Cordlife Group Limited
Annual Report 2016
81
Notes to
The Financial Statements
for the financial year ended 30 June 2016
9.
Income tax (cont’d)
A reconciliation between tax expense and the product of accounting profit multiplied by the applicable
corporate tax rate for the financial years ended 30 June 2016 and 2015 is as follows:
Group
2016
2015
$’000
$’000
Profit before income tax
13,340
33,268
Tax at the domestic rates applicable to profits in the countries where the Group
operates
2,858
5,435
Adjustments:
Deferred tax assets not recognised
587
924
Expenses not deductible for tax purposes
2,575
1,320
Income not subject to tax
(5,098)
(5,937)
Effect of partial tax exemption
(26)
(52)
Effect of tax incentive *
(254)
(741)
Tax rebate
(20)
–
Under provision in respect of previous years
159
130
Share of results of associate
–
74
Others
(21)
(10)
760
1,143
* The Productivity and Innovation Credit was introduced in the Singapore Budget 2010 and was enhanced in Budget 2012
to provide tax benefits for investments by businesses in a broad range of activities along the innovation value chain. Under
the scheme, all businesses can enjoy additional allowances at 400% on up to $400,000 of their expenditure each qualifying
year on qualifying activities, subject to the agreement by the Inland Revenue Authority of Singapore.
10. Earnings per share
Basic earnings per share are calculated by dividing profit attributable to owners of the Company by the
weighted average number of ordinary shares outstanding during the financial year.
Diluted earnings per share amounts are calculated by dividing profit attributable to owners of the Company
by the weighted average number of ordinary shares outstanding during the financial year plus the weighted
average number of ordinary shares that would be issued on the vesting of all existing share awards of the
Company into ordinary shares.
The following reflects the profit and share data used in the computation of basic and diluted earnings per share
for the years ended 30 June:
Group
2016
2015
$’000
$’000
Profit for the financial year attributable to owners of the Company
12,329
32,460
‘000
‘000
Weighted average number of ordinary shares for basic earnings per share
computation
259,327
260,043
Weighted average number of ordinary shares for diluted earnings per share
computation
259,771
260,343
