Earnings Per Common Share

9 Months Ended

Sep. 30, 2023

The following table sets forth the computation of basic and diluted earnings per common share:


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2023		2022		2023		2022
Numerator:
Net income (loss)	$	723	$	18	$	2,109	$	620
Net (income) loss attributable to noncontrolling interests	—		(1)		—		(3)
Net income (loss) available to Arch	723		17		2,109		617
Preferred dividends	(10)		(10)		(30)		(30)

Net income (loss) available to Arch common shareholders	$	713	$	7	$	2,079	$	587

Denominator:


Weighted average common shares and common share equivalents outstanding — basic	369.2		365.2		368.4		369.5
Effect of dilutive common share equivalents:
Nonvested restricted shares	2.6		2.3		2.4		2.2
Stock options (1)	7.6		6.2		7.5		6.7
Weighted average common shares and common share equivalents outstanding — diluted	379.4		373.7		378.3		378.4

Earnings per common share:
Basic	$	1.93	$	0.02	$	5.64	$	1.59
Diluted	$	1.88	$	0.02	$	5.50	$	1.55

(1) Certain stock options were not included in the computation of diluted earnings per share where the exercise price of the stock options exceeded the average market price and would have been anti-dilutive or where, when applying the treasury stock method to in-the-money options, the sum of the proceeds, including unrecognized compensation, exceeded the average market price and would have been anti-dilutive. For the 2023 third quarter and 2022 third quarter, the number of stock options excluded were 0.3 million and 0.8 million, respectively. For the nine months ended September 30, 2023 and 2022, the number of stock options excluded were 0.5 million and 0.8 million, respectively.