Net Earnings Per Share

6 Months Ended

Apr. 30, 2023

HP calculates basic net EPS using net earnings and the weighted-average number of shares outstanding during the reporting period. Diluted net EPS includes any dilutive effect of restricted stock units, stock options, performance-based awards and shares purchased under the 2021 employee stock purchase plan.

A reconciliation of the number of shares used for basic and diluted net EPS calculations is as follows:


	Three months ended April 30				Six months ended April 30
	2023		2022		2023		2022
	In millions, except per share amounts
Numerator:
Net earnings	$	1,066	$	1,000	$	1,553	$	2,086
Denominator:
Weighted-average shares used to compute basic net EPS	991		1,050		990		1,066
Dilutive effect of employee stock plans	7		12		7		12
Weighted-average shares used to compute diluted net EPS	998		1,062		997		1,078
Net earnings per share:
Basic	$	1.08	$	0.95	$	1.57	$	1.96
Diluted	$	1.07	$	0.94	$	1.56	$	1.94
Anti-dilutive weighted-average stock-based compensation awards(1)	5		1		7		4

(1)HP excludes from the calculation of diluted net EPS stock options and restricted stock units where the assumed proceeds exceed the average market price, because their effect would be anti-dilutive. The assumed proceeds of a stock option include the sum of its exercise price, and average unrecognized compensation cost. The assumed proceeds of a restricted stock unit represent unrecognized compensation cost.