Financial Statement Analysis
This course can be delivered as a remote in-house session. Please contact us to discuss your requirements.
Financial statements which mainly include Income Statement, Balance Sheet and Cash Flow Statements, are the basis for analysis for both the equity and credit analysis community.
Join this virtual training conducted by a former senior corporate banker with over 20 years of international experience to learn effective ways of analysing financial statements.
Through theory and case studies on European multinationals, this webinar organised over three sessions, provides participants with a detailed understanding of the financial statements under International Financial Reporting Standard (IFRS), specifically on the following technical topics covering both classification, initial measurement and subsequent valuation:
Session 1 – P&L
- Sales recognition, EBIT and EBITDA
- Identifying and removing exceptional items from the income statement
Session 2 – Balance Sheet
- The cash cycle and operating working capital days
- Tangible and intangible assets including goodwill
- Bank debt and bonds
- Movements in shareholders’ equity
Session 3 – Cash Flow Statement
- Operating, investing and financing cash flows
What will you learn
By the end of this course you will:
- Have an enhanced understanding of the principles and practice of accounting; and the composition and presentation of financial statements
- Understand the main components of the income statement and balance sheet to support the assessment of the sustainability and composition of revenues, profits and solvency of a company.
- Gain an understanding of the main components of the cash flow statement, how these statements are constructed and the key sources and uses of funds
- Have an awareness of the role of and limitations of financial ratio analysis
- Be able to explain when it may be necessary to make adjustments to the reported figures to better assess economic reality
You may be also interested in one of the following programmes:
- IFRS 9 – Financial Instruments
- Investment Performance Measurement, Attribution and Risk
- Strategic Asset Allocation & Portfolio Management
- Valuation of Emerging Market Corporates
- The Repo Market
Register for any 2 courses at the same time and save £100 + VAT (in total, not per course)
Main topics covered during this training
- Key Principles of Accounting
- The Structure of Financial Statements: Income Statements
- The Structure of Financial Statements: Balance Sheet
- The Structure of Financial Statements: Cash Flow Statements
- Assessing Liquidity and Solvency
- Key Ratio Analysis
Who should attend
The class is suitable for anyone who wants to learn analysing real companies in order to conduct a research, give an advice or make investment decisions. It is also useful for people who are looking at internal monthly accounts and KPIs on regular basis.
- Corporate Credit Function Staff
- Financial Analysts
- Credit Analysts
- Equity Analysts
- Investment Analysts
- Credit Managers
- Compliance Staff
- Portfolio Managers
- Risk Managers
- Auditors and Inspectors
- Investment Advisors
- New Entrants to the financial services sector
- Middle and back office personnel
Financial Statement Analysis - Online Training Through Live Webinar
Session 1: Income Statement
Throughout this module participants analyse a group of companies to calculate several income statement metrics. The matching/accruals concept and its impact on the income statement is covered in detail and the link between the income statement and the retained earnings account is investigated.
- Sales recognition
- Fixed and variable costs
- Accrual accounting and link between earnings and cash flow
- Expenses or assets – key concepts explained
- Adjusting cost of goods sold and selling, general and administrative expenses for depreciation and amortisation
- Adjusting earnings for non-recurring items to produce normalised earnings estimates
- EBITDA, EBIT, net income and EPS
- Margin calculations
- Weighted average shares outstanding
- Basic and diluted shares
This module provides participants with an understanding of the importance of working capital in the context of a company’s financing structure and cash flows.
- Inventories, receivables, payables, prepaid items and accruals
- Definition of working capital and operating working capital
- Operating working capital and the cash cycle
- Working capital ratios and day calculations
This session illustrates the difference between tangible and intangible assets and their use in a business. Participants learn about purchasing, depreciating/amortising and selling tangible and intangible assets, and how these transactions are reflected in the financial statements.
- Difference between tangible and intangible assets
- Difference between identifiable intangibles and goodwill
- Finite life vs. indefinite life intangibles
- Capital expenditure and asset sales
- Depreciation, amortisation and impairments
- Impairment testing
- Finding information in the financials
- Asset efficiency ratios
Debt and equity
In this session participants learn how companies finance their operations. The characteristics of debt and equity are analysed, including how to account for new debt and equity issues. Various kinds of debt instruments are identified, and the main equity accounts are examined. Finally some of the most important ratios are covered.
- Debt disclosure in published financial data
- Bank debt and bond issues
- Net debt
- The difference between authorised, issued, and outstanding shares
- Common Stock and Additional Paid-in Capital accounts
- Share issues and repurchases
- Dividends and interest payments
- Coverage and leverage ratios
Session 3: Cash flow statements
Participants learn how to build cash flow statements using historical and forecast balance sheets. The relationship between cash and changes in assets, liabilities and equity accounts is analysed in detail, allowing participants to understand the full integration of the income statement, balance sheet and cash flow statement.
- The components of the cash flow statement
- Why the cash flow statement is a reconciliation of two balance sheets
- How to divide a company’s balance sheet into operating, investing and financing activities
- Calculate a cash flow statement from two balance sheets and an income statement
- Asset sales and impairments/restructuring
- EBITDA as proxy of operating cash flow and potential pitfalls
Course Director is an experienced Corporate Finance professional with over 20 years’ experience in M&A and capital market transactions. He has successfully completed in excess of EUR 30 billion across multiple geographies (US, Europe, MENA).He began his career as a Credit Analyst at Banque Continentale in Luxembourg, before moving to the Investment Banking division at Citigroup (ex-Salomon Smith Barney) in London and New York where he worked on variety of M&A, LBO and debt offerings, mainly for financial services clients. He became Vice-President in the internal M&A department of Barclays Bank in London before moving on to a Directorship role at the Investment Banking division of Commercial International Bank (CIB), Egypt. Whilst there, he successfully completed several transactions including two sell-side M&A, one follow-on equity offering and a delisting. He worked extensively with leading sovereign wealth funds, private equity firms and prominent families in the Middle East.
Serge has an MBA from the Kellogg School of Management in Chicago and a Bachelor of Science from the International Management Institute of Paris.
Most of our public courses are run over 2 full days. Some programmes are offered as a 1 or 3 day training.
In-house training is tailored to client’s requirements and can be organised over 1 day, 2-3 weeks or longer.
Public courses are organised mainly in London and Dubai. Occasionally we organise courses in other centres like Paris or New York. Check our public course calendar for the current list of programmes. We use a range of training venues, all in the centre of the cities and with excellent transport links to the airports and train stations.
In London we use venues in the centre (near Oxford Circus station or in Mayfair) or in the City (near Liverpool Street or Moorgate stations).
In Dubai our courses are organised in one of 4-5* hotels in the Deira district. Once you register we will send you detailed information together with accommodation options if required.
Our in-house courses can be delivered anywhere in the world. We work with over 25 trainers worldwide. Contact us do discuss your requirements. Check our list of available programmes.
Our courses are run in central locations from 9 a.m until 5-5.30 p.m. There are 2 coffee breaks and a lunch break. Lunch is always provided in the venue.
Dress code is smart casual.
All our programmes are taught by senior specialists who have spent many years in their respective sectors, working as senior managers and head of departments, so they understand very well the market and the challenges you are facing.
The experience of our trainers allows us to create very practical programmes, focused on current market trends and challenges. You can be sure that you will gain the knowledge which can be instantly applied in your workplace after the course. You will be analysing real life case studies, take part in group exercises and discussions as well as role plays, whenever applicable.
We want our courses to be as practical and interactive as possible so we limit the number of participants in order to optimise your time with the trainer and allow you to ask questions which are important for you.
In order to understand your requirements and expectations, we will send you a pre-course questionnaire.
You will also receive post-course support so if you have any questions after you left the training, you are welcome to contact us.
There are 2 easy ways to register:
- Go to the course of your choice and click Register Now button to fill the registration page
- Email us to firstname.lastname@example.org
After you register, we will send you registration confirmation and an invoice so you can arrange the payment. Please note that your place is not confirmed until we receive it.
If you register within Early Bird discount period, there’s limited time to arrange the payment in order to be eligible for the discount. You will find all the details on the invoice.
We don’t advise to make any travel and hotel arrangements until you receive full course confirmation from us.
We will send you venue and course details as soon as possible but most likely about 3-4 weeks prior to the course commencement.
You can pay by:
- Making a bank transfer
- Debit/credit card
- Cheque payable to Eureka Financial Ltd. - only within UK
Just mark preferred paying option on the registration form. Whichever form of payment you choose we will always send you an invoice.
If you pay by card, a 2.2% processing fee will be added. We will send you authorisation form so you can give us your card details.
Included in the price of a public course are:
- Course tutorial
- Take away course materials
- Course Certificate
- Lunch on the days of the training as well as drinks and snacks throughout the course
The price doesn’t include accommodation, flights, transfers and any additional costs outside of the training venue.
Yes, we always offer Early Bird discount, so the sooner you register the more savings you can make. We also offer group discounts and if you register for 2 or more programmes at the same time.
If you are a full time student or unemployed, we offer a 25% discount of the full price of the training. Student ID or unemployment status confirmation is required to claim this discount.
If you attend one of our courses you will be entitled to a special discount for a year after the last course you attend with us. Also, if you have attended and recommended us to a friend, both you and your friend will receive a special discount. You will receive more information about it after you attend the course.
See our Customer Loyalty Discounts page for more details.
All our courses based in the UK are subject to the VAT charge of 20%. This fee is irrespective of the country of residence of the delegates.
You can, however, claim the VAT back by contacting UK tax office - HMRC, and filling the relevant form, as long as you comply with the following rules:
For Delegates coming from the EU countries
If you represent a registered business in another EU country, you can use the Refund Scheme to reclaim VAT you pay in the UK as long as all of the following apply:
- You're not registered for VAT in the UK and don't have to, or can't be, registered here
- You don't have a place of business or a residence in the UK
- You don't make any supplies in the UK
You can find some more information here. In order to claim the VAT you have to fill Form 65.
For the Delegates from Non EU countries
If you represent a registered business in a non-EU country, you can use the Refund Scheme to reclaim VAT you pay in the UK as long as all of the following apply:
- You're not registered for VAT in the UK and don't have to, or can't be, registered here
- You don't have a place of business or a residence in the EU
- You can only use the Refund Scheme if your own country operates a similar scheme and makes it available to UK businesses. If your country has its own Refund Scheme but doesn't let UK businesses use it, you can't claim under the UK Refund Scheme.
- You don't make any supplies in the UK
If the following rules apply to you, please fill the 65A form and send it to HMRC.
You can cancel your participation up to a month before the course and receive a refund minus 10% of the full course value. Between 2-4 weeks before the course you will be charged 50% cancellation fee and if you cancel less than 2 weeks before the course you can only offer your place to a colleague. Up to 2 weeks before the course you can reregister for another edition for 10% reregistration fee if there is another webinar offered or you can rebook for a course in London by paying the difference in price plus 10% reregistration fee.
If there is any official travel restriction or difficulty related to the COVID pandemic around the time of the course we will convert the training into a webinar or offer to attend the next classroom edition at no extra cost.
If you are unable to attend the course, you can either send a replacement at no extra charge or, up to 10 days before the training, you can transfer your booking to another edition within the next 6 months paying administrative fee of 20% of the full course price. For any cancellation requests received between 11 days and 4 weeks from the course we offer 50% refund or reregistration to another edition for 25% of the value of the booking. For any cancellation requests received more than 4 weeks before the course date we will offer a refund less an administration fee of 10% of the full course price.
Cancellations must be made in writing (letter or email) and reach our office four weeks prior to the course date. We regret that only limited refunds can be given after this period as per points above. Non-attendance without any notification will be charged at full rate. Your place on a course is not guaranteed until we receive the payment. All payments must be made in full before the course date.
All our trainers have been working for many years in their respective sectors before they begun to teach so they bring a wealth of practical experience to the classroom.
Most of them used to work for 15 or more years in the financial sector and corporate world, and were holding positions of Directors, VP and Senior Managers. Some of them have published books and have written articles for specialised magazines and newspapers including FT, The Independent, The Times etc. You can find detailed biography of each trainer on the page of the course you want to register for.
Yes, you will receive a Certificate of Attendance at the end of the course you attend.
If you have to apply for a Visa to attend a course in the UK, we will issue a letter to support your application. The letter will be issued only after the payment for the course has been made.
It is delegate’s responsibility to obtain a Visa and failure to do so will not make the participant exempt from the cancellation policy.
Anyone suspected of applying for a training course simply to gain a Visa letter will be reported to their embassy.
We will need the following information to issue an invitation letter:
- Full name as it appears on your passport
- Date of birth
- Passport number
- Passport issue date
- Passport expiry date