14. L-3 Holdings’ Earnings Per Common
Share
A reconciliation of basic and diluted earnings per
share (EPS) is presented in the table below.
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First Quarter Ended |
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March 25,
2016 |
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March 27,
2015 |
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(in millions,
except per
share data) |
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Reconciliation of net income:
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Net income
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$ |
230 |
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$ |
109 |
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Net income from continuing operations attributable to
noncontrolling interests
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(3 |
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(4 |
) |
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Net income attributable to L-3 Holdings’ common
shareholders
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$ |
227 |
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$ |
105 |
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Earnings attributable to L-3 Holdings’ common
shareholders:
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Continuing operations
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$ |
164 |
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$ |
101 |
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Discontinued operations, net of income tax
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63 |
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4 |
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Net income attributable to L-3 Holdings’ common
shareholders
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$ |
227 |
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$ |
105 |
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Earnings per share attributable to L-3 Holdings’ common
shareholders:
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Basic:
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Weighted average common shares outstanding
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77.8 |
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82.3 |
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Basic earnings per share:
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Continuing operations
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$ |
2.11 |
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$ |
1.23 |
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Discontinued operations, net of income tax
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0.81 |
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0.05 |
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Net income
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$ |
2.92 |
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$ |
1.28 |
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Diluted:
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Common and potential common shares:
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Weighted average common shares outstanding
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77.8 |
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82.3 |
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Assumed exercise of stock options
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2.0 |
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2.9 |
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Unvested restricted stock awards
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1.1 |
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1.4 |
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Employee stock purchase plan contributions
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0.1 |
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0.1 |
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Performance unit awards
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0.1 |
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0.2 |
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Assumed purchase of common shares for treasury
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(2.1 |
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(3.1 |
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Common and potential common shares
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79.0 |
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83.8 |
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Diluted earnings per share:
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Continuing operations
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$ |
2.08 |
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$ |
1.20 |
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Discontinued operations, net of income tax
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0.79 |
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0.05 |
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Net income
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$ |
2.87 |
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$ |
1.25 |
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The computation of diluted EPS excludes shares for
stock options, restricted stock awards and performance unit awards
of 1.2 million for the quarterly period ended March 25,
2016 and shares for stock options of 0.2 million for the
quarterly period ended March 27, 2015, as they were
anti-dilutive.
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