Net Income Per Share (Tables)

3 Months Ended

Mar. 31, 2025

Schedule of Denominators for The Computation of Basic and Diluted Earnings Per Share

The following table sets forth the calculation of basic and diluted net income per share:


	Three Months Ended March 31,
	2025		2024

	(In millions, except net income per share)
Numerator:
Net income	$	298	$	301
Denominator:
Shares outstanding at the beginning of the period	55.0		57.8
Weighted-average number of shares issued:
Stock-based compensation	0.1		0.1
Stock purchases	(0.5)		—
Denominator for basic net income per share	54.6		57.9
Effect of dilutive securities: (1)
Stock-based compensation	0.2		0.4

Denominator for diluted net income per share	54.8		58.3

Net income per share - Basic (2)	$	5.47	$	5.21
Net income per share - Diluted (2)	$	5.45	$	5.17

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(1) The dilutive effect of all potentially dilutive common shares is calculated using the treasury stock method. Certain potentially dilutive common shares issuable are not included in the computation of diluted net income per share because to do so would be anti-dilutive.

(2) Source data for calculations in thousands.