2. Net Income per Common Share
Basic net income per common share is computed by dividing net income by the weighted average number of common shares outstanding during the period. With regard to common stock subject to vesting requirements and restricted stock units issued to the Company’s employees and non-employee members of its Board of Directors, the calculation includes only the vested portion of such stock and units .
Diluted net income per common share is computed by dividing net income by the weighted average number of common shares outstanding, increased by the assumed conversion of other potentially dilutive securities during the period.
The following table reconciles basic and dilutive weighted average common shares:
|
| Quarter Ended |
|
| Nine Months Ended |
| ||||||||||
|
| October 1, |
|
| September 25, |
|
| October 1, |
|
| September 25, |
| ||||
|
| 2021 |
|
| 2020 |
|
| 2021 |
|
| 2020 |
| ||||
Basic weighted average common shares outstanding |
|
| 29,813,530 |
|
|
| 30,053,457 |
|
|
| 30,038,249 |
|
|
| 29,985,879 |
|
Effect of dilutive securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unvested restricted stock units and common stock subject to vesting requirements issued to employees and non-employees |
|
| 625,680 |
|
|
| 204,747 |
|
|
| 460,058 |
|
|
| 142,223 |
|
Common stock issuable upon the exercise of stock options and SARs |
|
| 2,436,600 |
|
|
| 2,145,238 |
|
|
| 2,373,075 |
|
|
| 2,206,450 |
|
Dilutive weighted average common shares outstanding |
|
| 32,875,810 |
|
|
| 32,403,442 |
|
|
| 32,871,382 |
|
|
| 32,334,552 |
|
Approximately 2 thousand shares of common stock equivalents were excluded from the computations of diluted net income per common share for both the quarter and nine months ended October 1, 2021, as compared to 9 thousand shares and 14 thousand shares for the quarter and nine months ended September 25, 2020, respectively, as inclusion would have had an anti-dilutive effect on diluted net income per common share.
The above information was disclosed in a filing to the SEC. To see the filing, click here.
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