Fully diluted shares

A share count calculated on a specified dilution basis to include relevant potential shares. A contractual cap-table measure differs from the weighted-average diluted-earnings per share (EPS) denominator; the applicable method and included instruments depend on the purpose.

Fully diluted shares in round numbers

Hypothetical: start with 10m basic shares and assume a stated treasury-stock-method calculation contributes 0.4m incremental option shares, with no other adjustments. The resulting count is 10.4m. The 0.4m is the calculated increment, not the gross number of options; diluted EPS also applies period weighting and excludes antidilutive effects.

Source: IAS33: basic and diluted earnings per share.

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