Earnings Per Share

6 Months Ended

Oct. 31, 2020

We calculate basic earnings per share by dividing net income available to common stockholders by the weighted average number of common shares outstanding during the period. Diluted earnings per share further includes the dilutive effect of stock-based compensation awards. We calculate that dilutive effect using the “treasury stock method” (as defined by GAAP).

The following table presents information concerning basic and diluted earnings per share:


	Three Months Ended				Six Months Ended
	October 31,				October 31,
(Dollars in millions, except per share amounts)	2019		2020		2019		2020


Net income available to common stockholders	$	282	$	240	$	468	$	564

Share data (in thousands):
Basic average common shares outstanding	477,680		478,506		477,522		478,413
Dilutive effect of stock-based awards	2,801		2,242		2,760		2,172
Diluted average common shares outstanding	480,481		480,748		480,282		480,585

Basic earnings per share	$	0.59	$	0.50	$	0.98	$	1.18
Diluted earnings per share	$	0.59	$	0.50	$	0.97	$	1.17

We excluded common stock-based awards for approximately 522,000 shares and 301,000 shares from the calculation of diluted earnings per share for the three months ended October 31, 2019 and 2020, respectively. We excluded common stock-based awards for approximately 442,000 shares and 168,000 shares from the calculation of diluted earnings per share for the six months ended October 31, 2019 and 2020, respectively. We excluded those awards because they were not dilutive for those periods under the treasury stock method.