Earnings Per Share of Common Stock

6 Months Ended

Jun. 30, 2020

Earnings Per Share of Common Stock

Earnings Per Share of Common Stock

6. Earnings Per Share of Common Stock:

The following tables provide the computation of basic and diluted earnings per share of common stock for the three and six months ended June 30, 2020 and 2019.

	For the Three Months Ended
	June 30, 2020		June 30, 2019
Number of shares on which basic earnings per share is calculated:
Weighted-average shares outstanding during period		889,435,166		886,273,682
Add — Incremental shares under stock-based compensation plans		4,290,365		3,281,570
Add — Incremental shares associated with contingently issuable shares		1,213,549		1,276,549
Number of shares on which diluted earnings per share is calculated		894,939,080		890,831,801
Income from continuing operations (millions)	$	1,362	$	2,499
Income/(loss) from discontinued operations, net of tax (millions)		(1)		(1)
Net income on which basic earnings per share is calculated (millions)	$	1,361	$	2,498
Income from continuing operations (millions)	$	1,362	$	2,499
Net income applicable to contingently issuable shares (millions)		—		0
Income from continuing operations on which diluted earnings per share is calculated (millions)	$	1,362	$	2,500
Income/(loss) from discontinued operations, net of tax, on which basic and diluted earnings per share is calculated (millions)		(1)		(1)
Net income on which diluted earnings per share is calculated (millions)	$	1,361	$	2,499
Earnings/(loss) per share of common stock:
Assuming dilution
Continuing operations	$	1.52	$	2.81
Discontinued operations		0.00		0.00
Total	$	1.52	$	2.81
Basic
Continuing operations	$	1.53	$	2.82
Discontinued operations		0.00		0.00
Total	$	1.53	$	2.82

Stock options to purchase 1,511,989 shares and 762,019 shares were outstanding as of June 30, 2020 and 2019, respectively, but were not included in the computation of diluted earnings per share because the options' exercise price during the respective period was greater than the average market price of the common shares, and, therefore, the effect would have been antidilutive.

	For the Six Months Ended
	June 30, 2020		June 30, 2019
Number of shares on which basic earnings per share is calculated:
Weighted-average shares outstanding during period		888,702,256		887,927,612
Add — Incremental shares under stock-based compensation plans		5,015,390		3,327,015
Add — Incremental shares associated with contingently issuable shares		1,271,513		1,116,537
Number of shares on which diluted earnings per share is calculated		894,989,159		892,371,164
Income from continuing operations (millions)	$	2,538	$	4,093
Income/(loss) from discontinued operations, net of tax (millions)		(2)		(4)
Net income on which basic earnings per share is calculated (millions)	$	2,536	$	4,089
Income from continuing operations (millions)	$	2,538	$	4,093
Net income applicable to contingently issuable shares (millions)		(2)		0
Income from continuing operations on which diluted earnings per share is calculated (millions)	$	2,536	$	4,093
Income/(loss) from discontinued operations, net of tax, on which basic and diluted earnings per share is calculated (millions)		(2)		(4)
Net income on which diluted earnings per share is calculated (millions)	$	2,534	$	4,090
Earnings/(loss) per share of common stock:
Assuming dilution
Continuing operations	$	2.83	$	4.58
Discontinued operations		0.00		0.00
Total	$	2.83	$	4.58
Basic
Continuing operations	$	2.85	$	4.61
Discontinued operations		0.00		0.00
Total	$	2.85	$	4.61

Stock options to purchase 1,324,444 shares and 949,519 shares (average of first and second quarter share amounts) were outstanding as of June 30, 2020 and 2019, respectively, but were not included in the computation of diluted earnings per share because the options' exercise price during the respective period was greater than the average market price of the common shares, and, therefore, the effect would have been antidilutive.