EARNINGS PER SHARE

6 Months Ended

Jun. 30, 2024

The numerator for both basic and diluted earnings per share (EPS) is net income (loss) attributable to Baxter stockholders. The denominator for basic EPS is the weighted-average number of shares outstanding during the period. The dilutive effect of outstanding stock options, RSUs and PSUs is reflected in the denominator for diluted EPS using the treasury stock method.

The following table is a reconciliation of income (loss) from continuing operations to net income (loss) attributable to Baxter stockholders.


	Three Months Ended June 30,				Six Months Ended June 30,
(in millions)	2024		2023		2024		2023
Loss from continuing operations	$	(311)	$	(193)	$	(272)	$	(193)
Less: Net income attributable to noncontrolling interests	3		2		5		3
Loss from continuing operations attributable to Baxter stockholders	(314)		(195)		(277)		(196)
Income from discontinued operations	—		54		—		99
Net loss attributable to Baxter stockholders	$	(314)	$	(141)	$	(277)	$	(97)

The following table is a reconciliation of basic shares and diluted shares.


	Three Months Ended June 30,		Six Months Ended June 30,
(in millions)	2024	2023	2023	2022
Basic shares	510	506	509	506
Effect of dilutive securities	—	—	—	—
Diluted shares	510	506	509	506

Basic and diluted shares are the same for the three and six months ended June 30, 2024 and 2023 due to our loss from continuing operations attributable to Baxter stockholders. The effect of dilutive securities includes unexercised stock options, unvested RSUs and contingently issuable shares related to granted PSUs. The computation of diluted EPS excludes 25 million shares issuable under equity awards for the three and six months ended June 30, 2024, and 27 million and 25 million shares issuable under equity awards for the three and six months ended June 30, 2023, respectively, because their inclusion would have had an anti-dilutive effect on diluted EPS.