Earnings per Share

9 Months Ended

Sep. 30, 2024

The holders of our Class A and Class B common stock (together, "common stock") have identical liquidation and dividend rights but different voting rights. Accordingly, we present the earnings per share (EPS) for Class A and Class B common stock together.

Basic EPS is computed by dividing net income by the weighted-average number of shares of our Class A and Class B common stock outstanding. Diluted EPS is computed by dividing net income by the weighted-average number of fully diluted common stock outstanding and assumes the conversion of our Class B common stock to Class A common stock.

For the three and nine months ended September 30, 2024, Class A common stock equivalent of restricted stock units (RSUs) that were excluded from the diluted EPS calculation were not material. For the three and nine months ended September 30, 2023, RSUs with an anti-dilutive effect were 5 million and 21 million shares, respectively.

The numerators and denominators of the basic and diluted EPS computations for our common stock are calculated as follows (in millions, except per share amounts):


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023 (2)		2024		2023 (2)
Basic EPS:
Numerator
Distributed earnings	$	1,263	$	—	$	3,802	$	—
Undistributed earnings	14,425		11,583		37,720		25,081
Net income	$	15,688	$	11,583	$	41,522	$	25,081
Denominator
Shares used in computation of basic EPS (1)	2,529		2,576		2,536		2,577
Basic EPS	$	6.20	$	4.50	$	16.37	$	9.73
Diluted EPS:
Numerator
Net income for diluted EPS	$	15,688	$	11,583	$	41,522	$	25,081
Denominator
Shares used in computation of basic EPS	2,529		2,576		2,536		2,577
Weighted-average effect of dilutive RSUs	71		65		79		46
Shares used in computation of diluted EPS	2,600		2,641		2,615		2,623
Diluted EPS	$	6.03	$	4.39	$	15.88	$	9.56

____________________________________

(1)Includes 2,184 million and 2,226 million shares of Class A common stock and 345 million and 350 million shares of Class B common stock, for the three months ended September 30, 2024 and 2023, respectively, and 2,190 million and 2,222 million shares of Class A common stock and 346 million and 355 million shares of Class B common stock, for the nine months ended September 30, 2024 and 2023, respectively.

(2)The prior period EPS for Class A and Class B common stock has been presented together to conform with current period presentation, which had no impact on our previously reported basic or diluted EPS.

We declared and paid quarterly cash dividends totaling $0.50 and $1.50 for each share of common stock during the three and nine months ended September 30, 2024, respectively. Total dividends and dividend equivalents paid were $1.09 billion and $3.28 billion for Class A common stock, and $172 million and $519 million for Class B common stock, during the three and nine months ended September 30, 2024, respectively. EPS for Class B common stock is not presented separately as under the two-class method Class A and Class B EPS is not meaningfully different.