234 348
Consolidated Financial Report |
EXPLANATORY NOTES
2014 Annual Report
Prysmian Group
234
The following table reconciles the effective tax rate with the Parent Company’s theoretical tax rate:
2014
Tax rate
2013 (*)
Tax rate
Profit/(loss) before taxes
173
218
Theoretical tax expense at Parent Company’s nominal tax rate
48
27.5%
60
27.5%
Differences in nominal tax rates of foreign subsidiaries
-
0.3%
1
0.3%
Utilisation of unrecognised carryforward tax losses
(10)
(6.0%)
(20)
(9.0%)
Unrecognised deferred tax assets
32
18.5%
21
9.7%
Net increase (release) of provision for tax disputes
11
6.6%
4
(1.7%)
IRAP (Italian regional business tax)
7
3.8%
12
5.4%
Taxes on distributable reserves
(6)
(3.5%)
2
0.8%
Utilisation of prior year credit for taxes paid abroad
5
2.9%
(7)
(3,2%)
Antitrust investigations
(8)
(4.8%)
-
0.0%
Asset impairment
7
3.9%
4
1.90%
Deferred tax assets from prior years recognised and utilised in current year
(10)
(5.5%)
-
0.0%
Non-deductible costs/ (non-taxable income) and other
(19)
(10.7%)
(12)
(5.7%)
Effective income taxes
57
33.0%
65
29.4%
(*) The previously published prior year consolidated financial statements have been restated following the adoption of IFRS 10 and IFRS 11. Further details can
be found in Section C. Restatement of comparative figures.
28. EARNINGS/(LOSS) AND DIVIDENDS PER SHARE
Both basic and diluted earnings/(loss) per share have been
calculated by dividing the net result for the period attribu-
table to owners of the parent by the average number of the
Company’s outstanding shares.
The calculation of both basic and diluted earnings/(loss)
per share in 2013 took into account the options under the
Incentive Plan 2011-2013 granted according to the level of
cumulative EBITDA achieved in the three-year target period
(2011-2013).
This plan had been completed at 31 December 2014 and so
is no longer relevant for the purposes of calculating diluted
earnings per share.
Diluted earnings/(loss) per share in 2014 have been affected
by the options relating to adhesions to the employee share
purchase plan, while they have not been affected by the
options relating to the convertible bond since the bond is
currently “out of the money”.
(in millions of Euro)