Financial Statement Analysis for Non-Finance Managers

Financial literacy is a cornerstone of effective decision-making in any organization. This course is tailored for non-finance managers to demystify financial statements and equip them with the tools to analyze, interpret, and leverage financial data in their roles. Participants will gain a solid understanding of income statements, balance sheets, and cash flow statements, along with practical applications of financial ratios for evaluating organizational performance.

The course emphasizes real-world applications, enabling participants to make informed business decisions, assess financial strategies, and contribute meaningfully to their organization’s financial health.

This course is ideal for:
- Non-finance managers
- Business professionals seeking to improve financial decision-making
- Entrepreneurs and business owners
- Team leaders and department heads managing budgets

Foundational Financial Literacy: Understand the structure and components of key financial statements.
Performance Metrics: Analyze financial performance using key financial ratios.
Practical Applications: Apply financial insights in decision-making and strategic planning.
Risk Assessment: Evaluate profitability, solvency, and financial leverage risks.
Case Studies: Gain hands-on experience analyzing real-world financial scenarios.

By the end of this course, participants will:

Grasp the fundamentals of financial reporting and its significance in business.
Analyze income statements, balance sheets, and cash flow statements to derive meaningful insights.
Apply financial ratios to measure performance and compare across periods or organizations.
Perform horizontal and vertical analyses to identify trends and anomalies.
Incorporate ESG factors into financial analysis for a holistic assessment.

Module 1: Overview of Financial Reporting and Analysis

Importance of financial statements in capital markets
Six steps of financial analysis and their relevance to share pricing
Understanding industry economic characteristics
Role of financial statement analysis in efficient capital markets

Module 2: Income Statement and Balance Sheet Analysis

Revenue and expense recognition principles
Data flow between financial statements
Structure and classification of assets, liabilities, and equity in the balance sheet

Module 3: Cash Flow Statement and Ratio Analysis

Purpose and components of cash flow statements
Differentiating operating, investing, and financing activities
Using per-share, common-size, and percentage change analyses
Assessing short-term and long-term solvency risks

Module 4: Financial Statement Applications and Case Study

Industry and company-specific financial analysis
Conducting horizontal and vertical analyses
Utilizing financial ratios for strategic decision-making
Evaluating earnings quality and ESG performance

This training empowers non-finance managers to confidently engage with financial data, enhancing their ability to contribute to organizational success. Participants will leave with actionable knowledge to improve decision-making, strategic planning, and financial assessment.

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