SEC Form 20-IS - iRemit Global Remittance

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discontinued operations are reported separately from normal income and expenses down to the
level of profit after taxes. The resulting profit or loss (after taxes) is reported separately in the
consolidated statement of income.
Borrowing Costs
Borrowing costs are recognized as an expense when incurred.
Equity
Capital stock is measured at par value for all shares issued and outstanding. When the shares are
sold at a premium, the difference between the proceeds and the par value is credited to ‘Capital
paid-in excess of par value’ account. Direct costs incurred related to issuance of equity, such as
underwriting, accounting and legal fees, printing costs and taxes are charged to ‘Capital paid-in
excess of par value’ account. If the ‘Capital paid-in excess of par value’ is not sufficient, the
excess is charged to profit or loss.
A change in the ownership interest of a subsidiary, without a loss of control, is accounted for as an
equity transaction. The excess of acquisition cost over the carrying value of the noncontrolling
interest is charged against the ‘Capital paid-in excess of par value’.
When the Group issues more than one class of stock, a separate account is maintained for each
class of stock and the number of shares issued.
‘Retained earnings’ represents accumulated earnings (losses) of the Group less dividends declared.
Own equity instruments which are reacquired (treasury shares) are recognized at cost as ‘Treasury
stock’ and deducted from equity. No gain or loss is recognized in the consolidated statement of
income on the purchase, sale, issue or cancellation of the Group’s own equity instruments. Any
difference between the carrying amount and the consideration is recognized in ‘Capital paid-in
excess of par value’.
Earnings per Share
Basic earnings per share (EPS) is computed by dividing net income for the year attributable to the
equity holders of the Parent Company by the weighted average number of common shares issued
and outstanding during the year, after giving retroactive effect to any stock dividends or stock
splits, if any, declared during the year. Diluted EPS is computed by dividing net income
applicable to common stockholders attributable to equity holder of the Parent Company by the
weighted average number of common shares issued and outstanding during the year after giving
effect to assumed conversion of dilutive potential common shares.
The weighted average number of ordinary shares outstanding during the period is the number of
ordinary shares outstanding at the beginning of the period, adjusted by the number of ordinary
shares bought back or issued during the period multiplied by a time-weighting factor. The timeweighting
factor is the number of days that the shares are outstanding as a proportion of the total
number of days in the period; a reasonable approximation of the weighted average is adequate in
many circumstances.
Dividends
Cash dividends on common shares are recognized as a liability and deducted from equity when
declared and approved by the Board of Directors (BOD) of the Parent Company. Stock dividends
are deducted from equity when declared and approved by the BOD and stockholders of the Parent
Company.
*SGVMC116502*