Gironde SA reports, for the year, profit from continuing operations of 960,000 (in euros) attributable to ordinary equity holders, plus the post-tax profit of a discontinued operation of 480,000. The entity has 2,400,000 units shares on a weighted average basis. A convertible bond exists all year: 250,000 units shares on conversion and 120,000 of interest removed after tax. Determine the incremental earnings per share of the bond, then, once the dilution test has been made, diluted earnings per share of total profit. Round earnings per share to two decimals (case convention).
- Profit from continuing operations attributable to ordinary equity holders
- 960,000
- Post-tax profit from discontinued operations
- 480,000
- Weighted average number of ordinary shares
- 2,400,000
- Interest on the bond after tax
- 120,000
- Shares issued on conversion
- 250,000