EARNINGS PER SHARE

6 Months Ended

Jul. 01, 2023

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 1, 2023		July 2, 2022		July 1, 2023		July 2, 2022
Net income	$	38,071	$	46,252	$	48,635	$	71,911

Weighted-average common shares outstanding—basic	86,677		86,165		86,603		86,766
Effect of dilutive securities	519		695		538		776
Weighted-average common shares outstanding—diluted	87,196		86,860		87,141		87,542

Earnings per share
Basic	$	0.44	$	0.54	$	0.56	$	0.83
Diluted	$	0.44	$	0.53	$	0.56	$	0.82

Effects of potentially dilutive securities are presented only in periods in which they are dilutive. For the three and six months ended July 1, 2023, outstanding stock-based awards representing 0.2 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. 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.