NOTE

29.

NET INCOME PER SHARE

Basic net income per share is calculated by dividing the net income for the year attributable to ordinary equity holders of Opera Limited by the weighted average number of ordinary shares outstanding during the year. Diluted net income per share is calculated by dividing the net income attributable to ordinary equity holders of Opera Limited by the weighted average number of ordinary shares outstanding during the year plus the number of ordinary shares that would be issued pursuant to our employee equity program based on period-average employee equity awards. The net dilutive effect of these awards is determined by application of the treasury stock method related to the share equivalents of unrecognized share compensation expense on employee equity grants outstanding at period end.

The net income per share calculation for all periods prior to the Initial Public Offering reflects

200

million shares as outstanding, less

9.75

million shares that were surrendered by

two

shareholders upon completion of the IPO. As of

December 31, 2019,

the total number of shares outstanding for Opera Limited was

237,826,326,

each with a par value of

US$0.0001.

The following tables show the income and share data used in the basic and diluted net income per share calculations.

[Net income in US$ thousands]	Year ended December 31,
Basic net income per share	2017		2018			2019
Net income attributable to the owners of the parent		6,064		35,160			57,899

Issued ordinary shares at beginning of period		190,250,000		190,250,000			220,119,343
Effect of shares issued		-		12,504,070			7,422,487
Effect of treasury shares held		-		(133,681	)		(2,913,330	)
Basic weighted-average number of ordinary shares in the period		190,250,000		202,620,388			224,628,500

Basic net income per share, US$		0.03		0.17			0.26

[Net income in US$ thousands]	Year ended December 31,
Diluted net income per share	2017		2018		2019
Net income attributable to the owners of the parent		6,064		35,160		57,899

Basic weighted-average number of ordinary shares		190,250,000		202,620,388		224,628,500
Effect of employee equity grants		2,449,186		6,107,813		4,437,167
Diluted weighted-average number of ordinary shares in the period		192,699,186		208,728,202		229,065,667

Diluted net income per share, US$		0.03		0.17		0.25

Opera Limited, the parent, has American Depository Shares (ADSs) listed on Nasdaq, trading under the OPRA ticker symbol. Each ADS represents

two

ordinary shares in the parent. The table below specifies net income per ADS.

[Net income in US$ thousands]	Year ended December 31,
Net income per ADS, basic and diluted	2017		2018		2019
Net income attributable to the owners of the parent		6,064		35,160		57,899

ADS equivalent of basic weighted-average number of ordinary shares		95,125,000		101,310,194		112,314,250
ADS equivalent of diluted weighted-average number of ordinary shares		96,349,593		104,364,101		114,532,833

Basic net income per ADS, US$		0.06		0.35		0.52
Diluted net income per ADS, US$		0.06		0.34		0.51