XML 20 R9.htm IDEA: XBRL DOCUMENT v2.4.0.8
Net Income Per Share
 9 Months Ended
Oct. 26, 2014
Notes to financial statements [Abstract]  
Net Income Per Share
Net Income Per Share
The following is a reconciliation of the numerator and denominator of the basic and diluted net income per share computations for the periods presented: 
 
Three Months Ended
 
Nine Months Ended
 
October 26,
 
October 27,
 
October 26,
 
October 27,
 
2014
 
2013
 
2014
 
2013
 
(In thousands, except per share data)
Numerator:
 
 
 
 
 
 
 
Net income
$
172,967

 
$
118,734

 
$
437,459

 
$
293,073

Denominator:
 

 
 

 
 

 
 

Denominator for basic net income per share, weighted average shares
547,789

 
580,870

 
555,035

 
594,363

Effect of dilutive securities:
 

 
 

 
 

 
 

Equity awards outstanding
10,412

 
7,882

 
10,618

 
5,745

Denominator for diluted net income per share, weighted average shares
558,201

 
588,752

 
565,653

 
600,108

Net income per share:
 

 
 

 
 

 
 

Basic net income per share
$
0.32

 
$
0.20

 
$
0.79

 
$
0.49

Diluted net income per share
$
0.31

 
$
0.20

 
$
0.77

 
$
0.49

Potentially dilutive securities excluded from diluted net income per share because their effect would have been anti-dilutive
11,324

 
21,870

 
16,155

 
27,351


The denominator for diluted net income per share for the three and nine months ended October 26, 2014 did not include any effect from the 1.00% Convertible Senior Notes due 2018, or the Notes. The calculation of the dilution impact is based on the treasury stock method in accordance with Accounting Standards Codification, or ASC 260, Earnings per Share. Commencing after the fiscal quarter ended on April 27, 2014, the Notes will not impact the denominator for diluted net income per share unless the average price of our common stock, as calculated under the terms of the Notes, exceeds the conversion price of $20.16 per share. Likewise, the denominator for diluted net income per share will not include any effect from the warrants that were issued simultaneously with the Notes unless the average price of our common stock, as calculated under the terms of the warrants, exceeds $27.14 per share. Please refer to Note 11 of these Notes to Condensed Consolidated Financial Statements for additional discussion regarding the Notes.
The denominator for diluted net income per share for the three and nine months ended October 26, 2014 also did not include any effect from the note hedges that were issued simultaneously with the Notes. In future periods, the denominator for diluted net income per share will exclude any effect of the note hedges, unless in the event an actual conversion of any or all of the Notes occurs, the shares that would be delivered to us under the note hedges are designed to neutralize the dilutive effect of the shares that we would issue under the Notes.