Factor (x^2-y^2)

$(x^{2} - y^{2})$

Remove parentheses.

$x^{2} - y^{2}$

Since both terms are perfect squares, factor using the difference of squares formula, $a^{2} - b^{2} = (a + b) (a - b)$ where $a = x$ and $b = y$ .

$(x + y) (x - y)$