Earnings per share

9 Months Ended

Sep. 30, 2019

Earnings Per Share [Abstract]

Earnings per share

Earnings per share

The computation of basic earnings per share (EPS) is based on the weighted-average number of our common shares outstanding. The computation of diluted EPS is based on the weighted-average number of our common shares outstanding and dilutive potential common shares, which include primarily shares that may be issued under our stock option, restricted stock and performance unit award programs (collectively, dilutive securities), as determined by using the treasury stock method.

The computations for basic and diluted EPS were as follows (in millions, except per-share data):

	Three months ended September 30,				Nine months ended September 30,
	2019		2018		2019		2018
Income (Numerator):
Net income for basic and diluted EPS	$	1,968	$	1,859	$	6,139	$	6,466
Shares (Denominator):
Weighted-average shares for basic EPS	599		645		609		669
Effect of dilutive securities	3		4		4		4
Weighted-average shares for diluted EPS	602		649		613		673
Basic EPS	$	3.29	$	2.88	$	10.08	$	9.67
Diluted EPS	$	3.27	$	2.86	$	10.01	$	9.61

For the three and nine months ended September 30, 2019 and 2018, the number of antidilutive employee stock-based awards excluded from the computation of diluted EPS was not significant.