Net Income (Loss) per Share

The following table presents the calculation of basic and diluted net income (loss) per share (in millions, except per-share amounts):



	Three Months Ended					Six Months Ended
	January 27, 2018			January 28, 2017		January 27, 2018			January 28, 2017
Net income (loss)	$	(8,778	)	$	2,348	$	(6,384	)	$	4,670
Weighted-average shares—basic	4,924			5,015		4,942			5,021
Effect of dilutive potential common shares	—			25		—			33
Weighted-average shares—diluted	4,924			5,040		4,942			5,054
Net income (loss) per share—basic	$	(1.78	)	$	0.47	$	(1.29	)	$	0.93
Net income (loss) per share—diluted	$	(1.78	)	$	0.47	$	(1.29	)	$	0.92

Employee equity share options, unvested shares, and similar equity instruments are treated as potential common shares outstanding in computing diluted earnings per share. Diluted shares outstanding include the dilutive effect of in-the-money options, unvested restricted stock, and restricted stock units. The dilutive effect of such equity awards is calculated based on the average share price for each fiscal period using the treasury stock method. Under the treasury stock method, the amount the employee must pay for exercising stock options and the amount of compensation cost for future service that has not yet recognized would be recorded in additional paid-in capital when the award becomes deductible are collectively assumed to be used to repurchase shares.

For the three and six months ended January 27, 2018, the Company excluded the impact of potentially dilutive common shares from the calculation of net income (loss) per share as the inclusion would have an antidilutive effect. The Company excluded antidilutive employee-share based awards of 20 million and 103 million for the three and six months ended January 28, 2017.