10. Earnings per share - Severfield Annual Report 2023

Earnings per share is calculated as follows:

	2023 £000	2022 £000
Earnings for the purposes of basic earnings per share being net profit attributable to equity holders of the parent Company	21,566	15,601
Earnings for the purposes of underlying basic earnings per share being underlying net profit attributable to equity holders of the parent Company	26,238	22,303

	Number	Number
Number of shares
Weighted average number of ordinary shares for the purposes of basic earnings per share	309,533,696	308,834,123
Effect of dilutive potential ordinary shares	3,239,813	1,335,323
Weighted average number of ordinary shares for the purposes of diluted earnings per share	312,773,509	310,169,446

Basic earnings per share	6.97p	5.05p
Underlying basic earnings per share	8.48p	7.22p
Diluted earnings per share	6.90p	5.03p
Underlying diluted earnings per share	8.39p	7.19p

Reconciliation of earnings	2023 £000	2022 £000
Net profit attributable to equity holders of the parent Company	21,566	15,601
Non-underlying items (note 5)	4,672	6,702
Underlying net profit attributable to equity holders of the parent Company	26,238	22,303

Further details of non-underlying items are provided in note 5.