Earnings Per Share

12 Months Ended

Sep. 28, 2019

EARNINGS PER SHARE

The earnings and weighted average common shares used in the computation of basic and diluted earnings per share are as follows:



	in millions, except per share data
	2019		2018		2017
Numerator:
Net income	$	2,035	$	3,027	$	1,778
Less: Net income attributable to noncontrolling interests	13		3		4
Net income attributable to Tyson	2,022		3,024		1,774
Less dividends declared:
Class A	465		378		285
Class B	99		80		61
Undistributed earnings	$	1,458	$	2,566	$	1,428

Class A undistributed earnings	$	1,200	$	2,115	$	1,177
Class B undistributed earnings	258		451		251
Total undistributed earnings	$	1,458	$	2,566	$	1,428

Denominator:
Denominator for basic earnings per share:
Class A weighted average shares	293		295		296
Class B weighted average shares, and shares under if-converted method for diluted earnings per share	70		70		70
Effect of dilutive securities:
Stock options and restricted stock	3		4		4
Denominator for diluted earnings per share – adjusted weighted average shares and assumed conversions	366		369		370

Net Income Per Share Attributable to Tyson:
Class A Basic	$	5.67	$	8.44	$	4.94
Class B Basic	$	5.10	$	7.59	$	4.45
Diluted	$	5.52	$	8.19	$	4.79
Dividends Declared Per Share:
Class A	$	1.575	$	1.275	$	0.975
Class B	$	1.418	$	1.148	$	0.878

Approximately 1 million of our stock-based compensation shares were antidilutive for each of fiscal 2019, 2018 and 2017. These shares were not included in the dilutive earnings per share calculation.

We have two classes of capital stock, Class A stock and Class B stock. Cash dividends cannot be paid to holders of Class B stock unless they are simultaneously paid to holders of Class A stock. The per share amount of cash dividends paid to holders of Class B stock cannot exceed 90% of the cash dividends paid to holders of Class A stock.

We allocate undistributed earnings based upon a 1 to 0.9 ratio per share to Class A stock and Class B stock, respectively. We allocate undistributed earnings based on this ratio due to historical dividend patterns, voting control of Class B shareholders and contractual limitations of dividends to Class B stock.