Net Income Per Share
The following table sets forth the computation of basic and diluted net income per share (in thousands, except per share data):
Fiscal Year Ended March 31,
202520242023
Numerator:
Net income$483,684 $154,632 $107,959 
Denominator:
Weighted average shares outstanding, basic298,384 294,051 287,700 
Dilutive effect of share-based awards5,218 5,229 3,917 
Weighted average shares outstanding, diluted303,602 299,280 291,617 
Net income per share, basic$1.62 $0.53 $0.38 
Net income per share, diluted$1.59 $0.52 $0.37 
The effect of certain common share equivalents were excluded from the computation of weighted-average diluted shares outstanding for the years ended March 31, 2025, 2024, and 2023 as inclusion would have resulted in anti-dilution. A summary of these weighted-average anti-dilutive common share equivalents is provided in the table below (in thousands):
Fiscal Year Ended March 31,
202520242023
Stock options 74 130 952 
Unvested RSAs and RSUs209 203 776 

About Earnings Per Share Disclosures

The earnings per share disclosure breaks down the calculation from net income to both basic and diluted EPS, revealing the full impact of a company's capital structure on per-share economics. The reconciliation between basic and diluted share counts exposes how many stock options, RSUs, convertible securities, and warrants are potentially dilutive to existing shareholders.

Key signals: a widening gap between basic and diluted shares indicates growing dilution from equity compensation or convertible instruments. Anti-dilutive securities excluded from the diluted calculation deserve attention — they represent latent dilution that will materialize if the stock price rises. Watch for the effect of share buybacks on per-share metrics: EPS growth driven primarily by repurchases rather than income growth signals weakening fundamentals. Compare year-over-year changes in the diluted share count against equity compensation expense to assess whether management is effectively managing dilution.