Reconciliation of Basic And Diluted Shares Used In Computing Earnings Per Equity Share

12 Months Ended

Mar. 31, 2023

Reconciliation of Basic and Diluted Shares Used in Computing Earnings Per Equity Share

2.19 Reconciliation of basic and diluted shares used in computing earnings per equity share

Accounting policy

Basic earnings per equity share is computed by dividing the net profit attributable to the equity holders of the Group by the weighted average number of equity shares outstanding during the period. Diluted earnings per equity share is computed by dividing the net profit attributable to the equity holders of the Group by the weighted average number of equity shares considered for deriving basic earnings per equity share and also the weighted average number of equity shares that could have been issued upon conversion of all dilutive potential equity shares. The dilutive potential equity shares are adjusted for the proceeds receivable had the equity shares been actually issued at fair value (i.e., the average market value of the outstanding equity shares). Dilutive potential equity shares are deemed converted as at the beginning of the period, unless issued at a later date. Dilutive potential equity shares are determined independently for each period presented.

The number of equity shares and potentially dilutive equity shares are adjusted retrospectively for all periods presented for any share splits and bonus shares issues including for changes effected prior to the approval of the financial statements by the Board of Directors.

The following is a reconciliation of the equity shares used in the computation of basic and diluted earnings per equity share:


	Year ended March 31,
	2023		2022		2021
Basic earnings per equity share - weighted average number of equity shares outstanding (1)		4,180,897,857		4,209,546,724		4,242,416,665
Effect of dilutive common equivalent shares - share options outstanding		6,833,213		8,978,410		8,315,802
Diluted earnings per equity share - weighted average number of equity shares and common equivalent shares outstanding		4,187,731,070		4,218,525,134		4,250,732,467

(1)

excludes treasury shares

For fiscal 2023, 2022 and 2021, there were 9,960, nil and nil, respectively, options to purchase equity shares, which had an anti-dilutive effect.