Net Income per Share

9 Months Ended

Apr. 30, 2022

The following table presents the calculation of basic and diluted net income per share (in millions, except per-share amounts):


	Three Months Ended				Nine Months Ended
	April 30, 2022		May 1, 2021		April 30, 2022		May 1, 2021
Net income	$	3,044	$	2,863	$	8,997	$	7,582
Weighted-average shares—basic	4,152		4,219		4,184		4,224
Effect of dilutive potential common shares	18		19		20		13
Weighted-average shares—diluted	4,170		4,238		4,204		4,237
Net income per share—basic	$	0.73	$	0.68	$	2.15	$	1.79
Net income per share—diluted	$	0.73	$	0.68	$	2.14	$	1.79
Antidilutive employee share-based awards, excluded	11		15		46		55

Employee equity share options, unvested shares, and similar equity instruments granted and assumed by us are treated as potential common shares outstanding in computing diluted earnings per share. Diluted shares outstanding include the dilutive effect of in-the-money options, unvested restricted stock, and restricted stock units. The dilutive effect of such equity awards is calculated based on the average share price for each fiscal period using the treasury stock method. Under the treasury stock method, the amount the employee must pay for exercising stock options and the amount of compensation cost for future service that has not yet been recognized are collectively assumed to be used to repurchase shares.