EARNINGS PER SHARE

6 Months Ended

Jul. 02, 2022

Basic income per share is computed by dividing net income by the weighted-average number of common shares outstanding during the period. Diluted income per share includes the effect of all potentially dilutive securities, which include dilutive stock options and other stock-based awards.

The following table sets forth the calculation of earnings per share and weighted-average common shares outstanding at the dates indicated (in thousands, except per share data):


	Three Months Ended				Six Months Ended
	July 2, 2022		July 3, 2021		July 2, 2022		July 3, 2021
Net income	$	46,252	$	56,231	$	71,911	$	86,754

Weighted-average common shares outstanding—basic	86,165		87,327		86,766		87,253
Effect of dilutive securities	695		1,325		776		1,309
Weighted-average common shares outstanding—diluted	86,860		88,652		87,542		88,561

Earnings per share
Basic	$	0.54	$	0.64	$	0.83	$	0.99
Diluted	$	0.53	$	0.63	$	0.82	$	0.98

Effects of potentially dilutive securities are presented only in periods in which they are dilutive. For the three and six months ended July 2, 2022, outstanding stock-based awards representing 0.5 million and 0.3 million shares of common stock, respectively, were excluded from the calculation of diluted earnings per share, because their effect would be anti-dilutive. No outstanding stock-based awards were excluded from the calculation of diluted earnings per share for the three months ended July 3, 2021. For the six months ended July 3, 2021, outstanding stock-based awards representing less than 0.1 million shares of common stock were excluded from the calculation of diluted earnings, because their effect would be anti-dilutive.