2018 UEM Edgenta Annual Report

10. INCOME TAX EXPENSE/(BENEFIT) (CONT’D.) Reconciliation between tax expense and accounting profits (cont’d.) A reconciliation of income tax expense and the product of accounting profit multiplied by the applicable corporate tax rate for the years ended 31 December 2018 and 2017 are as follows: (cont’d.) 2018 2017 RM’000 RM’000 Company Profit before tax 36,949 1,099 Taxation at Malaysian statutory tax rate of 24% (2017: 24%) 8,868 264 Non-deductible expenses 37,150 42,648 Income not subject to tax (46,018) (42,912) Over provision of income tax in prior year – (125) Income tax expense recognised in income statements – (125) 11. EARNINGS PER SHARE Basic earnings per share amounts are calculated by dividing profit for the year attributable to owners of the parent by the weighted average number of ordinary shares in issue during the financial year held by the Company. Group 2018 2017 RM’000 RM’000 Profit attributable to owners of the parent: - from continuing operations 148,430 124,613 - from discontinued operation – 293,574 Total profit attributable to owners of the parent 148,430 418,187 Number of Number of shares shares ‘000 ‘000 Weighted average number of ordinary shares in issue 831,624 831,624 Group 2018 2017 Sen Sen Basic earnings per share for: - from continuing operations 17.8 15.0 - from discontinued operation – 35.3 Basic earnings per share 17.8 50.3 There are no potential ordinary shares outstanding as at 31 December 2018. As such, the diluted earnings per share of the Group is equivalent to the basic earnings per share. There have been no other transactions involving ordinary shares or potential ordinary shares between the reporting date and the date of authorisation of these financial statements. NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2018 Management Discussion & Analysis UEM Edgenta Berhad Annual Report 2018 About UEM Edgenta Chairman’s Statement 192