# Earnings Per Share Ratio

Anybody that buys shares in a business is known as a shareholder. Shareholder ratios calculate the return shareholders receive from the money they have invested in a firm; in this article we will discuss the shareholder ratio called The Earnings Per Share Ratio.

Click to learn about the Price Earnings Ratio and The Dividend Yield, the other shareholder ratios.

### Calculating Earnings Per Share

To calculate the earnings per share you will need to find out the number of ordinary shares that have been issued and the net profit after tax for the firm. Divide the net profit after tax by the number of ordinary shares to obtain the earnings per share.

Earnings per Net profit after tax

Share = _________

Number of ordinary shares