Earnings Per Share

9 Months Ended

Sep. 30, 2020

Note 6. Earnings Per Share

The following table presents the calculation of Dominion Energy’s basic and diluted EPS:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2020			2019			2020			2019
(millions, except EPS)
Net income (loss) attributable to Dominion Energy from continuing operations	$	369		$	937		$	767		$	(171	)
Preferred stock dividends (see Note 16)		(16	)		(7	)		(48	)		(8	)
Net income (loss) attributable to Dominion Energy from continuing operations – Basic		353			930			719			(179	)
Dilutive effect of Series A Preferred Stock		—			(13	)		(28	)		—
Net income (loss) attributable to Dominion Energy from continuing operations - Diluted	$	353		$	917		$	691		$	(179	)

Net income (loss) attributable to Dominion Energy from discontinued operations - Basic & Diluted	$	(13	)	$	38		$	(1,850	)	$	520

Average shares of common stock outstanding – Basic & Diluted		833.8			813.0			837.1			802.9
Net effect of dilutive securities		—			—			—			—
Average shares of common stock outstanding – Diluted		833.8			813.0			837.1			802.9

EPS from continuing operations – Basic	$	0.42		$	1.14		$	0.86		$	(0.22	)
EPS from discontinued operations – Basic		(0.01	)		0.05			(2.21	)		0.64
EPS attributable to Dominion Energy – Basic	$	0.41		$	1.19		$	(1.35	)	$	0.42

EPS from continuing operations – Diluted	$	0.42		$	1.12		$	0.83		$	(0.22	)
EPS from discontinued operations – Diluted		(0.01	)		0.05			(2.21	)		0.64
EPS attributable to Dominion Energy – Diluted	$	0.41		$	1.17		$	(1.38	)	$	0.42

As a result of a net loss from continuing operations for the nine months ended September 30, 2019, any adjustments to earnings or shares would be considered antidilutive and are therefore excluded from the calculation of diluted EPS. The 2019 Equity Units and the two September 2020 accelerated share purchase agreements are potentially dilutive securities. See Note 16 for more information. The forward stock purchase contracts included within the 2019 Equity Units were excluded from the calculation of diluted EPS for the

three and nine months ended September 30, 2020 and the three months ended September 30, 2019, as the dilutive stock price threshold was not met. The forward stock purchase contracts included within the accelerated share repurchase agreements are excluded from the calculation of diluted EPS for the three and nine months ended September 30, 2020 as the dilutive stock price threshold was not met. The Series A Preferred Stock included within the 2019 Equity Units is excluded from the effect of dilutive securities within diluted EPS, but a fair value adjustment is reflected within net income from continuing operations attributable to Dominion Energy for the calculation of diluted EPS from continuing operations for the nine months ended September 30, 2020 and the three months ended September 30, 2019, based upon the expectation that the conversion will be settled in cash rather than through the issuance of Dominion Energy common stock. Such fair value adjustment is not included within net income from continuing operations attributable to Dominion Energy for the calculation of diluted EPS from continuing operations for the three months ended September 30, 2020 as the dilutive stock price threshold was not met. The 2016 Equity Units are potentially dilutive securities, but were excluded from the calculation of diluted EPS for the three months ended September 30, 2019 as the dilutive stock price threshold was not met.