Earnings Per Common Share

6 Months Ended

Sep. 30, 2020

Basic earnings per common share are computed by dividing net income by the weighted-average number of common shares outstanding during the reporting period. The computation of diluted earnings per common share is similar to that of basic earnings per common share, except that the former reflects the potential dilution that could occur if dilutive securities or other obligations to issue common stock were exercised or converted into common stock. Diluted loss per common share for the three and six months ended September 30, 2019 was calculated by excluding potentially dilutive securities from the denominator of the share computation due to their anti-dilutive effects.

The computations for basic and diluted earnings or loss per common share are as follows:


	Three Months Ended September 30,				Six Months Ended September 30,
(In millions, except per share amounts)	2020		2019		2020		2019
Income (loss) from continuing operations	$	627	$	(676)	$	1,122	$	(193)
Net income attributable to noncontrolling interests	(50)		(53)		(100)		(107)
Income (loss) from continuing operations attributable to McKesson	577		(729)		1,022		(300)
Loss from discontinued operations, net of tax	—		(1)		(1)		(7)
Net income (loss) attributable to McKesson	$	577	$	(730)	$	1,021	$	(307)

Weighted-average common shares outstanding:
Basic	162		183		162		185
Effect of dilutive securities:
Restricted stock units	1		—		1		—
Diluted	163		183		163		185

Earnings (loss) per common share attributable to McKesson: (1)
Diluted
Continuing operations	$	3.54	$	(3.99)	$	6.26	$	(1.62)
Discontinued operations	—		—		—		(0.03)
Total	$	3.54	$	(3.99)	$	6.26	$	(1.65)
Basic
Continuing operations	$	3.56	$	(3.99)	$	6.31	$	(1.62)
Discontinued operations	—		—		(0.01)		(0.03)
Total	$	3.56	$	(3.99)	$	6.30	$	(1.65)

(1) Certain computations may reflect rounding adjustments.

Potentially dilutive securities include outstanding stock options, restricted stock units, and performance-based and other restricted stock units. Approximately 2 million of potentially dilutive securities for the three months and six months ended September 30, 2020 were excluded from the computations of diluted net earnings per common share as they were anti-dilutive.