Basic earnings per share, or EPS, is computed based on the weighted average number of common shares outstanding during the period. Diluted EPS is computed based on the sum of the weighted average number of common shares and potentially dilutive common shares outstanding during the period. In loss periods, basic and diluted loss per share are identical since the effect of potentially dilutive common shares is antidilutive and therefore excluded. Potentially dilutive common shares from equity awards are determined using the average share price for each period under the treasury stock method. In addition, proceeds from exercises of equity awards and the average amount of unrecognized compensation expense for equity awards are assumed to be used to repurchase shares. The following table sets forth the computation of basic and diluted EPS (in thousands, except per-share amounts):


	Three Months Ended March 31,
		2026		2025
Numerator for basic and diluted EPS — net income (A)		$	28,707	$	7,047
Denominator for basic EPS — weighted average shares (B)		79,537		78,028
Effect of potentially dilutive common stock from:
Shares of common stock subject to outstanding options		490		671
Restricted stock units		1,243		1,320
Employee stock purchase plan		44		37
Dilutive potential common shares		1,777		2,028
Denominator for diluted EPS — adjusted weighted average shares and assumed conversions (C)		81,314		80,056
Basic EPS (A / B)		$	0.36	$	0.09
Diluted EPS (A / C)		$	0.35	$	0.09
Common stock equivalent shares excluded from the dilutive calculation due to antidilutive effect:
Shares of common stock subject to outstanding options		162		305
Restricted stock units		73		27

Anti-dilutive potential common shares		235		332