Diluted EPS of any prior period presented should not be restated for changes in the assumptions used (such as for contingently issuable shares) or for the conversion of potential ordinary shares (such as convertible debt) outstanding at the end of the previous period. These factors are already taken into account in calculating the basic and, where applicable, the diluted EPS for the current period. Prior period’s EPS data should be restated for the effects of errors and adjustments resulting from changes to accounting policies accounted for retrospectively.

Post balance sheet changes in capital

Basic and diluted EPS figures for the current period and for prior periods should include bonus issues, share splits, share consolidations and other similar events occurring during the period, or occurring after the period end but before the financial statements are authorised for issue, that change the number of shares in issue without a corresponding change in the resources of the entity (that is, retrospective application).

What post balance sheet changes in capital should be adjusted for? Post balance sheet changes in capital not described (which describes bonus issues, share splits, share consolidations and other similar events) should not be adjusted for, but disclosure is required of ordinary share transactions or potential ordinary share transactions that would have changed significantly the number of ordinary shares or potential ordinary shares outstanding at the end of the period if they had occurred before the end of the period.