Earnings Per Share

9 Months Ended

Jan. 31, 2021

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				Nine Months Ended
	January 31,				January 31,
(Dollars in millions, except per share amounts)	2020		2021		2020		2021


Net income available to common stockholders	$	231	$	219	$	699	$	783

Share data (in thousands):
Basic average common shares outstanding	477,898		478,599		477,643		478,471
Dilutive effect of stock-based awards	2,859		2,237		2,793		2,194
Diluted average common shares outstanding	480,757		480,836		480,436		480,665

Basic earnings per share	$	0.48	$	0.46	$	1.46	$	1.64
Diluted earnings per share	$	0.48	$	0.45	$	1.45	$	1.63

We excluded common stock-based awards for approximately 0 shares and 298,000 shares from the calculation of diluted earnings per share for the three months ended January 31, 2020 and 2021, respectively. We excluded common stock-based awards for approximately 295,000 shares and 211,000 shares from the calculation of diluted earnings per share for the nine months ended January 31, 2020 and 2021, respectively. We excluded those awards because they were not dilutive for those periods under the treasury stock method.