Earnings per common share

3 Months Ended

Mar. 31, 2024

Earnings Per Share [Abstract]

Earnings per common share

8. Earnings per common share

The computations of basic earnings per common share follow:

	Three Months Ended March 31,
(Dollars in millions, except per share, shares in thousands)	2024			2023
Income available to common shareholders:
Net income	$	531		$	702
Less: Preferred stock dividends		(25	)		(25	)
Net income available to common equity		506			677
Less: Income attributable to unvested stock-based    compensation awards		(1	)		(1	)
Net income available to common shareholders	$	505		$	676
Weighted-average shares outstanding:
Common shares outstanding (including common stock    issuable) and unvested stock-based compensation awards		166,738			168,010
Less: Unvested stock-based compensation awards		(278	)		(278	)
Weighted-average shares outstanding		166,460			167,732
Basic earnings per common share	$	3.04		$	4.03

The computations of diluted earnings per common share follow:

	Three Months Ended March 31,
(Dollars in millions, except per share, shares in thousands)	2024			2023
Net income available to common equity	$	506		$	677
Less: Income attributable to unvested stock-based    compensation awards		(1	)		(1	)
Net income available to common shareholders	$	505		$	676
Adjusted weighted-average shares outstanding:
Common shares outstanding (including common stock    issuable) and unvested stock-based compensation awards		166,738			168,010
Less: Unvested stock-based compensation awards		(278	)		(278	)
Plus: Incremental shares from assumed conversion    of stock-based compensation awards		624			678
Adjusted weighted-average shares outstanding		167,084			168,410
Diluted earnings per common share	$	3.02		$	4.01

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 1,328,190 common shares and 1,367,054 common shares during the three months ended March 31, 2024 and 2023, respectively, were not included in the computations of diluted earnings per common share because the effect on those periods would have been antidilutive.