RWS AR 23 Final Single pages - Flipbook - Page 131
11. EARNINGS PER SHARE
Accounting policy
Basic earnings per share
Basic earnings per share is calculated using the Group’s pro昀椀t after tax and the weighted average number of ordinary
shares in issue during the year.
Diluted earnings per share
Diluted earnings per share is calculated by adjusting the basic earnings per share for the e昀昀ects of share options and
awards granted to employees. These are included in the calculation when their e昀昀ects are dilutive.
Adjusted earnings per share
Adjusted earnings per share is a trend measure, which presents the long-term pro昀椀tability of the Group, excluding the
impact of speci昀椀c transactions that Management considers a昀昀ects the Group's short-term pro昀椀tability. The Group presents
this measure to assist investors in their understanding of trends. Adjusted earnings is the numerator used for this measure.
Adjusted earnings and adjusted earnings per share are therefore stated before amortisation of acquired intangibles,
acquisition costs, share based payment expenses and exceptional items, net of any associated tax e昀昀ects.
The reconciliation between the basic and adjusted earnings per share is as follows:
2022
Basic earnings
per share
pence
2023
Diluted earnings
per share
pence
2022
Diluted
earnings
per share
pence
2023
£m
2022
£m
2023
Basic earnings
per share
pence
(27.7)
62.7
(7.1)
16.1
(7.1)
16.0
Amortisation of acquired intangibles
38.8
34.4
Impairment losses
62.4
-
5.1
2.1
23.3
26.6
23.3
26.5
(Loss)/ pro昀椀t for the year
Adjustments:
Acquisition costs
Share based payments expense
1.8
3.2
Net gain of debt modi昀椀cation
0.3
0.3
Exceptional items
Tax e昀昀ect of adjustments
Tax adjustments in respect of prior years
Adjusted earnings
22.6
12.5
(12.8)
(10.0)
-
(1.6)
90.5
103.6
Weighted average number of ordinary shares in issue for basic earnings
2023
Number
2022
Number
388,231,290
389,374,854
30,688
1,469,514
388,261,978
390,844,368
Dilutive impact of share options
Weighted average number of ordinary shares for diluted earnings
NOTES TO THE CONSOLIDATED STATEMENTS
RWS Holdings plc — Annual Report 2023
131
