Introduction:

This training program will provide participants with a comprehensive overview of financial statement analysis, covering both the theory and practical application of key concepts. Through a mix of lectures, case studies, and interactive exercises, participants will learn how to analyze financial statements and use the information to make informed decisions.

Objectives:

• Understand the purpose and importance of financial statement analysis

• Identify the key elements of financial statements and their interrelationships

• Apply key financial ratios and metrics to evaluate a company's financial health

• Interpret financial statements to make informed investment, credit, and other business decisions

• Communicate financial analysis results effectively to stakeholders

Target Audience:

• Financial analysts and managers

• Investment analysts and portfolio managers

• Credit analysts and lenders

• Corporate finance professionals

• Accounting and auditing professionals

• Business owners and entrepreneurs

Outlines:

Day 1:

Introduction to Financial Statement Analysis

• Overview of financial statement analysis and its purpose

• Key elements of financial statements: balance sheet, income statement, cash flow statement

• Linkages between financial statements

• Overview of financial ratios and metrics

Day 2:

Analyzing Financial Statements

• Techniques for analyzing balance sheets and income statements

• Understanding cash flow statement and cash flow analysis

• Ratio analysis: liquidity ratios, solvency ratios, profitability ratios, and efficiency ratios

• Limitations of financial statement analysis

Day 3:

Using Financial Statement Analysis for Investment Decisions

• Overview of investment analysis

• Fundamental analysis: evaluating a company's growth prospects, competitive position, and financial health

• Using financial statement analysis to make investment decisions

• Case studies: analyzing financial statements of publicly traded companies

Day 4: Using Financial Statement Analysis for Credit Decisions

• Overview of credit analysis

• Creditworthiness evaluation: assessing a borrower's ability to repay debt

• Using financial statement analysis to make credit decisions

• Case studies: analyzing financial statements of borrowers

Day 5:

Communicating Financial Analysis Results

• Importance of effective communication in financial analysis

• Techniques for presenting financial analysis results to stakeholders

• Best practices for written and oral communication

• Case studies: preparing and presenting financial analysis reports to management, investors, and lenders