Earnings Per Share

9 Months Ended

Sep. 30, 2020

NOTE 2. EARNINGS PER SHARE

A reconciliation of the numerators and denominators of basic and diluted earnings per share for the three and nine months ended September 30, 2020 and 2019, is shown in the table below.


	Three months ended				Nine months ended
	September 30,				September 30,
	2020		2019		2020		2019
Numerators
Numerator for basic earnings per share:
Net Income	$	3,168	$	3,949	$	9,694	$	12,271
Less: Net income attributable to noncontrolling interest	(352)		(249)		(987)		(762)
Net Income attributable to AT&T	2,816		3,700		8,707		11,509
Less: Preferred stock dividends	(54)		—		(138)		—
Net income attributable to common stock	2,762		3,700		8,569		11,509
Dilutive potential common shares:
Share-based payment	5		6		16		16
Numerator for diluted earnings per share	$	2,767	$	3,706	$	8,585	$	11,525
Denominators (000,000)
Denominator for basic earnings per share:
Weighted average number of common shares outstanding	7,147		7,327		7,160		7,321
Dilutive potential common shares:
Share-based payment (in shares)	26		29		26		29
Denominator for diluted earnings per share	7,173		7,356		7,186		7,350
Basic earnings per share attributable to Common Stock	$	0.39	$	0.50	$	1.19	$	1.57
Diluted earnings per share attributable to Common Stock	$	0.39	$	0.50	$	1.19	$	1.57

In the first quarter of 2020, we completed an accelerated share repurchase agreement with a third-party financial institution to repurchase AT&T common stock. Under the terms of the agreement, we paid the financial institution $4,000 and received 104.8 million shares.