Quarterly report pursuant to Section 13 or 15(d)

Net Income (Loss) Per Share

v3.20.2
Net Income (Loss) Per Share
6 Months Ended
Sep. 30, 2020
Earnings Per Share [Abstract]  
Net Income (Loss) Per Share Net Income (Loss) Per Share
Basic net income (loss) per share is calculated by dividing the net income (loss) for the period by the weighted-average number of common shares outstanding during the period, without consideration of potentially dilutive securities. Diluted net income (loss) per share includes the dilutive effect of common share equivalents and is calculated using the weighted-average number of common shares and the common share equivalents outstanding during the reporting period. An anti-dilutive impact is an increase in net income per share or a reduction in net loss per share resulting from the conversion, exercise, or contingent issuance of certain securities.
On August 1, 2019, the Company completed its IPO in which the Company issued and sold 38,873,174 shares of common stock at a price to the public of $16.00 per share. These shares are included in the common stock outstanding as of that date.
For the three and six months ended September 30, 2019, basic and diluted net income (loss) per share have been retrospectively adjusted to reflect the conversion of equity in connection with the reorganization transactions described in Note 2. Basic and diluted net income (loss) per share was derived from a unit conversion factor of $16.00 per share as determined by the board of managers of Dynatrace Holdings LLC on July 30, 2019.
The following table sets forth the computation of basic and diluted net income (loss) per share (in thousands, except per share data):
Three Months Ended September 30, Six Months Ended September 30,
2020 2019 2020 2019
Numerator:
Net income (loss) $ 17,479  $ (417,334) $ 30,344  $ (466,489)
Denominator:
Weighted average shares outstanding, basic 280,077  264,127  279,577  251,412 
Dilutive effect of stock-based awards 6,175  —  5,846  — 
Weighted average shares outstanding, diluted 286,252  264,127  285,423  251,412 
Net income (loss) per share, basic $ 0.06  $ (1.58) $ 0.11  $ (1.86)
Net income (loss) per share, diluted $ 0.06  $ (1.58) $ 0.11  $ (1.86)
The effect of certain common share equivalents were excluded from the computation of weighted average diluted shares outstanding for the three and six months ended September 30, 2020 and 2019 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):
Three Months Ended September 30, Six Months Ended September 30,
2020 2019 2020 2019
Stock options 2,101  4,711  1,572  2,379 
Unvested restricted stock and RSUs 24  4,170  30  2,096 
Shares committed under ESPP —  —  —  —