25. Earnings per equity share

A reconciliation of profit for the year and equity shares used in the computation of basic and diluted earnings per equity share is set out below:

Basic: Basic earnings per share is calculated by dividing the profit attributable to equity shareholders of the Company by the weighted average number of equity shares outstanding during the year, excluding equity shares purchased by the Company and held as treasury shares.

Year ended March 31,

2016

2017

2018

Profit attributable to equity holders of the Company

₹

89,075

₹

84,895

₹

80,081

Weighted average number of equity shares outstanding

4,913,118,800

4,857,081,010

4,750,043,400

Basic earnings per share

₹

18.13

₹

17.48

₹

16.86

Diluted: Diluted earnings per share is calculated by adjusting the weighted average number of equity shares outstanding during the year for assumed conversion of all dilutive potential equity shares. Employee share options are dilutive potential equity shares for the Company.

The calculation is performed in respect of share options to determine the number of shares that could have been acquired at fair value (determined as the average market price of the Company’s shares during the year). The number of shares calculated as above is compared with the number of shares that would have been issued assuming the exercise of the share options.


	Year ended March 31,
	2016		2017		2018
Profit attributable to equity holders of the Company	₹	89,075	₹	84,895	₹	80,081
Weighted average number of equity shares outstanding		4,913,118,800		4,857,081,010		4,750,043,400
Effect of dilutive equivalent share options		10,261,016		14,266,128		8,318,575

Weighted average number of equity shares for diluted earnings per share		4,923,379,816		4,871,347,138		4,758,361,975

Diluted earnings per share	₹	18.09	₹	17.43	₹	16.83

Earnings per share and number of share outstanding for the years ended March 31, 2016 and 2017 have been proportionately adjusted for the bonus issue in the ratio of 1:1 as approved by the shareholders on June 03, 2017.