Note 2 — Income (Loss) Per Common Share

Basic income (loss) per share is calculated by dividing net income (loss) by the weighted average number of shares outstanding during the period. Diluted income per share is calculated by dividing net income by the weighted average number of shares used to calculate basic income (loss) per share plus the weighted average number of common share equivalents outstanding during the period. The dilutive effect of outstanding options to purchase common stock and share-based awards is considered in diluted income per share by application of the treasury stock method. The dilutive effect of performance share units is included in diluted income per common share in the periods the performance targets have been achieved. The computations of basic and diluted income (loss) per share for the three months ended March 31, 2019 and 2018 are as follows:


	Three months ended March 31,
	2019		2018
	(in thousands, except per share amounts)
Net income (loss)	$	(18,530)	$	(15,827)
Net income (loss) per common share:
Basic	$	(0.40)	$	(0.34)
Diluted	$	(0.40)	$	(0.34)

Basic weighted average shares outstanding		46,848		46,963
Effect of potentially dilutive share-based awards		—		—
Diluted weighted average shares outstanding		46,848		46,963

Common share equivalents excluded from the diluted weighted average shares outstanding since Veeco incurred a net loss and their effect would be antidilutive		320		169
Potentially dilutive shares excluded from the diluted calculation as their effect would be antidilutive		2,426		2,092
Maximum potential shares to be issued for settlement of the Convertible Senior Notes excluded from the diluted calculation as their effect would be antidilutive		8,618		8,618