Annual Report 2004 69
Consolidated
2004 2003
21. Earnings per Share $million $million
Earnings used in the calculation of basic earnings per share reconciles to 
the net profit after tax in the statement of financial performance as follows:
Net profit after income tax 379.9 327.0
Less special dividend on redeemable convertible preference shares (14.3) –
Earnings used in the calculation of diluted earnings per share 365.6 327.0
Less dividends paid on reset convertible preference shares (23.0) (23.0)
Earnings used in the calculation of basic earnings per share 342.6 304.0
2004 2003
Number of shares
The weighted average number of shares used for the purposes of calculating diluted 
earnings per share reconciles to the number used to calculate basic earnings per 
share as follows:
Basic earnings per share 584,924,130 583,432,623
Partly paid shares 100,722 112,876
Executive share options 755,897 164,841
Reset convertible preference shares 39,367,128 50,946,143
Diluted earnings per share 625,147,877 634,656,483
Partly paid shares outstanding issued under the Santos Executive Share Plan; options outstanding issued under the Santos Executive Share Option
Plan; and reset convertible preference shares have been classified as potential ordinary shares and included in the calculation of diluted earnings per
share. The number of shares included in the calculation are those assumed to be issued for no consideration, being the difference between the
number that would have been issued at the exercise price and the number that would have been issued at the average market price.
During the year, 715,000 (2003: 1,250,000) options and 50,000 (2003: 35,750) partly paid shares were converted to ordinary shares.
6,000,000 redeemable convertible preference shares were not dilutive and were excluded from the calculation of diluted earnings per share.
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