Interpreting Financial Statements (intro)

Transforming finance training

Interpreting Financial Statements (Intro).

On this course we explore how to analyse and interpret Financial Statements. This can be useful for gaining a robust understanding of a business’ performance from its financial statements. By analysing the different components (Balance Sheet, Profit & Loss, Cash Flow and notes) you can get a good understanding of the performance of the business in a remarkably short time.

This course is particularly helpful for corporate lawyers, senior management, anyone starting in an analysis role and working in procurement.

We ensure you understand in more detail what each of the statements covers and look at what tools and techniques can be used to gain an understanding of the financial statements. We also explore the need to be cynical and have a critical eye when intrepreting financial statements.

The course introduces the most common techniques that are used to analyse and interpret financial statements and also their respective advantages and disadvantages.

Suitable for

All levels
Non accountants
All industries

Prior attendance on Introduction to Finance is recommended

Typical duration

One to two days face to face

Interpreting (Intro) – Learning Outcomes

Considering different stakeholder requirements
Understanding the subjectivity involved in creating a set of accounts
Understanding what “materiality” and “true and fair” mean and how they effect analysis
Understanding how to read each of the financial statements
Appreciate the ratios that can be used to analyse an entity’s liquidity, solvency, efficiency and working capital management
Use these ratios to analyse a single entity’s financial position and performance
Draw conclusions and make inferences from the analysis and interpretation
Understand the risks of the different tools