Earnings per share rules require uniform basic and diluted EPS presentation and adjustments for dilutive instruments. This Standard mandates presentation of basic and diluted EPS for each equity class, defines EPS terms, and prescribes measurement rules: basic EPS uses net profit attributable to equity shareholders after preference dividends divided by weighted average shares; diluted EPS adjusts numerator and denominator for all dilutive potential equity shares including options, warrants, convertibles and contingently issuable shares, assuming the most advantageous conversion terms, and treats anti-dilutive instruments as ignored. Restatement is required for bonus issues and splits, and detailed disclosure and reconciliations are mandated.