Basic earnings per share is computed by dividing net income by the weighted average number of common shares outstanding during the period. BAM applies the two-class method in calculating earnings per share for each of its two classes of shares and participating securities, based on their pro-rata share of earnings. Class A Shares held under the ES Plans in one or more private wholly owned subsidiaries of BAM are classified as treasury shares and have been excluded from the calculation of earnings per share. BAM has certain dilutive securities relating to outstanding escrowed shares and options held by employees and non-employees that have been reflected accordingly in diluted earnings per share figures. Basic and diluted net income per share of common stock for the years ended December 31, 2025, 2024 and 2023 was calculated as follows:



FOR THE YEARS ENDED DECEMBER 31, (MILLIONS)	2025				2024				2023
	Class A Shares		Class B Shares		Class A Shares		Class B Shares		Class A Shares		Class B Shares
Numerator
Net income	$	2,482	$	—	$	2,165	$	—	$	1,837	$	—
Denominator
Weighted average of common stock outstanding - basic	1,612.2		—		1,603.4		—		1,585.8		—
Dilutive effect of conversion of options and escrowed shares using treasury stock method	16.3		—		10.2		—		4.8		—
Weighted average of common stock outstanding - diluted	1,628.5		—		1,613.6		—		1,590.6		—
Net Income per Share
Earnings per share - basic	$	1.54	$	1.54	$	1.35	$	1.35	$	1.16	$	1.16
Earnings per share - diluted	$	1.52	$	1.54	$	1.34	$	1.35	$	1.16	$	1.16

The following weighted average potentially dilutive securities were evaluated under the treasury stock method for potentially dilutive effects and have been excluded in the above computation of diluted net income per share attributable to common shareholders for the period presented due to their anti-dilutive effect: