Earnings Per Share

3 Months Ended

Mar. 30, 2024

Basic net earnings per share is calculated by dividing net income by the weighted average number of common shares outstanding for the period. Diluted earnings per share is computed by dividing net income by the weighted average number of diluted common shares outstanding. Diluted common shares outstanding is computed using the Treasury Stock method and, in periods of income, reflects the additional shares that would be outstanding if dilutive share-based compensation awards were converted into common shares during the period.

Earnings per share (in millions, except share data):


	Three Months Ended
	March 30, 2024		April 1, 2023
Basic:
Net income	$	115	$	150
Weighted-average shares outstanding	51,387,570		51,420,536
Basic earnings per share	$	2.24	$	2.92

Diluted:
Net income	$	115	$	150
Weighted-average shares outstanding	51,387,570		51,420,536
Dilutive shares	402,931		327,533
Diluted weighted-average shares outstanding	51,790,501		51,748,069
Diluted earnings per share	$	2.23	$	2.90

Anti-dilutive share-based compensation awards are excluded from diluted earnings per share calculations. There were 18,095 and 56,291 shares that were anti-dilutive for the three months ended March 30, 2024 and April 1, 2023, respectively.