AIRBUS - 2019 Financial Statements

2.5 Operational Assets and Liabilities Notes to the IFRS Consolidated Financial Statements / 2 18. Earnings per Share 2019 2018 (Loss) Profit for the period attributable to equity owners of the parent (Net income) € (1,362) million € 3,054 million Weighted average number of ordinary shares 777,039,858 775,167,941 Basic earnings per share € (1.75) € 3.94 Diluted earnings per share – The Company’s categories of dilutive potential ordinary shares are share-settled Performance Units relating to Long-Term Incentive Plans (“LTIP”) and the convertible bond issued on 1 July 2015. As there is a loss in 2019, the effect of potentially dilutive ordinary shares is anti-dilutive. During 2018, the average price of the Company’s shares exceeded the exercise price of the share-settled Performance Units and therefore 752,107 shares were considered in the calculation of diluted earnings per share. The dilutive effect of the convertible bond was also considered in the calculation of diluted earnings per share in 2018, by adding back €7 million of interest expense to the profit for the period attributable to equity owners of the parent and by including 5,022,990 of dilutive potential ordinary shares. As at 30 December 2019, the convertible bond has been converted into 5,020,942 newly issued shares (see “– Note 34: Total Equity”). 2019 2018 (Loss) Profit for the period attributable to equity owners of the parent (Net income), adjusted for diluted calculation € (1,362) million € 3,061 million Weighted average number of ordinary shares (diluted) (1) 777,039,858 780,943,038 Diluted earnings per share € (1.75) € 3.92 (1) In 2018, dilution assumes conversion of all potential ordinary shares. 2.5 Operational Assets and Liabilities 19. Intangible Assets Intangible assets comprise (i) goodwill (see “– Note 6: Scope of Consolidation”), (ii) capitalised development costs (see “– Note 2: Significant Accounting Policies”) and (iii) other intangible assets, e.g. internally developed software and acquired intangible assets. Intangible assets with finite useful lives are generally amortised on a straight-line basis over their respective estimated useful lives (3 to 10 years) to their estimated residual values. 31 December 2019 and 2018 comprise the following: (In € million) 31 December 2019 31 December 2018 Gross amount Amortisation / Impairment Net book value Gross amount Amortisation / Impairment Net book value Goodwill 14,062 (1,043) 13,019 14,077 (1,038) 13,039 Capitalised development costs 3,209 (1,749) 1,460 3,070 (1,488) 1,582 Other intangible assets 4,785 (2,673) 2,112 4,572 (2,467) 2,105 Total 22,056 (5,465) 16,591 21,719 (4,993) 16,726 35 Airbus / Financial Statements 2019