Financial Statement Analysis

This course is ideal for professionals who need to analyze financial data for strategic decision-making, including:

• Finance Managers & Analysts
• Business Owners & Entrepreneurs
• Accountants & Auditors
• Investment Analysts & Bankers
• Senior Executives & Decision-Makers

Day 1: Understanding Financial Statements

• Introduction to financial statements (Balance Sheet, Income Statement, Cash Flow Statement)
• Role of financial statements in business decision-making
• Key accounting principles affecting financial reporting
• International financial reporting standards (IFRS & GAAP)
• Identifying key financial metrics and indicators

Day 2:  Analyzing Profitability & Performance

• Revenue, expenses, and net income analysis
• Key profitability ratios (Gross Margin, Operating Margin, Net Profit Margin)
• Assessing Return on Assets (ROA) and Return on Equity (ROE)
• Financial trends and performance evaluation
• Case studies on profitability assessment

Day 3: Liquidity & Solvency Analysis

• Understanding short-term financial stability with liquidity ratios (Current Ratio, Quick Ratio)
• Assessing long-term financial health with solvency ratios (Debt-to-Equity, Interest Coverage)
• Identifying financial distress and insolvency risks
• Managing working capital for financial stability
• Practical exercises on liquidity and solvency assessment

Day 4: Cash Flow Analysis & Investment Decision-Making

• Importance of cash flow analysis in financial management
• Operating, investing, and financing cash flows
• Free cash flow (FCF) and its role in business valuation
• Using financial analysis for investment and credit decisions
• Real-world case studies on cash flow management

Day 5: Advanced Financial Analysis & Forecasting

• Ratio analysis and industry benchmarking
• Financial forecasting techniques and trend analysis
• Identifying financial risks and warning signs
• Detecting earnings manipulation and fraudulent reporting
• Developing a structured financial analysis framework