Earnings per Share

The following table presents the calculation of basic and diluted earnings per share:



	Three Months Ended				Six Months Ended
	July 2,		July 3,		July 2,		July 3,
(MILLIONS OF DOLLARS AND SHARES, EXCEPT PER SHARE DATA)	2017		2016		2017		2016
Numerator
Net income before allocation to noncontrolling interests	$	247	$	224	$	486	$	428
Less: net income attributable to noncontrolling interests	—		—		1		—
Net income attributable to Zoetis Inc.	$	247	$	224	$	485	$	428
Denominator
Weighted-average common shares outstanding	490.8		496.3		491.6		496.9
Common stock equivalents: stock options, RSUs, PSUs and DSUs	3.2		2.5		3.0		2.3
Weighted-average common and potential dilutive shares outstanding	494.0		498.8		494.6		499.2

Earnings per share attributable to Zoetis Inc. stockholders—basic	$	0.50	$	0.45	$	0.99	$	0.86
Earnings per share attributable to Zoetis Inc. stockholders—diluted	$	0.50	$	0.45	$	0.98	$	0.86

There were approximately 1 million stock options outstanding for each of the three and six months ended July 2, 2017, and approximately 2 million stock options outstanding for each of the three and six months ended July 3, 2016, under the company’s Equity Plan that were excluded from the computation of diluted earnings per share as the effect would have been anti-dilutive.