Net Income per Share

3 Months Ended

Apr. 02, 2016

Basic net income per share is computed by dividing net income during the period by the weighted average number of shares of common stock outstanding during that period, less unvested restricted stock awards. Diluted net income per share is impacted by equity instruments considered to be potential common shares, if dilutive, computed using the treasury stock method of accounting.

The calculations for basic and diluted net income per share for the three months ended April 2, 2016 and April 4, 2015 are as follows:



	Three Months Ended
	April 2, 2016		April 4, 2015
	(In thousands, except per share amounts)
Net income	$	50,562	$	36,259
Weighted average common shares used to calculate basic net income per share	296,615		284,523
2015 Warrants	—		18,910
Stock-based awards	6,819		8,414
Weighted average common shares used to calculate diluted net income per share	303,434		311,847
Net income per share - basic	$	0.17	$	0.13
Net income per share - diluted	$	0.17	$	0.12

The 2015 Warrants expired in December 2015. For an additional description of the 2015 Warrants, see Note 3 in the notes to consolidated financial statements in Cadence’s Annual Report on Form 10-K for the fiscal year ended January 2, 2016.

The following table presents shares of Cadence’s common stock outstanding for the three months ended April 2, 2016 and April 4, 2015 that were excluded from the computation of diluted net income per share because the effect of including these shares in the computation of diluted net income per share would have been anti-dilutive:



	Three Months Ended
	April 2, 2016	April 4, 2015
	(In thousands)
Options to purchase shares of common stock	749	1,113
Non-vested shares of restricted stock	83	13
Total potential common shares excluded	832	1,126