Earnings Per Share

9 Months Ended

Jan. 31, 2023

We calculate basic earnings per share by dividing net income available to common stockholders by the weighted average number of common shares outstanding during the period. Diluted earnings per share further includes the dilutive effect of stock-based compensation awards. We calculate that dilutive effect using the “treasury stock method” (as defined by GAAP).

The following table presents information concerning basic and diluted earnings per share:


	Three Months Ended				Nine Months Ended
	January 31,				January 31,
(Dollars in millions, except per share amounts)	2022		2023		2022		2023


Net income available to common stockholders	$	259	$	100	$	687	$	576

Share data (in thousands):
Basic average common shares outstanding	478,887		479,152		478,844		479,121
Dilutive effect of stock-based awards	1,680		1,308		1,755		1,361
Diluted average common shares outstanding	480,567		480,460		480,599		480,482

Basic earnings per share	$	0.54	$	0.21	$	1.43	$	1.20
Diluted earnings per share	$	0.54	$	0.21	$	1.43	$	1.20

We excluded common stock-based awards for approximately 789,000 shares and 1,257,000 shares from the calculation of diluted earnings per share for the three months ended January 31, 2022 and 2023, respectively. We excluded common stock-based awards for approximately 623,000 shares and 1,059,000 shares from the calculation of diluted earnings per share for the nine months ended January 31, 2022 and 2023, respectively. We excluded those awards because they were not dilutive for those periods under the treasury stock method.