Determination of headline and underlying* earnings
for the year ended 28 February 2021
| US$'000 | Audited Year ended February 2021 |
Audited Year ended February 2020 |
||
| DETERMINATION OF HEADLINE EARNINGS | ||||
| Reconciliation of attributable profit to headline earnings | ||||
| Profit attributable to the equity holders of the parent | 2 601 | 14 239 | ||
| Headline earnings adjustments | 955 | (1 748) | ||
| Impairment of right-of-use assets | 155 | – | ||
| Profit on disposal of investment and discontinued operations | – | (1 747) | ||
| Loss/(profit) on disposal of property, plant and equipment and right-of-use assets | 912 | (65) | ||
| Tax effect | (72) | 23 | ||
| Non-controlling interests | (40) | 41 | ||
| Headline earnings | 3 556 | 12 491 | ||
| DETERMINATION OF UNDERLYING* EARNINGS | ||||
| Reconciliation of headline earnings to underlying* earnings | ||||
| Headline earnings | 3 556 | 12 491 | ||
| Underlying* earnings adjustments | 23 383 | 8 352 | ||
| Unrealised foreign exchange losses | 283 | 1 247 | ||
| Acquisition-related fair value adjustments | – | (696) | ||
| Restructuring costs | 22 378 | – | ||
| Amortisation of acquired intangible assets | 8 635 | 11 297 | ||
| Tax effect | (5 843) | (3 432) | ||
| Non-controlling interests | (2 070) | (64) | ||
| Underlying earnings | 26 939 | 20 843 | ||
The underlying* earnings metric is specific to Datatec and is not required in terms of International Financial Reporting Standards or the JSE Listings Requirements.
| * | Underlying earnings exclude impairments of goodwill and intangible assets, profit or loss on sale of investments and assets, amortisation of acquired intangible assets, unrealised foreign exchange movements, acquisition-related adjustments, fair value movements on acquisition-related financial instruments, restructuring costs relating to fundamental reorganisations and the taxation effect on all of the aforementioned. |
