, unvested RSUs, unvested PSUs, and shares of common stock expected to be issued under our ESPP during the period are calculated in accordance with the treasury stock method but are excluded if their effect is anti-dilutive. The potential dilutive effect of our 2026 Notes is calculated using the if-converted method assuming the conversion of our 2026 Notes as of the earliest period reported or at the date of issuance, if later, but are excluded if their effect is anti-dilutive. A reconciliation of the numerators and the denominators of the basic and dilutive net income (loss) per common share computations are as follows (in thousands, except per share amounts):

	Three Months Ended October 31,						Six Months Ended October 31,
	2023			2022			2023			2022
Numerator	(as restated)			(as restated)			(as restated)			(as restated)
Net income (loss), basic	$	(9,521	)	$	(520	)	$	(11,643	)	$	841
Add interest expense on 2026 Notes, net of tax		–			–			–			(944	)
Net loss, diluted	$	(9,521	)	$	(520	)	$	(11,643	)	$	(103	)
Denominator
Weighted average basic common shares outstanding		63,149			62,204			62,994			62,054
Effect of dilutive securities:
Stock options		–			–			–			1,294
RSUs, PSUs and ESPP		–			–			–			226
2026 Notes		–			–			–			6,776
Weighted average diluted common shares outstanding		63,149			62,204			62,994			70,350
Net income (loss) per share:
Basic	$	(0.15	)	$	(0.01	)	$	(0.18	)	$	0.01
Diluted	$	(0.15	)	$	(0.01	)	$	(0.18	)	$	(0.00	)

The following table presents the potential dilutive securities excluded from the calculation of diluted net income (loss) per share for the periods presented as the effect of their inclusion would have been anti-dilutive (in thousands):

	Three Months Ended October 31,				Six Months Ended October 31,
	2023		2022		2023		2022
Stock options		877		1,404		962		51
RSUs, PSUs and ESPP		1,400		433		1,241		640
2026 Notes		6,776		6,776		6,776		–
Total		9,053		8,613		8,979		691