Yinson Annual Report 2021

225 ANNUAL REPORT 2021 NOTES TO THE FINANCIAL STATEMENTS (CONT’D) For the financial year ended 31 January 2021 2 Summary of significant accounting policies (continued) 2.29 Earnings per share The Group presents basic and diluted earnings per share (“EPS”) data for its ordinary shares. Basic EPS are calculated by dividing the profit or loss attributable to owners of the Company by the weighted average number of ordinary shares outstanding during the period and excluding treasury shares. Diluted EPS are determined by adjusting the profit or loss attributable to owners of the Company and the weighted average number of ordinary shares outstanding adjusted for own shares held and for the effects of all dilutive potential ordinary shares, which comprise share awards granted to employees. 2.30 Operating segments An operating segment is a component of the Group that engages in business activities from which it may earn revenues and incur expenses, including revenues and expenses that relate to transactions with any of the Group’s other components. An operating segment’s operating results are reviewed regularly by the Chief Operating Decision Maker comprising the Board of Directors, to make decisions about resources to be allocated to the segment and to assess its performance, and for which discrete financial information is available. 2.31 Favourable and unfavourable contracts The terms of a contract acquired in a business combination are compared to market prices at date of acquisition to determine whether an intangible asset or liability should be recognised. If the terms of an acquired contract are favourable relative to market prices, an intangible asset is recognised. If the terms of an acquired contract are unfavourable relative to market prices, a liability is recognised. Subsequently, the acquired contract is measured at amortised cost over the period of the contract. 2.32 Deferred income Deferred income relating to charter income received in advance are deferred and amortised on a straight line basis over the contract period. 2.33 Government grants Grants from the government are recognised as a receivable at their fair value when there is reasonable assurance that the grant will be received and the Group will comply with all the attached conditions. Government grants receivable are recognised as income over the periods necessary to match them with the related costs which they are intended to compensate, on a systematic basis. Government grants relating to expenses are shown separately as other income. Government grants relating to assets are deducted against the carrying amount of the assets. 3. Standards, amendments to published standards and interpretations, which are applicable and adopted by the Group and the Company The Group and the Company have applied the following standards and amendments for the first time for the financial year beginning on 1 February 2020: (i) The Conceptual Framework for Financial Reporting (Revised 2018) (ii) Amendments to MFRS 101 "Presentation of Financial Statements" and Amendments to MFRS 108 "Accounting Policies, Changes in Accounting Estimates and Errors" (iii) Amendments to MFRS 3 "Business Combinations" (iv) Amendments to MFRS 9, MFRS 139 and MFRS 7 "Interest Rate Benchmark Reform" The adoption of the above amendments to published standards does not have any material impact to the Group for the financial year ended 31 January 2021, other than as disclosed below: