| NORMALISED EARNINGS (NON IFRS MEASURE) |
| % change |
30 June 2017 R’000 |
30 June 2016 R’000 |
||||
| Headline earnings | 123 838 | 145 567 | ||||
|---|---|---|---|---|---|---|
| Adjusted by: | 120 275 | 24 960 | ||||
| – Conditional put option finance obligation (NOTE 2) | 45 906 | 24 960 | ||||
| – Fair value on second tranche consideration (NOTE 4) | 59 582 | – | ||||
| – SANLAM indemnity provision (NOTE 5) | 14 787 | – | ||||
| Normalised headline earnings | 43.15% | 244 113 | 170 527 | |||
| Normalised headline earnings per share (cents) | ||||||
| – Attributable to ordinary shares (cents) | 42.77% | 44.03 | 30.84 | |||
| – Diluted earnings per share (cents) | 44.03 | 29.44 |
The adjusting amounts have no tax and non-controlling interest implications.
NOTE 2
Given that the SANLAM target profit undertakings were achieved, the Conditional put option finance obligation no longer applies. Accordingly the SANLAM obligation, together with the aggregate interest, notionally charged thereon through the statement of comprehensive income, has been reversed to equity.
NOTE 4
This amount has been calculated in terms of the contract formula for the second tranche payment of the WAD Assets acquisitions.
NOTE 5
This is as a result of the SANLAM transaction resulting in certain warranties being settled in the new financial year.