Net Income (Loss) Per Common Share

9 Months Ended

Apr. 03, 2020

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


	Three Months Ended						Nine Months Ended
	April 3, 2020		March 29, 2019		April 3, 2020		March 29, 2019
	(in millions, except per share data)
Net income (loss)	$	17	$	(581)	$	(398)	$	(557)
Weighted average shares outstanding:
Basic	299		292		298		291
Employee stock options, RSUs, PSUs and ESPP	4		—		—		—
Diluted	303		292		298		291
Income (loss) per common share
Basic	$	0.06	$	(1.99)	$	(1.34)	$	(1.91)
Diluted	$	0.06	$	(1.99)	$	(1.34)	$	(1.91)
Anti-dilutive potential common shares excluded	3		17		15		17

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 (loss) per common share is computed using Net income (loss) 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 April 3, 2020, the Company excluded 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 nine months ended April 3, 2020 and the three and nine months ended March 29, 2019, the Company recorded net losses, and all shares subject to outstanding equity awards have been excluded for those periods because including them would be anti-dilutive.