Net Income Per Share

9 Months Ended

Sep. 30, 2012

Net Income 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 nine months ended September 30, 2012 and 2011 were 2,067,273 and 2,089,739, respectively.

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

	Three Months Ended September 30,				Nine Months Ended September 30,
	2012		2011		2012		2011
Basic:
Net income	$	6,920	$	2,994	$	10,646	$	6,251
Weighted average shares outstanding — basic	33,193		33,209		33,316		33,132
Net income per share — basic	$	0.21	$	0.09	$	0.32	$	0.19
Diluted:
Net income	$	6,920	$	2,994	$	10,646	$	6,251
Weighted average shares outstanding — basic	33,193		33,209		33,316		33,132
Add: Dilutive effect of employee stock plans	875		1,010		925		968
Weighted average shares outstanding — diluted	34,068		34,219		34,241		34,100
Net income per share — diluted	$	0.20	$	0.09	$	0.31	$	0.18