Net Income Per Share

12 Months Ended

Jul. 31, 2016

13 — Net Income Per Share

The table below reconciles basic weighted shares outstanding to diluted weighted average shares outstanding:



	Year Ended July 31,
(In thousands)	2016	2015	2014
Weighted average common shares outstanding	114,423	125,914	125,693
Effect of dilutive securities — stock options	7,724	5,511	5,537
Weighted average common and dilutive potential common shares outstanding	122,147	131,425	131,230

There were no material adjustments to net income required in calculating diluted net income per share. Excluded from the dilutive earnings per share calculation were 5,797,007; 5,905,374; and 3,684,735 options to purchase the Company’s common stock for the years ended July 31, 2016, 2015 and 2014, respectively, because their inclusion would have been anti-dilutive. During the year ended July 31, 2016, the Company early adopted ASU No. 2016-09, Improvements to Employee Share-Based Payment Accounting, which caused an impact on dilutive potential common shares outstanding, as the Company excluded the excess tax benefits and deficiencies from the proceeds portion of the diluted earnings per share calculations as they are no longer recorded in equity, which caused dilutive potential common shares outstanding to increase for all periods in fiscal 2016.