Earnings Per Share

3 Months Ended

Mar. 31, 2024

Note 11 – Earnings Per Share

The computation of basic and diluted earnings per share was as follows:


	Three Months Ended March 31,
(in millions, except shares and per share amounts)	2024		2023



Net income	$	2,374	$	1,940








Weighted-average shares outstanding – basic	1,185,298,497		1,219,608,362
Effect of dilutive securities:
Outstanding stock options, unvested stock awards	3,793,522		4,996,336


Weighted-average shares outstanding – diluted	1,189,092,019		1,224,604,698




Earnings per share – basic	$	2.00	$	1.59




Earnings per share – diluted	$	2.00	$	1.58

Potentially dilutive securities:
Outstanding stock options and unvested stock awards	6		98,175
SoftBank contingent consideration (1)	—		48,751,557

(1) Represents the weighted-average number of shares (“SoftBank Specified Shares”) that were contingently issuable from the Merger date of April 1, 2020, pursuant to a letter agreement dated February 20, 2020, between T-Mobile, SoftBank and DT (the “Letter Agreement”). The SoftBank Specified Shares were determined to be contingent consideration for the Merger and was not dilutive until the defined volume-weighted average price per share was reached (the “Threshold Price”). As of the close of trading on December 22, 2023, the Threshold Price was reached. On December 28, 2023, the Company issued the SoftBank Specified Shares to SoftBank in accordance with the Letter Agreement.

As of March 31, 2024, we had authorized 100 million shares of preferred stock, with a par value of $0.00001 per share. There was no preferred stock outstanding as of March 31, 2024 and 2023. Potentially dilutive securities were not included in the computation of diluted earnings per share if to do so would have been anti-dilutive.