XML 76 R19.htm IDEA: XBRL DOCUMENT
v2.4.0.8

Net Income per Common Share | 9 Months Ended
--- | ---
Sep. 28, 2014
Net Income per Common Share | L. Net Income per Common Share The following table sets forth the computation of basic and diluted net income per common share:
|  | For the Three Months Ended |  |  | For the Nine Months Ended |
|  | September 28, 2014 |  |  | September 29, 2013 |  |  | September 28, 2014 |  |  | September 29, 2013 |
|  | (in thousands, except per share amounts) |
Net income for basic and diluted net income per share |  | $ | 82,949 |  |  | $ | 69,459 |  |  | $ | 185,083 |  |  | $ | 142,604 |
Weighted average common shares-basic |  |  | 207,381 |  |  |  | 191,307 |  |  |  | 198,367 |  |  |  | 190,521 |
Effect of dilutive potential common shares: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Incremental shares from assumed conversion of convertible notes (1) |  |  | — |  |  |  | 23,257 |  |  |  | 6,684 |  |  |  | 23,303 |
Convertible note hedge warrant shares (2) |  |  | 8,885 |  |  |  | 18,678 |  |  |  | 16,744 |  |  |  | 18,742 |
Restricted stock units |  |  | 1,167 |  |  |  | 1,102 |  |  |  | 975 |  |  |  | 1,000 |
Stock options |  |  | 879 |  |  |  | 1,465 |  |  |  | 997 |  |  |  | 1,564 |
Employee stock purchase rights |  |  | 21 |  |  |  | 19 |  |  |  | 28 |  |  |  | 35 |
Dilutive potential common shares |  |  | 10,952 |  |  |  | 44,521 |  |  |  | 25,428 |  |  |  | 44,644 |
Weighted average common shares-diluted |  |  | 218,333 |  |  |  | 235,828 |  |  |  | 223,795 |  |  |  | 235,165 |
Net income per common share-basic |  | $ | 0.40 |  |  | $ | 0.36 |  |  | $ | 0.93 |  |  | $ | 0.75 |
Net income per common share-diluted |  | $ | 0.38 |  |  | $ | 0.29 |  |  | $ | 0.83 |  |  | $ | 0.61 |
(1) | Incremental shares from conversion of the convertible notes for the nine months ended September 28, 2014 were calculated using the difference between the average Teradyne stock price from January 1, 2014 through March 12, 2014 and the conversion price of $5.4750, multiplied by 34.7 million shares. The result of this calculation, representing the total intrinsic value of the convertible debt, was divided by the average Teradyne stock price for the period from January 1, 2014 to March 12, 2014 and adjusted for the number of days the convertible notes were outstanding. Incremental shares from assumed conversion of the convertible notes for the three and nine months ended September 29, 2013 were calculated using the difference between the average Teradyne stock price for the period the convertible notes were outstanding and the conversion price of $5.48, multiplied by the 34.7 million shares to be issued upon conversion. The result of this calculation, representing the total intrinsic value of the convertible debt, was divided by the average Teradyne stock price for the period.
(2) | Convertible note hedge warrant shares for the three and nine months ended September 28, 2014 are calculated using the difference between the average Teradyne stock price for the period the warrants were outstanding and the warrant price of $7.63 and $7.64, respectively, multiplied by the weighted average warrant shares outstanding. The result of this calculation, representing the total intrinsic value of the warrant, is divided by the average Teradyne stock price for the period the warrants were outstanding. Convertible note hedge warrant shares for the three and nine months ended September 29, 2013 are calculated using the difference between the average Teradyne stock price for the period and the warrant price of $7.67, multiplied by the 34.7 million shares that would be issued upon conversion. The result of this calculation, representing the total intrinsic value of the warrant, is divided by the average Teradyne stock price for the period.
The computation of diluted net income per common share for the three and nine months ended September 28, 2014 excludes the effect of the potential exercise of stock options to purchase approximately 0.3 million shares because the effect would have been anti-dilutive. The computation of diluted net income per common share for the three and nine months ended September 29, 2013 excludes the effect of the potential exercise of stock options to purchase approximately 0.4 million shares because the effect would have been anti-dilutive.

X
- Definition The entire disclosure for earnings per share. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 50 -Paragraph 1 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 45 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=7655603&loc=d3e1278-109256 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 45 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=7655603&loc=d3e1252-109256 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 55 -Paragraph 52 -URI http://asc.fasb.org/extlink&oid=32703322&loc=d3e4984-109258 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.21) -URI http://asc.fasb.org/extlink&oid=26872669&loc=d3e20235-122688 + Details
Name: | us-gaap_EarningsPerShareTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration