tiï O Q,
Notes to the Consolidated Financial Statements (continued)
6.7 Earnings per share
7 Working Capital
7.1 Inventories
Introduction Report of the Executive Board Report of the Supervisory Board
The calculation of earnings per share for the period ended 31 December 2018 is based on the profit
attributable to the shareholders of the Company (net profit) and a weighted average number of ordinary
shares outstanding (basic and diluted) during the year ended 31 December 2018.
In per share (basic or diluted) for the period ended 31 December 2018 2017
Basic earnings per share
Diluted earnings per share
3.34
3.34
3.39
3.39
Refer to the table below for the information used in the calculation of the
per share.
Weighted average number of shares - basic and diluted
basic and diluted
2018
earnings
2017
Total number of shares issued
Effect of own shares held
576,002,613
(5,856,544)
576,002,613
(5,928,278)
Weighted average number of basic shares outstanding
for the year
Dilutive effect of share-based payment plan obligations
570,146,069
517,563
570,074,335
577,776
Weighted average number of diluted shares outstanding
for the year
570,663,632
570,652,111
Accounting policies
HEINEKEN presents basic and diluted earnings per share (EPS) data for its ordinary shares. Basic EPS is
calculated by dividing the profit or loss attributable to shareholders of the Company by the weighted
average number of ordinary shares outstanding during the year, adjusted for the weighted average
number of own shares purchased or held in the year. Diluted EPS is determined by dividing the profit or loss
attributable to shareholders by the weighted average number of ordinary shares outstanding, adjusted for
the weighted average number of own shares purchased or held in the year and for the effects of all dilutive
potential ordinary shares which comprise share rights granted to employees and the Executive Board.
Heineken N.V. Annual Report 2018Ï 78
Financial Statements
Sustainability Review
Other Information
Inventory balances includes raw and packaging materials, work in progress, spare parts and
finished products.
In millions of
2018
2017
Raw materials
351
316
Work in progress
228
234
Finished products
426
412
Goods for resale
323
311
Non-returnable packaging
230
204
Other inventories and spare parts
362
337
1,920
1,814
During 2018 inventories were written down by €25 million to net realisable value (2017: €(14) million).
Accounting policies
Inventories are measured at the lower of cost and net realisable value. The cost of inventories is based
on weighted average cost, and includes expenditure incurred in acquiring the inventories, production
or conversion costs and other costs incurred in bringing them to their existing location and condition.
Net realisable value is the estimated selling price in the ordinary course of business, less the estimated
costs of completion and selling expenses.