Net Income (Loss) Per Share Attributable to Common Stockholders

12 Months Ended

Oct. 02, 2021

Net Income (Loss) Per Share Attributable to Common Stockholders

Basic and diluted net income (loss) per share attributable to common stockholders is presented in conformity with the two-class method required for participating securities. The Company considers its redeemable convertible preferred stock to be participating securities as the holders of redeemable convertible preferred stock were entitled to receive noncumulative dividends in the event that a dividend was paid on common stock. Upon the closing of the IPO, all outstanding shares of the Company’s redeemable convertible preferred stock automatically converted into 32,482,590 shares of common stock on a one-for-one basis.

Basic net income (loss) attributable to common stockholders per share is calculated by dividing net income (loss) attributable to common stockholders by the weighted-average number of shares of common stock outstanding less shares subject to repurchase. Diluted net income (loss) per share attributable to common stockholders adjusts the basic net income (loss) per share attributable to common stockholders and the weighted-average number of shares of common stock outstanding for the potentially dilutive impact of stock awards, using the treasury stock method.

The following table sets forth the computation of the Company’s basic and diluted net income (loss) per share attributable to common stockholders:


	October 2, 2021		October 3, 2020		September 28, 2019
(In thousands, except share and per share data)
Numerator:
Net income (loss) attributable to common stockholders - basic and diluted	$	158,595	$	(20,115)	$	(4,766)
Denominator:
Weighted-average shares of common stock - basic	122,245,212		109,807,154		103,783,006
Effect of potentially dilutive stock options	10,120,238		—		—
Effect of RSUs	7,875,245		—		—
Effect of PSUs	68,457		—		—
Weighted-average shares of common stock—diluted	140,309,152		109,807,154		103,783,006

Net income (loss) per share attributable to common stockholders:
Basic	$	1.30	$	(0.18)	$	(0.05)
Diluted	$	1.13	$	(0.18)	$	(0.05)

The following potentially dilutive shares as of the end of each period presented were excluded from the computation of diluted net income (loss) per share for the periods presented because including them would have been antidilutive:


	October 2, 2021	October 3, 2020	September 28, 2019
Stock options to purchase common stock	9,030,004	33,503,698	42,300,183
Restricted stock units	3,505,140	9,225,127	4,147,463
Performance stock units	55,586	—	—
Total	12,590,730	42,728,825	46,447,646