DEFINING DESIGN
QUALITY
64
11.
Income tax expense (cont’d)
A reconciliation between the income tax expense and the product of profit before tax multiplied by the applicable
corporate tax rates for the reporting years ended 31 December 2014 and 2013 is as follows:
Group
2014
$’000
2013
$’000
Profit before tax
21,354
22,005
Less: Share of results of associates
(1,021)
(820)
20,333
21,185
Tax at domestic tax rates applicable to profits in the countries
where the Group operates *
3,769
4,425
Expenses not deductible for tax purposes
366
310
Benefits from previously unrecognised tax losses
(60)
(54)
Tax exemptions and reliefs granted
(410)
(448)
Over provision in respect of prior years
(70)
(624)
Others
–
14
Income tax expense
3,595
3,623
Effective tax rate
17.7%
17.1%
* The reconciliation is prepared by aggregating separate reconciliations for each national jurisdiction.
12.
Earnings per share
Basic earnings per share of the Group for the reporting year ended 31 December 2014 is calculated by dividing the
Group’s profit net of tax attributable to equity holders of the Company of $17,155,000 (2013: $17,744,000) by the
weighted average number of ordinary shares outstanding during the year of 194,166,000 (2013: 192,648,000) which
take into account the weighted average effect of changes in treasury share transactions during the year.
The basic and diluted earnings per share of the Group are the same as there were no potential dilutive ordinary
shares outstanding as at 31 December 2014 and 2013.
Notes to the Financial Statements
31 December 2014
