Earnings Per Share

3 Months Ended

Mar. 31, 2026

The dilutive effect of outstanding stock options, restricted stock units (“RSUs”) and performance share units (“PSUs”) is reflected in the calculation of earnings per share using the treasury stock method. Diluted earnings per share excludes certain shares issuable under stock-based compensation plans because the effect would have been antidilutive.

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



	Three months ended March 31,
(Amounts in millions, except per share amounts)	2026		2025
Numerator:
Net income	$	13	$	137

Denominator:
Weighted average common shares outstanding – basic	174.2		173.7
Dilution associated with stock-based compensation plans	1.3		1.1
Weighted average common shares outstanding – diluted	175.5		174.8

Basic earnings per share	$	0.07	$	0.79
Diluted earnings per share	$	0.07	$	0.78

Antidilutive shares	3.6		4.1