KUWAIT ENERGY plc GROUP
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the year ended 31 December 2011
F-154
55.
EARNINGS PER SHARE
a) Basic earnings per share
The earnings and weighted average number of shares used in the calculation of basic earnings per share are
as follows:
2011
2010
USD 000’s
USD 000’s
Profit for the year
34,763
21,902
Shares
Shares
Weighted average number of shares for the purposes of basic earnings
per share (thousand)
312,340
263,923
Basic earnings per share (cents)
11.1
8.5
b)
Diluted earnings per share
The earnings used in the calculation of diluted earnings per share are as follows:
2011
2010
USD 000’s
USD
000’s
Earnings used in the calculation of diluted earnings per share
34,763
21,902
The weighted average number of ordinary shares for the purposes of diluted earnings per share reconciles to
the weighted average number of ordinary shares used in the calculation of basic earnings per share as
follows:
Shares
Shares
Weighted average number of ordinary shares used in the calculation of
basic earnings per share (thousand)
312,340
263,923
Shares deemed to be issued for no consideration in respect of:
Employee awards (thousand)
858
618
Business combinations (thousand)
-
247
Weighted average number of ordinary shares used in the calculation of
diluted earnings per share (thousand)
313,198
264,788
Diluted earnings per share (cents)
11.1
8.5
56.
RELATED PARTY TRANSACTIONS
Related parties comprise major shareholders, directors and executive officers of the Group, their families
and companies of which they are the principal owners. All related party transactions are conducted on an
arm’s length basis and are approved by the board of directors
.
Balances and transactions between the
Company and its subsidiaries, which are related parties, have been eliminated on consolidation and are not
disclosed in this note.
Note 1 contains information on the restructuring of the Group and the basis of preparation of the financial
statements. No transactions between the Company and Kuwait Energy K.S.S.C. prior to the completion of
the restructuring are disclosed in this note due to the merger accounting approach followed.
Kuwait Energy KSSC, the parent company prior to the restructuring has continued to provide staff to the
Group at cost plus a mark-up, representing an arm’s length transaction, whilst the contracts for those staff
are transferred to subsidiaries of the group. The charge to the Group after completion of the restructuring in
this regard was USD 569 thousand and USD 569 thousand was owed to Kuwait Energy KSSC in this regard
at 31 December 2011 (2010: USD nil)
