Earnings per common share

9 Months Ended

Sep. 30, 2023

8. Earnings per common share

The computations of basic earnings per common share follow:


	Three Months Ended September 30						Nine Months Ended September 30
	2023			2022			2023			2022
	(In thousands, except per share)
Income available to common shareholders:
Net income	$	689,941		$	646,596		$	2,258,599		$	1,226,292
Less: Preferred stock dividends		(24,941	)		(24,941	)		(74,822	)		(71,647	)
Net income available to common equity		665,000			621,655			2,183,777			1,154,645
Less: Income attributable to unvested stock-based compensation awards		(1,237	)		(1,106	)		(3,975	)		(2,245	)
Net income available to common shareholders	$	663,763		$	620,549		$	2,179,802		$	1,152,400
Weighted-average shares outstanding:
Common shares outstanding (including common stock issuable) and unvested stock-based compensation awards		166,217			174,921			166,787			160,793
Less: Unvested stock-based compensation awards		(308	)		(312	)		(299	)		(319	)
Weighted-average shares outstanding		165,909			174,609			166,488			160,474

Basic earnings per common share	$	4.00		$	3.55		$	13.09		$	7.18

The computations of diluted earnings per common share follow:


	Three Months Ended September 30						Nine Months Ended September 30
	2023			2022			2023			2022
	(In thousands, except per share)
Net income available to common equity	$	665,000		$	621,655		$	2,183,777		$	1,154,645
Less: Income attributable to unvested stock-based compensation awards		(1,234	)		(1,101	)		(3,965	)		(2,239	)
Net income available to common shareholders	$	663,766		$	620,554		$	2,179,812		$	1,152,406
Adjusted weighted-average shares outstanding:
Common shares outstanding (including common stock issuable) and unvested stock-based compensation awards		166,217			174,921			166,787			160,793
Less: Unvested stock-based compensation awards		(308	)		(312	)		(299	)		(319	)
Plus: Incremental shares from assumed conversion of stock-based compensation awards		661			1,073			605			821
Adjusted weighted-average shares outstanding		166,570			175,682			167,093			161,295

Diluted earnings per common share	$	3.98		$	3.53		$	13.05		$	7.14

GAAP defines unvested share-based awards that contain nonforfeitable rights to dividends or dividend equivalents (whether paid or unpaid) as participating securities that shall be included in the computation of earnings per common share pursuant to the two-class method. The Company has issued stock-based compensation awards in the form of restricted stock and restricted stock units which, in accordance with GAAP, are considered participating securities.

Stock-based compensation awards to purchase common stock of M&T representing 1,745,348 common shares and 1,800,385 common shares during the three-month and nine-month periods ended September 30, 2023, respectively, and 252,793 and 314,155 common shares during the three-month and nine-month periods ended September 30, 2022, respectively, were not included in the computations of diluted earnings per common share because the effect on those periods would have been antidilutive.