NET INCOME PER SHARE

3 Months Ended

Sep. 26, 2021

Basic net income per share is computed by dividing net income by the weighted-average number of common shares outstanding during the period. Diluted net income per share is computed using the treasury stock method, for dilutive stock options, restricted stock units, and convertible notes. The following table reconciles the inputs to the basic and diluted computations for net income per share.


	Three Months Ended
		September 26, 2021		September 27, 2020
		(in thousands, except per share data)
Numerator:
Net income		$	1,179,744	$	823,451
Denominator:
Basic average shares outstanding		141,743		145,267
Effect of potential dilutive securities:
Employee stock plans		869		1,112
Convertible notes		—		869

Diluted average shares outstanding		142,612		147,248
Net income per share - basic		$	8.32	$	5.67
Net income per share - diluted		$	8.27	$	5.59

For purposes of computing diluted net income per share, weighted-average common shares do not include potentially dilutive securities that are anti-dilutive under the treasury stock method. The impact from potentially dilutive securities, including options and RSUs, was not material for the three months ended September 26, 2021 and September 27, 2020.