Net Income (Loss) Per Common Share

3 Months Ended

Oct. 04, 2019

The following table presents the computation of basic and diluted income (loss) per common share:



	Three Months Ended
	October 4, 2019			September 28, 2018
	(in millions, except per share data)
Net income (loss)	$	(276	)	$	511
Weighted average shares outstanding:
Basic	296			292
Employee stock options, RSUs, PSUs and ESPP	—			6
Diluted	296			298
Income (loss) per common share
Basic	$	(0.93	)	$	1.75
Diluted	$	(0.93	)	$	1.71

The Company computes basic income (loss) per common share using net income (loss) and the weighted average number of common shares outstanding during the period. Diluted income per common share is computed using net income and the weighted average number of common shares and potentially dilutive common shares outstanding during the period. Potentially dilutive common shares include dilutive outstanding employee stock options, RSUs and PSUs, and rights to purchase shares of common stock under the Company’s ESPP. For the three months ended September 28, 2018, the Company excluded 3 million common shares subject to outstanding equity awards from the calculation of diluted shares because their impact would have been anti-dilutive based on the Company’s average stock price during the period. For the three months ended October 4, 2019, the Company recorded a net loss, and all shares subject to outstanding equity awards have been excluded for the period because including them would be anti-dilutive.