A financial analysis report is, basically, a document that attracts the high interest of investors as it contains a detailed appraisal of a company’s financial health. Financial analysis is the process of evaluating businesses, projects, budgets, and other finance-related entities to determine their performance and suitability. … When looking at a specific company, a financial analyst conducts analysis by focusing on the income statement, balance sheet, and cash flow statement. Financial analysis reports accentuate the strengths and weaknesses of a company. Communicating the company’s strengths and weaknesses in an accurate and honest manner is helpful in convincing investors to invest in your business. A financial analysis report is, basically, a document that attracts the high interest of investors as it contains a detailed appraisal of a company’s financial health.
What we provide ?
1. Start the report with an “Executive Summary” of important findings from the financial analysis. Also, state the time period focused by the study in addition to identifying the firm requesting the report.
2. Set up an introduction emphasizing the objectives of the report. Also, define financial terms necessary for understanding those objectives.
3. Move on to a section with a “Resources” title. Give a general description of the analyzed data and where has it been sourced from. Some examples of resources include balance sheets, income statements, operating costs, inventory ratios, and warehouse statistics.
4. Further, describe the resources under the heading “Method of Collecting Data”. Mention whether the data was received from different sources, like government agencies or departments within the firm. Also, explain each source’s method for reporting data. Explain the method of accounting analysis for these distinct reporting methods. 5. Title the next section as “Significant Financial Events” and under this section, enlist the events which occurred during the studied time period and which altered results.
6. Proceed with a section titled “Detailed Results” which includes a comprehensive analysis of the investment returns, balance sheets, income statement, and productivity ratios. Also, comment on each of these factors in addition to providing support for your statements with graphs and tables.
7. Evaluate results from various quarters in a section titled “Analysis of Variance”.
8. Prepare an appendix for “Financial Revenues” defining how that term was used for preparing the report. Tabulate the revenues over the analysis’ time period. 9. End the report with an appendix for “Observations” discussing any problems faced while performing analysis and thereafter explaining how the research method handled problems. Conclude the report with a statement projecting future performance on the basis of past years’ performance.
Advantages of it ?
The benefits of financial statement analysis are that it can help your business thrive. Through financial statement analysis, you can determine and identify financial strengths, weaknesses, and relationships that exist in your company. It helps in trend analysis which involves comparing a single company over a period, A company’s financial statements provide vital information about its financial health. Financial statements are useful for making decisions regarding expansion and financing. They also figure into marketing decisions, providing data indicating which aspects of company operations provide the best return on investment.