Basic and Diluted Earnings Per Share

9 Months Ended

Oct. 29, 2023

BASIC AND DILUTED EARNINGS PER SHARE

The following table presents the calculation of basic and diluted earnings per share for the three and nine months ended October 29, 2023 and October 30, 2022.

Basic earnings per share is computed by dividing net income attributable to Core & Main for the period by the weighted average number of shares of Class A common stock outstanding during the same period. Shares of Class A common stock issued or redeemed during the period were weighted for the portion of the period in which the shares of Class A common stock were outstanding. The Company did not apply the two-class method because shares of Class B common stock do not participate in earnings or losses of Core & Main. As a result, the shares of Class B common stock are not considered participating securities and are not included in the weighted average shares outstanding for purposes of earnings per share. Net income allocated to holders of non-controlling interests was excluded from net income available to the Class A common stock. There were no preferred dividends and no shares of preferred stock outstanding for the period.

The diluted earnings per share calculation includes the basic weighted average number of shares of Class A common stock outstanding plus the dilutive impact of potential outstanding shares of Class A common stock that would be issued upon exchange of Partnership Interests, together with the retirement of a corresponding number of shares of Class B common stock, under the if-converted method, if dilutive. The treasury stock method is applied to outstanding awards, including unvested Partnership Interests and outstanding stock appreciation rights, restricted stock units and stock options.


	Three Months Ended				Nine Months Ended
Basic earnings per share:	October 29, 2023		October 30, 2022		October 29, 2023		October 30, 2022
Net income	$	158	$	178	$	455	$	497
Net income attributable to non-controlling interests	46		67		147		185
Net income available to Class A common stock	112		111		308		312
Weighted average shares outstanding	170,999,291		170,027,629		169,989,859		168,485,011
Net income per share	$	0.65	$	0.65	$	1.81	$	1.85
Diluted earnings per share:
Net income available to common shareholders - basic	$	112	$	111	$	308	$	312
Increase to net income attributable to dilutive instruments	34		49		110		137
Net income available to common shareholders - diluted	146		160		418		449
Weighted average shares outstanding - basic	170,999,291		170,027,629		169,989,859		168,485,011
Incremental shares of common stock attributable to dilutive instruments	53,687,122		76,234,595		62,495,881		77,713,811
Weighted average shares outstanding - diluted	224,686,413		246,262,224		232,485,740		246,198,822
Net income per share - diluted	$	0.65	$	0.65	$	1.80	$	1.82