Net Income Per Share

3 Months Ended

Mar. 31, 2012

Earnings Per Share [Abstract]

Net Income Per Share

Net Income Per Share

Basic net income per share is computed by dividing net income for the period by the weighted average number of shares outstanding during the period, less shares subject to repurchase. Diluted net income per share is computed by dividing net income for the period by the weighted average number of shares less shares subject to repurchase plus, if dilutive, potential common stock outstanding during the period. Potential common stock includes the effect of outstanding dilutive stock options, restricted stock awards and restricted stock units computed using the treasury stock method. Since their impact is anti-dilutive, the total number of shares excluded from the calculations of diluted net income per share for the three months ended March 31, 2012 and 2011 were 2,065,842 and 2,033,842, respectively.

The calculation of basic and diluted net income per share is as follows (in thousands, except per share amounts):

	Three Months Ended March 31,
	2012		2011
Basic:
Net income	$	2,351	$	670
Weighted average shares outstanding — basic	33,365		33,184
Net income per share — basic	$	0.07	$	0.02
Diluted:
Net income	$	2,351	$	670
Weighted average shares outstanding — basic	33,365		33,184
Add: Dilutive effect of employee stock plans	975		914
Weighted average shares outstanding — diluted	34,340		34,098
Net income per share — diluted	$	0.07	$	0.02