Net Income (Loss) per Share Attributable to Common Stockholders

9 Months Ended

Nov. 05, 2023

Net Income (Loss) per Share Attributable to Common Stockholders

Basic and diluted net income (loss) per share attributable to common stockholders is presented in conformity with the two-class method required for participating securities. Basic net income (loss) per share attributable to common stockholders is computed by dividing the net income (loss) attributable to common stockholders by the weighted-average number of shares of common stock outstanding during the period, less shares subject to repurchase. Diluted net income (loss) per share attributable to common stockholders is computed by giving effect to all potentially dilutive common stock equivalents, including our outstanding stock options, common stock related to unvested RSUs, PRSUs and LTP Awards, unvested restricted stock, the shares underlying the conversion option in our Notes (prior to the Notes being repaid in April 2023) to the extent dilutive, and common stock issuable pursuant to the ESPP. We used the if-converted method to calculate the impact of our Notes, prior to the Notes being repaid, on diluted EPS. In periods of net loss, all potentially dilutive common stock equivalents have been excluded from the calculation of diluted net loss per share attributable to common stockholders as their effect is anti-dilutive.

The following table sets forth the computation of basic and diluted net income (loss) per share attributable to common stockholders (in thousands, except per share data):


	Third Quarter of Fiscal				First Three Quarters of Fiscal
	2023		2024		2023		2024
Numerator:
Net income (loss)	$	(787)	$	70,389	$	(1,400)	$	(4,127)
Denominator:
Weighted-average shares used in computing net income (loss) per share attributable to common stockholders, basic	300,984		314,153		298,101		309,842
Add: Dilutive effect of common stock equivalents	—		16,102		—		—
Weighted-average shares used in computing net income (loss) per share attributable to common stockholders, diluted	300,984		330,255		298,101		309,842

Net income (loss) per share attributable to common stockholders, basic	$	(0.00)	$	0.22	$	(0.00)	$	(0.01)
Net income (loss) per share attributable to common stockholders, diluted	$	(0.00)	$	0.21	$	(0.00)	$	(0.01)

The following weighted-average outstanding shares of common stock equivalents were excluded from the computation of diluted net income (loss) per share attributable to common stockholders for the periods presented because including them would have been anti-dilutive (in thousands):


	Third Quarter of Fiscal		First Three Quarters of Fiscal
	2023	2024	2023	2024
Stock options to purchase common stock	10,164	—	10,812	7,185
Unvested RSUs and PRSUs	29,809	—	30,510	31,115
Unvested LTP Awards	—	—	—	2,298
Unvested restricted stock	—	—	8	—
Shares related to convertible senior notes	21,884	—	21,884	5,772
Shares issuable pursuant to the ESPP	450	—	450	655

Total	62,307	—	63,664	47,025