Note 2 - Net Income Per Share

6 Months Ended

Jul. 02, 2022

Notes to Financial Statements

Earnings Per Share [Text Block]

Our calculation of the diluted share count includes the number of shares from our equity awards with market conditions or performance conditions that would be issuable under the terms of such awards at the end of the reporting period. For equity awards with a market condition, the number of shares included in the diluted share count as of the end of each period presented is determined by measuring the achievement of the market condition as of the end of the respective reporting periods. For equity awards with a performance condition, the number of shares that qualified for vesting as of the end of each period presented are included in the diluted share count when the condition for their issuance was satisfied by the end of the respective reporting periods. See "Note 9 - Stock-Based Compensation" to our consolidated financial statements for further discussion of our equity awards with market conditions or performance conditions.

A summary of basic and diluted Net income per share is presented in the following table:

	Three Months Ended				Six Months Ended
	July 2,		July 3,		July 2,		July 3,
(in thousands, except per share data)	2022		2021		2022		2021
Net income	$	44,532	$	21,838	$	80,610	$	40,651
Shares used in basic Net income per share		137,424		136,388		137,462		136,394
Dilutive effect of stock options, RSUs, ESPP shares, and equity awards with a market condition or performance condition		2,746		5,103		3,195		5,243
Shares used in diluted Net income per share		140,170		141,491		140,657		141,637
Basic Net income per share	$	0.32	$	0.16	$	0.59	$	0.30
Diluted Net income per share	$	0.32	$	0.15	$	0.57	$	0.29

The computation of diluted Net income per share excludes the effects of stock options, restricted stock units ("RSUs"), Employee Stock Purchase Plan ("ESPP") shares, and equity awards with a market condition or performance condition that are antidilutive, aggregating approximately the following number of shares:

	Three Months Ended				Six Months Ended
	July 2,		July 3,		July 2,		July 3,
(in thousands)	2022		2021		2022		2021
Stock options, RSUs, ESPP shares, and equity awards with a market condition or performance condition excluded as they are antidilutive		558		124		442		96