FRENCKEN GROUP LIMITED
ANNUAL REPORT 2015
77
NOTES TO FINANCIAL STATEMENTS
FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2015 (CONT’D)
11 EARNINGS PER SHARE (CONT’D)
(b) Diluted earnings per share
For the purpose of calculating diluted earnings per share, profit attributable to equity holders of the Company
and the weighted average number of ordinary shares outstanding are adjusted for the effects of all dilutive
potential ordinary shares. The Company has one category of potential dilutive ordinary shares which are share
options.
For share options, the weighted average number of shares on issue has been adjusted as if all dilutive share
options were exercised. The number of shares that could have been issued upon the exercise of all dilutive
share options less the number of shares that could have been issued at fair value (determined as the Company’s
average share price for the financial year) for the same total proceeds is added to the denominator as the number
of shares issued for no consideration. No adjustment is made to the profit attributable to equity holders of the
Company.
Diluted earnings per share attributable to equity holders of the Company is calculated as follows:
The Group
2015
$’000
2014
$’000
Profit attributable to equity holders of the Company
9,221
11,358
Number of
shares
Number of
shares
Weighted average number of ordinary shares outstanding
for basic earnings per share
404,622,738 402,576,319
Adjustment for share options
1,390,977
6,298,686
406,013,715 408,875,005
Cents
Cents
Diluted earnings per share
2.27
2.78
12 DIVIDEND
The Company
2015
$’000
2014
$’000
Ordinary dividends paid
First and final exempt (one-tier) dividend paid in respect
of the previous financial year of 1.00 cents (2013 : 1.40 cents per share)
4,047
5,654
At the forthcoming Annual General Meeting to be held on 28 April 2016, a first and final exempt (one-tier) dividend
in respect of the financial year ended 31 December 2015 of 0.75 cents per share amounting to $3,035,000 will be
proposed for the shareholders’ approval.
The financial statements do not reflect this dividend, which will be accounted for in shareholders’ equity as an
appropriation of retained earnings in the financial year ending 31 December 2016.
