Financial analysis is carried out not only by managers and relevant departments of the enterprise, but also by its founders, investors in order to assess financial condition, studying the efficiency of resource use, commercial banks for assessing creditworthiness and determining the degree of risk of issuing a loan, suppliers - for timely receipt of payments, etc. In accordance with the tasks, the analysis of accounting (financial) statements is divided into internal and external.
Internal analysis is carried out by the company's services, and its results are used to plan the financial condition of the enterprise, ensure financial stability and solvency. Its goal is to establish a systematic flow Money and place own and borrowed funds in such a way as to ensure the effective functioning of the enterprise, maximizing profits and avoiding bankruptcy.
External analysis is carried out by investors, suppliers of material and financial resources, regulatory authorities on the basis of published reports. Its purpose is to establish the possibility profitable investment funds to maximize profits and minimize commercial and financial risks.
Analyzing the accounting (financial) statements, the user first of all determines the absolute indicators of the reporting forms and, during their analytical processing, proceeds to the relative indicators of financial ratios.
The detailing of the methodology of financial analysis depends on the goals set, as well as on various factors of information, time, methodological, personnel and technical support. The logic of analytical work involves its organization in two stages:
preliminary assessment, or express analysis of the financial condition;
detailed analysis of the financial condition. Express analysis of accounting (financial) statements.
Its purpose is a clear and simple assessment of the property status and development efficiency of an economic entity. This type of analysis can be carried out by the auditor at the preliminary planning stage of the audit. Express analysis should be performed in three stages:
preparatory;
preview financial statements;
economic reading and reporting analysis.
The purpose of the first stage is to decide on the appropriateness of the analysis financial reporting and make sure it's readable. The first task is solved by preliminary acquaintance with the reporting and the last auditor's report, the second is, to a certain extent, technical in nature. Here, a visual and simple counting check of reporting is carried out on formal grounds and in essence: the presence of all necessary forms and applications, details and signatures is determined; the correctness and clarity of filling in the reporting forms is verified; balance currency and all subtotals are checked; the interconnection of indicators of reporting forms and the main control ratios between them are checked, etc.
The purpose of the second stage is to introduce explanatory note to the balance, which is necessary in order to assess the working conditions in the reporting period, identify trends in key performance indicators, as well as qualitative changes in the property and financial position of an economic entity. It is necessary to pay attention to the algorithms for calculating the main indicators. Analyzing trends in key indicators, it is necessary to take into account the influence of some distorting factors, in particular inflation. In addition, it should be noted that the balance sheet itself, being the main reporting and analytical form, is not free from some restrictions, the most significant of which are the following.
1. The balance sheet is historical in nature: it captures the results of financial and economic activity that have developed by the time it was compiled.
The balance reflects the statics in the funds and liabilities of the enterprise, i.e. it answers the question of what the enterprise is at this particular moment according to the used accounting policy, but does not answer the question, as a result of which such a situation has developed.
A number of analytical indicators can be calculated from reporting data, but all of them will be useless if they are not compared with any base. The balance, considered in isolation, does not provide spatial and temporal comparability, therefore, its analysis should be carried out in dynamics and, if possible, supplemented by a review of similar indicators for related enterprises, their industry average and average progressive values.
The interpretation of balance sheet indicators is possible only with the involvement of data on the turnover of funds.
The balance sheet is a set of one-time data at the end of the reporting period and, therefore, does not reflect changes in the enterprise's funds during the reporting period. This applies primarily to the most dynamic balance sheet items.
When drawing up the balance sheet, the principle of valuation at acquisition prices is laid down. In the context of inflation, rising prices for raw materials and equipment used at the enterprise, low renewal of fixed assets, many items reflect a set of identical functional purpose, but different in value of accounting objects, which, of course, significantly distorts the results of the enterprise, the real assessment of its economic assets, the "price" of the enterprise as a whole and its financial results, primarily related to the assessment of the use of capital.
One of the main goals of any business is to make a profit. However, this indicator is not fully reflected in the balance sheet. The absolute value of the accumulated profit presented in it in isolation from the costs and sales volume does not show, as a result of which such an amount of profit has developed.
The result of the balance sheet does not reflect the amount of funds that the company actually has, its " valuation". The main reason for this is the possible discrepancy between the balance sheet estimate of economic assets and real conditions due to inflation, market conditions, etc.
9. The financial position of the enterprise and the prospects for its change are influenced by factors not only of a financial nature, but also by many others that do not have a valuation at all (possible political and economic changes, change of ownership, etc.), so the analysis of financial statements is only one of the sections of the complex economic analysis, which uses, in addition to formalized criteria, informal assessments. The third stage is the main one in express analysis; its purpose is a generalized assessment of the results economic activity company and its financial condition. Such analysis is carried out with varying degrees of detail in the interests of various users.
Detailed analysis of accounting (financial) statements. Its purpose is a more detailed description of the property and financial position of an economic entity, the results of its activities in the past year (period), as well as the possibilities for the development of the entity in the future. It concretizes, complements and expands the individual analysis procedures described above (express analysis). It provides an opportunity to assess the financial position of the company, property status, the degree of entrepreneurial risk (the possibility of repaying obligations to third parties), capital adequacy for current activities and short-term investments, the need for additional sources of financing, the ability to increase capital, the rationality of using borrowed funds, and the efficiency of operations. companies. AT general view the program of in-depth analysis of accounting (financial) statements may look like this:
1. Preliminary review of the economic and financial condition of a business entity.
Characteristics of the general direction of financial and economic activity.
Identification of "sick" reporting items.
2. Assessment and analysis of the economic potential of a business entity.
2.1. Assessment of property status.
Construction of analytical net balance.
Vertical balance analysis.
Horizontal balance sheet analysis.
Analysis of qualitative changes in property status.
2.2. Assessment of the financial condition.
Liquidity assessment.
Assessment of financial stability.
3. Evaluation and analysis of the financial results of the business entity. Estimation of sales volume.
Analysis of the organization's income structure.
Analysis of the organization's cost structure.
Profit analysis.
Profitability analysis.
Assessment of financial stability, credit and solvency.
Currently, there are several approaches to the sequence of analysis:
from the calculation and evaluation of general indicators of the efficiency of the use of capital, the study of its composition and structure to the assessment of the solvency and financial stability of the enterprise;
from general characteristics and evaluation of assets and their sources to the assessment of solvency, financial stability and efficiency of use of assets;
from the analysis of financial results to a general assessment of the dynamics and structure of balance sheet items, financial stability and liquidity, the efficiency of the enterprise;
from the analysis of capital formation, its placement, assessment of solvency, financial stability to the analysis of the efficiency of capital use and the main factors in the formation and change of financial position;
from analysis and liquidity, structure and cost of capital to analysis of working capital turnover, enterprise profitability, prospective financial analysis and break-even assessment.
test questions
Can you characterize the normative regulation of the preparation of accounting (financial) statements?
How is the property condition of the enterprise assessed on the basis of balance sheet data?
How to evaluate the demand for fixed assets on the balance sheet?
Which lines of the balance sheet most often need to be detailed?
What explanations (certificates) does form No. 5 "Appendix to the balance sheet" include for disclosing information on receivables / payables?
What complex cost items are included in Form No. 2 "Profit and Loss Statement"?
What changes have been made to form No. 2 in connection with the introduction of chapter 25 of the tax code?
What areas of the organization's activities are highlighted in form No. 4 “Cash flow statement?
What information can be obtained from Form No. 3, Statement of Changes in Equity?
What are the objectives of the analysis of accounting (financial) statements?
What explanations are needed to understand the property status of the organization?
What explanations are needed to understand the “quality” of the organization's financial results?
What can cause an active cash inflow from investing activities?
What clarifications are required for form No. 3 “Statement of changes in equity”?
What in without fail should be reflected in the explanatory note to the reporting forms?
Financial statement analysis is the process by which we evaluate the past and current financial position and performance of an organization.
The main source of information about the activities of the enterprise is the accounting (financial) statements. The most information for analysis is contained in the Balance Sheet (form No. 1) and Profit and Loss Statement (form No. 2), for a more detailed analysis for the financial year, data from all appendices to the balance sheet can be used.
Analysis of financial statements is a tool for identifying problems in the management of financial and economic activities, for choosing directions for investing capital and forecasting individual indicators.
Analysis of form No. 1 "Balance sheet"
Of all the forms of financial reporting, the most informative form for analyzing and evaluating the financial condition of an organization is the balance sheet (form No. 1). The balance sheet characterizes in monetary value financial position of the organization as of the reporting date. The balance sheet assets are built in order of increasing liquidity of funds, that is, in direct proportion to the rate of transformation of these assets in the process of economic turnover into a monetary form.
Balance liquidity- the degree of coverage of the obligations of the organization by its assets, which reflects the rate of return to circulation of money invested in various types of property and liabilities. The degree of liquidity depends on how long this process takes.
Analysis of the liquidity of the balance sheet consists in comparing the funds for the asset, grouped by the degree of their liquidity and arranged in descending order of liquidity, with liability obligations , grouped by maturities and arranged in ascending order of maturities.
Depending on the degree of liquidity, that is, the rate of conversion into cash, The assets of the organization are divided into the following groups:
A1 = Cash + Short-term financial investments.
A2 = Short-term receivables.
A3 = Stocks + Long-term receivables + VAT + other current assets.
A 4 = Fixed assets.
Liabilities of the balance are grouped according to the degree of urgency of their payment:
P1 = Accounts payable.
P2 = Short-term borrowed funds + debt to participants in the payment of income + other short-term liabilities.
P3 \u003d Long-term obligations + Deferred income + Reserves for future expenses and payments.
P4 = Capital and reserves (own capital of the organization) .
To determine the liquidity of the balance sheet, one should compare the results of the above groups for assets and liabilities.
The balance sheet is liquid if the following inequalities are observed: A1 ≥ P1; A2 ≥ P2; A3 ≥ P3; A4 ≤ P4.
For liquidity analysis, a table is compiled. 2, in the columns of which data are recorded at the beginning and end of the reporting period of the balance sheet (Table 1).
Table 1.Dynamics and structure of assets and liabilities of Asia LLC, thousand rubles
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Fixed assets |
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including: fixed assets |
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Construction in progress |
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long-term financial investments |
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delayed tax assets |
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current assets |
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including: |
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accounts receivable (up to 12 months) |
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short-term financial investments |
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cash |
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Total assets |
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Equity |
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long term duties |
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Borrowed funds |
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Accounts payable |
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Reserves for future expenses |
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Total liabilities |
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Table 2. Analysis of the liquidity of the balance sheet of Asia LLC, thousand rubles.
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Indicator group |
Indicator group |
Payment surplus (+), deficiency (-) |
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Most liquid assets (A1) |
Most urgent liabilities (P1) |
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Marketable assets (A2) |
Current liabilities (P2) |
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Slow selling assets (A3) |
Long-term liabilities (P3) |
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Hard-to-sell assets (A4) |
Permanent liabilities (P4) |
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According to the results of Table. 3, the liquidity of the balance sheet of Asia LLC can be characterized as insufficient, since the conditions of the first inequality at the beginning and end of the period are not met, which indicates the inability of the enterprise to pay off the most urgent obligations.
Table 3. Liquidity analysis of the balance sheet of Asia LLC
Comparison of the results of the first group of assets and liabilities, that is, A1 and P1 (up to three months), reflects the ratio of current payments and receipts. Comparison of the results of the second group of assets and liabilities, that is, A2 and P2 (terms from three to six months), shows an increase or decrease trend current liquidity in the near future. Comparison of the totals for assets and liabilities for the third and fourth groups reflects the ratio of payments and receipts in a relatively distant future. The analysis carried out according to this scheme quite fully represents the financial condition in terms of the possibilities of timely settlements.
The most important analytical ratios that can be used for a general assessment of the liquidity of an organization are the following:
Liquidity indicators of the organization are given in table. four.
Table 4. Liquidity indicators of the organization
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Coefficient |
Calculation formula |
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Absolute liquidity ratio (K al) |
Most liquid assets (Cash + Short-term financial investments) / Short-term liabilities |
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Quick (intermediate) liquidity ratio (K bl) |
(Cash + Short-term financial investments + Short-term accounts receivable) / Current liabilities |
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Current (general) liquidity ratio (K tl) |
Total liquid working capital / Current liabilities ( Short term loans and loans + accounts payable) |
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Net current assets (capital) (N oa) |
Total amount of liquid working capital - Current liabilities |
Absolute liquidity ratio is the most stringent criterion for the liquidity of the organization; shows what part of short-term liabilities can be repaid immediately, if necessary, at the expense of available cash and marketable securities.
The normal value of the absolute liquidity ratio ranges from 0.2-0.3. This value of the absolute liquidity ratio means that 20-30% of short-term liabilities can be repaid by the company immediately at the expense of cash.
Example
According to Form No. 1, it is known that line 260 = 1973 thousand rubles. at the beginning of the period, 3474 thousand rubles. at the end of the period. Page 250 = 6810 thousand rubles at the end of the period. Line 690 at the beginning of the period amounted to 14,597 thousand rubles, at the end of the period - 11,089 thousand rubles.
K al (beginning) = 1973 / 14,597 = 0.135
K al (at the end) \u003d (3474 + 6810) / 11,089 \u003d 0.927
The dynamics of the absolute liquidity ratio is positive and amounted to 0.792 (0.927 - 0.135). However, the indicators of absolute liquidity correspond to the standard only at the end of the period. Thus, at the beginning of the period, for 1 ruble of debt, the enterprise could quickly pay 13.5 kopecks, at the end of the period - 92.7 kopecks.
Quick (intermediate) liquidity ratio characterizes that part of current liabilities that can be repaid not only from cash, but also from expected receipts for shipped products, work performed or services rendered.
Current (total) liquidity ratio shows whether the organization has enough funds that can be used for short-term liabilities within a certain period.
It should be noted that in accordance with the official document - Methodological provisions for assessing the financial condition of enterprises and establishing an unsatisfactory balance sheet structure, approved by order of the Federal Financial Federal Financial Service of Russia dated January 23, 2001 No. 16, in order to recognize the balance sheet structure as satisfactory, the current liquidity ratio must be equal to or greater than 2.0. But in real conditions, the enterprise may well be in a stable state with a current liquidity ratio of 1.3-1.5.
Net current assets (capital) necessary to maintain the financial stability of the organization, since the excess of working capital over short-term liabilities means that the organization not only can pay off its short-term liabilities, but also has financial resources to expand its activities in the future. The presence of working capital serves as a positive indicator for investors and lenders to invest in the organization.
The dynamics of solvency indicators is given in Table. 5.
Table 5. Dynamics of solvency indicators of Asia LLC
After analyzing the data in Table. 5 shows that the value of the absolute liquidity ratio at the beginning of the period is higher than the recommended value. This suggests that 42.0% of short-term liabilities will be repaid daily. By the end of the period, this ratio decreases to 0.10, which is below the recommended value, that is, the company will repay only 10% of short-term liabilities daily.
Thus, we can conclude that during the analyzed period there have been very significant changes in the ratio of current assets and short-term liabilities. So at the beginning of the past period, there is an excess of current assets over liabilities. The high values of almost all ratios suggest that at the end of the previous period the organization had sufficient funds to ensure the repayment of its obligations.
AT " methodological recommendations for the development financial policy organization”, approved by order No. 18 of the Ministry of Economy of the Russian Federation, the state of the enterprise is divided into two levels. These categories have significant differences. The first level includes indicators for which normative values are determined: indicators of solvency and financial stability.
Analyzing the dynamics of these indicators, one should pay attention to the trend of changes. If their value is below the normative or higher, then this should be considered as a deterioration in the characteristics of the analyzed organization.
The key to the stability of the enterprise is its financial stability, that is, such a state of finances that guarantees its constant solvency. Such an economic entity, at its own expense, covers the funds invested in assets, does not allow unjustified receivables and payables, and pays its obligations on time.
Financial stability- this is the ability of a business entity to function and develop, to maintain a balance of its assets and liabilities in a changing external and internal environment, which guarantees its constant solvency and investment attractiveness within the limits of an acceptable level of risk. Financial stability reflects the stability of the characteristics obtained in the analysis of the financial condition of the enterprise in the light of a long-term perspective, and is associated with the overall structure of finances and the dependence of the enterprise on creditors and investors.
The objective of financial stability analysis is to assess the degree of independence from borrowed sources of financing. This analysis allows you to find out how financially independent the organization is, whether the level of this independence is growing or decreasing, and whether the state of its assets and liabilities meets the objectives of its financial and economic activities.
The stability of the enterprise is influenced by various factors: the position of the organization in the market; production of cheap and popular products; its potential in business cooperation; degree of dependence on external creditors and investors; availability of solvent debtors; efficiency of economic and financial transactions etc.
Organizations refer to the main indicators characterizing financial stability (capital structure) (Table 6):
Table 6. Indicators of financial stability
Capitalization ratio (the ratio of borrowed and own funds) shows what kind of funds the company has more - borrowed or own. It also shows how much borrowed funds the company attracted for 1 ruble of its own funds invested in assets. The smaller the value of the coefficient, the more stable the financial position of the organization.
Financial Independence Ratio(autonomy) shows specific gravity own funds in total amount funding sources. This ratio indicates how much an organization can reduce the amount of assets without prejudice to the interests of creditors. The higher the value of the coefficient, the more stable the financial position of the organization.
Funding ratio shows which part of the organization's activities is financed by its own, and which - by borrowed funds. If the value of the financing ratio is less than 1 (most of the property of the enterprise is formed from borrowed funds), this may indicate the danger of insolvency and often makes it difficult to obtain a loan.
Financial stability ratio shows what part of the asset is financed from sustainable sources, that is, the proportion of those sources of financing that the organization can use in its activities for a long time. If the value of the coefficient fluctuates between 80-90%, and has a positive trend, then the financial position of the organization is stable.
Indicators of financial stability of Asia LLC are given in Table. 7.
Table 7. Indicators of financial stability of Asia LLC, thousand rubles
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Deviation |
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Capitalization ratio |
Not higher than 1.5 |
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Financial Independence Ratio |
Not more than 0.6 and not less than 0.4 |
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Funding ratio |
Not less than 0.7 |
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Financial stability ratio |
Not less than 0.6 |
Business activity- this is the performance of the enterprise in relation to the amount of advanced resources or the amount of their consumption in the production process. Business activity is manifested in the dynamism of the development of an economic entity, the achievement of its goals, as well as the speed of turnover of funds:
The business activity of the organization in the financial aspect is manifested, first of all, in the speed of turnover of its funds. Analysis of business activity is to study the levels and dynamics of various financial turnover ratios.
Accelerated turnover reduces the need for funds or allows you to provide additional issue products.
As a result of the acceleration of turnover, the material elements of working capital are released, less stocks of raw materials, materials, fuel, work in progress, etc. are required, and, consequently, the monetary resources previously invested in these stocks and backlogs are also released. The increase in the number of revolutions is achieved by reducing the production time and the circulation time. To reduce production time, it is necessary to improve technology, mechanize and automate labor. The reduction of circulation time is achieved through the development of specialization and cooperation, the acceleration of transportation, document circulation and settlements.
The main indicators of turnover are given in table. eight.
Table 8. Indicators of business activity (turnover)
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Coefficient |
Calculation formula |
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Total capital turnover ratio (turnover) |
Page 010 (f. 2)_/ p. 190 + p. 290 (f. 1) |
Sales proceeds / Average annual value of assets |
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Working capital turnover ratio (turnover) |
page 010 (f. 2) / page 290 (f. 1) |
Sales proceeds / Average annual value of current assets |
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Return on assets (turnover) |
page 010 (f. 2) / p. 120 (f. 1) |
Sales proceeds / average cost fixed assets |
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Return on equity (turnover) |
page 010 (f. 2) / p. 490 (f. 1) |
Sales proceeds / Average cost of equity |
Total capital turnover ratio reflects the rate of turnover (number of turnovers per period) of the entire capital of the organization. An increase in the total capital turnover ratio means an acceleration in the circulation of the organization's funds or inflationary growth, and a decrease means a slowdown in the circulation of the organization's funds.
Working capital turnover ratio shows the rate of turnover of all working capital of the organization (both material and monetary).
return on assets- the ratio of the amount of proceeds from the sale to the average cost of fixed assets during the year (that is, how much income from the sale was able to "squeeze" out of fixed assets).
The growth of capital productivity indicates an increase in the efficiency of the use of fixed assets and is regarded as a positive trend. It can be achieved through an increase in sales proceeds or a decrease in the residual value of fixed assets. At the same time, fixed assets, due to their depreciation, constantly reduce their value, but the increase in capital productivity, obtained solely as a result of depreciation of fixed assets, cannot be considered a positive trend. A temporary decrease in the rate of return on assets may be caused by the introduction of new production capacity, costly restoration of fixed assets through overhaul or modernization, which should subsequently lead to both an increase in revenue (net) and an additional increase in the return on assets.
Return on equity ratio shows the rate of turnover of equity (how many rubles of revenue account for 1 ruble of invested equity).
This is the most common characteristic used in the analysis of business activity. An increase in this indicator with a relatively stable value of the equity capital indicator is a positive trend, indicating the activity of the enterprise in the sales markets, and a decrease indicates either problems with implementation or an increase in the share of equity capital, which is used insufficiently efficiently in the analyzed period of time.
Analysis of Form No. 2 “Profit and Loss Statement”
The Profit and Loss Statement is the most important source of information for analyzing the profitability of the enterprise, the profitability of production, determining the value net profit remaining at the disposal of the enterprise, and other indicators.
Profitability- one of the main cost qualitative indicators of production efficiency at the enterprise, characterizing the level of return on costs and the degree of funds in the process of production and sale of products (works, services).
The main profitability indicators can be grouped into the following groups:
1. Product profitability indicators. Calculated on the basis of proceeds from the sale of products (performance of work, provision of services) and production and sales costs:
2. Indicators of profitability of property and its parts:
3. Indicators of return on capital employed. Calculated on the basis of invested capital:
It should be noted that in countries with developed market relations, usually every year the chamber of commerce, industry associations or the government publishes information on the "normal" values of profitability indicators. Comparison of their indicators with their allowable values allows us to draw a conclusion about the state of the financial position of the enterprise. In Russia, this practice is not yet available, so a single basis for comparison is information on the value of indicators in previous years.
Table 9. Indicators characterizing profitability (profitability)
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Coefficient |
Calculation formula |
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Profitability of sales |
page 050 (f. 2) / page 010 (f. 2) × 100% |
Sales Profit / Sales Revenue × 100% |
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page 190 (f. 2) / page 010 (f. 2) × 100% |
Net profit / Sales revenue × 100% |
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Economic profitability |
page 190 (f. 2) / page 300 (f. 1) × 100% |
Net Income / Average Asset Value × 100% |
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Return on equity |
p. 190 (f. 2) / p. 490 (f. 1) × 100% |
Net income / Average cost of equity × 100% |
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Return on permanent capital |
line 190 (form 2) / (line 490 + line 590 (form 1)) × 100% |
Net Income / (Average Value of Equity + Average Value of Long-Term Liabilities) × 100% |
Profitability of sales reflects the share of profit in each ruble of sales proceeds. In foreign practice, this indicator is called the profit margin (commercial margin).
One of the synthetic indicators economic activity organization as a whole is the return on assets, which is commonly called economic profitability. This is the most general indicator that answers the question of how much profit an economic entity receives per 1 ruble of its property. The amount of dividends on shares in joint-stock companies, in particular, depends on its level.
In the indicator of return on assets, the result of the current activity of the analyzed period (profit) is compared with the organization's fixed and current assets (assets). With the help of the same assets, the organization will make a profit in subsequent periods of activity. Profit is mainly (almost 98%) the result of the sale of products (works, services). Sales proceeds is an indicator directly related to the value of assets: it consists of the natural volume and sales prices, while the natural volume of production and sales is determined by the value of the property.
Return on equity shows how many units of net profit each unit invested by the owner of the organization earned.
Return on permanent capital shows the effectiveness of the use of capital invested in the activities of the organization for a long time.
Thus, the system for analyzing the financial statements of organizations is based on A complex approach to the analysis of indicators of their financial and economic activities, reflecting the availability, placement and use of financial resources of the enterprise, organization.
The methodology for analyzing the financial condition of economic entities includes:
Analysis of the organization's financial statements is carried out by comparing its performance for different reporting periods and recommended normative values and comparisons across organizations belonging to the same groups (by industry, types of products, number of employees, etc.).
Financial analysis is carried out not only by managers and relevant departments of the organization, but also by its founders, investors - to assess the financial condition, study the efficiency of resource use, commercial banks - to assess creditworthiness and determine the degree of risk of issuing a loan, suppliers - to receive payments in a timely manner, etc. d. Depending on the tasks, the analysis of accounting (financial) statements is divided into internal and external.
Internal analysis - carried out by the services of the organization, its results are used to plan the financial condition of the organization, ensure financial stability and solvency. Its goal is to establish a systematic flow of funds and place own and borrowed funds in such a way as to ensure the effective functioning of the organization, maximizing profits and avoiding bankruptcy.
External analysis - carried out by investors, suppliers of material and financial resources, regulatory authorities on the basis of published reports. Its goal is to establish the possibility of a profitable investment in order to maximize profits and minimize commercial and financial risks.
When analyzing accounting (financial) statements, the user first determines absolute indicators, and then, during their analytical processing, proceeds to relative indicators - financial ratios.
The detailing of the methodology of financial analysis depends on the goals set, as well as on various factors of information, time, methodological, personnel and technical support. The logic of analytical work involves its organization in two stages:
The purpose of express analysis is a clear and simple assessment of the property status and development efficiency of an economic entity. This type of analysis can be carried out by the auditor at the preliminary planning stage. audit. Express analysis should be performed in three stages:
The purpose of the preparatory stage is to decide on the appropriateness of the analysis of financial statements and to make sure that they are ready for reading. The first task is solved by a preliminary acquaintance with the statements and the latest audit report, the second is to a certain extent of a technical nature. Here, a visual and simple counting check of reporting is carried out on formal grounds and in essence: the presence of all necessary forms and applications, details and signatures is determined; the correctness and clarity of filling in the reporting forms are verified; balance currency and all subtotals are checked; the mutual correlation of indicators of reporting forms and the main control ratios between them are checked, etc.
The purpose of the preliminary review of financial statements is to familiarize yourself with the explanatory note to the balance sheet, which will allow you to understand the features of the organization’s business, its development strategies, stage life cycle. This is necessary in order to assess the working conditions in the reporting period, identify trends in the main performance indicators, as well as qualitative changes in the property and financial position of an economic entity.
At this stage, you need to pay attention to the algorithms for calculating the main indicators. Analyzing trends in key indicators, it is necessary to take into account the influence of some distorting factors, in particular inflation.
In addition, it should be noted that the balance sheet itself, being the main reporting and analytical form, is not free from certain restrictions. The most significant of them are the following.
Economic reading and reporting analysis is the main stage of express analysis. Its purpose is a generalized assessment of the results of the economic activity of the organization and its financial condition. Such analysis is carried out with varying degrees of detail in the interests of various users.
The purpose of a detailed analysis is a detailed description of the property and financial position of an economic entity, the results of its activities in the past year (period), as well as development opportunities for the future. It concretizes, supplements and expands individual express analysis procedures.
A detailed analysis makes it possible to assess the financial position of the company, property status, the degree of entrepreneurial risk (the possibility of repaying obligations to third parties), capital adequacy for current activities and short-term investments, the need for additional sources of financing, the ability to increase capital, the rationality of using borrowed funds, efficiency company activities.
In general, the program for in-depth analysis of accounting (financial) statements may look like this:
Currently, there are several approaches to the sequence of analysis:
The purpose of a preliminary review of financial statements is to familiarize yourself with the explanatory note to the balance sheet, which will allow you to understand the features of the organization's business, its development strategies, and the stage of the life cycle. This is necessary in order to assess the working conditions in the reporting period, identify trends in the main performance indicators, as well as qualitative changes in the property and financial position of an economic entity.
At this stage, you need to pay attention to the algorithms for calculating the main indicators. Analyzing trends in key indicators, it is necessary to take into account the influence of some distorting factors, in particular inflation.
In addition, it should be noted that the balance sheet itself, being the main reporting and analytical form, is not free from certain restrictions. The most significant of them are the following.
1. The balance sheet is historical in nature - it captures the results of financial and economic activity that have developed by the time it was compiled.
2. The balance reflects the static in the funds and liabilities of the organization, i.e. answers the question of what the organization is at this particular moment according to the accounting policies used, but does not answer the question of what resulted in such a situation.
3. A number of analytical indicators can be calculated from reporting data, but all of them will be useless without comparison with some kind of base. The balance, considered in isolation, does not provide spatial and temporal comparability. Therefore, its analysis should be carried out in dynamics and, if possible, supplemented by a review of similar indicators for related organizations, their industry average and average progressive values.
4. Interpretation of balance sheet indicators is possible only with the involvement of data on the turnover of funds, i.e. about the business activity of the organization.
5. Balance - a set of one-time data at the end of the reporting period, and therefore does not reflect changes in the organization's funds during the reporting period. This applies primarily to the most dynamic balance sheet items.
6. When compiling the balance sheet, the principle of valuation at acquisition prices is laid down. In the conditions of inflation, rising prices for raw materials and equipment, low renewal of fixed assets, many balance sheet items reflect a set of accounting objects that are identical in function, but different in cost. This, of course, significantly distorts the results of the organization's activities, the real assessment of its economic assets, the "price" of the organization as a whole and its financial results, primarily related to the assessment of the use of capital.
7. One of the main goals of the functioning of any organization is to make a profit. However, this indicator is not fully reflected in the balance sheet. The absolute value of the accumulated profit presented in it in isolation from the costs and sales volume does not show, as a result of which such an amount has developed.
8. The result of the balance sheet does not reflect the amount of funds that the organization actually has, its "valuation". This is due to the possible inconsistency of the balance sheet value of economic assets with real conditions due to inflation, market conditions, etc.
9. The financial position of the organization and the prospects for its change are influenced by factors not only of a financial nature, but also by many others that do not have a valuation at all (possible political and economic changes, change of ownership, etc.). Therefore, the analysis of financial statements is only one of the sections of a comprehensive economic analysis that uses, in addition to formalized criteria, informal assessments.
Economic reading and reporting analysis is the main stage of express analysis. Its purpose is a generalized assessment of the results of the economic activity of the organization and its financial condition. Such analysis is carried out with varying degrees of detail in the interests of various users.
Analysis of enterprise assets
Current assets (current assets, mobile assets, current assets) occupy a significant share in the total amount of funds at the disposal of the enterprise.
The main objectives of the analysis of current assets is to study changes in their composition and structure, identify the main sources of working capital formation and determine the efficiency of the use of current assets.
Analysis of the composition of the current assets of the enterprise consists of five stages:
Analysis of the composition of current assets of the enterprise by their individual types makes it possible to assess the level of their liquidity.
During the study of the structure of the assets of the enterprise, the following methods are used:
Such an analysis of the structure of the company's assets allows you to determine the trends in asset items that have a positive impact on strengthening the company's position in the market, or vice versa - which are negative.
Analysis of the use of assets is to determine the impact of assets on the financial results of the company in three groups:
Thus, thanks to the results of the analyzes, it becomes possible to determine the overall level of management efficiency. current assets at the enterprise, as well as to identify the main directions of its increase in the coming period.
The competitiveness of an enterprise can only be ensured by the correct management of the movement of financial resources and capital at its disposal. Enterprise asset management is based on the following main concepts:
Effective asset management of an enterprise can be ensured by the following areas:
An analysis of the sources of an enterprise's assets allows you to establish the actual amount of equity and borrowed (attracted) capital, to identify the reasons that caused their changes for reporting period give them an appropriate rating. Borrowed funds participate in the turnover together with own capital, merge with it, but at the same time lose their quantitative certainty and status. All property of the enterprise represents a single capital invested in the business by different owners and in circulation, as a result of which it brings a certain profit. In its composition are bank loans, loans and accounts payable. The main attention is paid to equity capital, since the stock of sources of own funds is a stock of financial stability and stability of the enterprise. The need for own capital is due to the requirement of self-financing of enterprises. Own capital is the basis of the independence of the enterprise.
5. Analysis of fixed assets enterprises usually begins with a study of the volume of fixed assets, their dynamics and structure. Enterprise funds are divided into industrial - production and non-industrial, as well as funds for non-productive purposes.
In addition, the production part is usually divided into active and passive parts.
The objectives of the analysis of the use of fixed assets are:
Analysis of fixed assets begins with an analysis of the presence, structure and movement of fixed assets of the enterprise. Data on the availability of fixed assets, on their movement are entered in the table.
Availability, movement, structure of fixed assets of the enterprise
A clearer idea of the structure of fixed assets gives an analysis of changes in the structure of fixed assets over a period of years.
Analysis of changes in the structure over a period of years
This table may reflect data on changes in the structure of fixed assets for a certain period (when several analyzed years and one base year are considered). In this case, the absolute change in the value of fixed assets in the analyzed year compared to the base year, as well as the growth rate of the value of fixed assets in the enterprise, are calculated.
One of the main indicators in the analysis of fixed assets is average annual cost of fixed assets. This cost can be calculated as follows:
Fsr \u003d Fper + (Fvv * Chm) / 12 - Fl * (12-M) / 12
where,
Fs - the average annual cost of fixed assets;
Fper - the initial (book) value of fixed assets;
Fvv - the cost of the introduced fixed assets;
Chm - the number of months of functioning of the introduced fixed assets;
Fl - liquidation value;
M - the number of months of operation of retired fixed assets.
traffic information and technical condition fixed assets (funds) show the following indicators: Renewal rate, Retirement rate, Growth rate. Formulas and description are given here.
The next stage of the analysis is the analysis of the main indicators of the use of fixed assets. The main indicator of the use of fixed assets is return on assets, calculated as the ratio of the cost of commercial products to average annual cost fixed assets. In addition, capital intensity, the inverse of capital productivity, is calculated. The change in the level of capital productivity is influenced by a number of factors (factorial analysis of capital productivity). The value of these factors is calculated by comparing the indicator in the analyzed and base year.
The next step in the analysis is to determine capital-labor ratio(analysis of the provision of the enterprise with fixed assets). This indicator is defined as the ratio of the average annual cost of all fixed assets (Fsr.) to the average number of employees in the enterprise:
Fvoor = Fsr / R
where P is the number of employees at the enterprise (includes all workers, engineers and administrative staff).
In addition, an indicator is calculated showing the attributable cost of basic production means per worker(person employed in the main or auxiliary production):
Fwoor. \u003d Fpr / Rrab
where Rrab is the number of workers.
After analyzing the generalizing indicators, the degree of use of the production capacities of the enterprise, certain types of machinery and equipment is studied in more detail.
Degree of capacity utilization characterized by indicators:
For groups of homogeneous equipment is calculated change in production volume due to its quantity, extensiveness and intensity of use according to the following model:
VP \u003d K * D * Ksm * P * SV
where, K is the average annual amount of equipment;
D - the number of days worked;
Ksm - shift coefficient;
P - the average duration of the shift;
CB - production output for 1 machine-hour.
Calculation of influence of these factors is made by means of chain substitution, absolute and relative differences.
Finally, it analyzes the degree of use of the premises of the enterprise. An indicator is calculated showing how many products produced by the enterprise account for 1 square. meter of the total area of the enterprise (industrial and non-industrial):
Fpl. = VP / S
where VP is gross output, S is the total area.
But, since products are not produced on non-productive means, this indicator is more often used to determine the output of products per 1 sq.m. production areas.
In addition, when studying the use of enterprise space, the share of production and non-production space in the total area is calculated, as well as the specific area occupied by the main and auxiliary production in the total area of production space.
In the process of analysis, factors are identified and studied that in one way or another affect the performance of the enterprise and, in particular, the efficiency of the use of fixed assets. Thus, ways and reserves for increasing the efficiency of the use of fixed assets are identified. They can be the commissioning of uninstalled equipment, its replacement and modernization, the reduction of all-day and intra-shift downtime, an increase in the shift ratio, its more intensive use, the introduction of measures for modernization and technical re-equipment.
For example, reserves for increasing output through the commissioning of new equipment are defined as:
VPk \u003d ∆K * Df * Ksmf * Pf * SVf
where = ∆K is the additional amount of equipment, Df is the number of days worked (actually), Ksmf is the shift coefficient, Pf is the average working day, SVf is the output.
The reduction in whole-day downtime of equipment leads to an increase in the average number of days worked by each unit per year. This increase is calculated as:
Vpd \u003d Kv * ∆Df * Ksmf * Pf * SVf
where, ∆D is the additional number of working days, Kv is the possible number of working days.
VPkcm \u003d Kv * Dv * ∆Ksmph * Pf * SVf
By reducing intra-shift downtime, the average shift duration increases, and hence the output:
VPp \u003d Kv * Dv * Ksmv * ∆P * SVf
To determine the reserve for increasing output by increasing the average hourly output of equipment, you need to use the formula:
VPsv \u003d Kv * Dv * Ksmv * Pv * ∆SV
The reserves for the growth of capital productivity are an increase in the volume of production and a reduction in the average annual balances of fixed assets:
∆F = Fv - Ff = ((VPf + ∆VP) / (Fsr + Fdop - Mill)) - (VPf / Fsr)
where,
∆Ф is the reserve for the growth of capital productivity;
Fv, Ff - respectively, the possible and actual level of capital productivity;
∆VP is a reserve for increasing production;
Fdop - additional amount fixed production assets necessary for the development of reserves to increase output;
Mills - a reserve for reducing the average annual balances of fixed assets.
Analysis of the financial condition of the enterprise includes an analysis of the balance sheet and reports on financial results the work of the company being valued (quick analysis of financial statements) for the past periods to identify trends in its activities and determine the main financial indicators. Express analysis of accounting (financial) statements enterprise involves the following steps:
Stage 1. Analysis of property status
Let us consider in more detail the stages of conducting an express analysis of financial statements.
The most general idea of the qualitative changes that have taken place in the structure of the company's funds and their sources, as well as the dynamics of these changes, can be obtained using vertical and horizontal analysis of reporting. Vertical analysis reveals the structure of the company's funds and their sources, and horizontal analysis consists in the construction of analytical tables in which absolute parameters are supplemented by relative growth (decrease) rates.
The effectiveness and economic feasibility (and profit is the main and main thing for us) of the functioning of the enterprise are measured by absolute and relative indicators: profit, gross income, profitability, etc. Using the data of the income statement (report on financial results) of the balance sheet, we will calculate the main indicators profitability:
2.1. Profitability of sales. The formula for calculating the balance: K1 = (line 050 / line 010 f.2) * 100%, the profitability ratio of sales shows how much profit falls on a unit of sold products.
2.2. Profitability of the main activity: K2 \u003d line 050 / (line 020 + line 030 + line 040 f.2) * 100%, shows how much profit from sales falls on 1 ruble of costs.
2.3. Return on sales ratio (ROS): K3 = (p. 190 / p. 010 f.2) * 100%, sales income is the ratio of net profit to gross sales.
2.4. Return on assets of the enterprise (ROA): K4 \u003d ((net profit + interest payments) * (1 - tax rate)) / enterprise assets × 100%, shows how much monetary units net profit brings each unit of assets at the disposal of the company.
2.5. Return on equity ratio (ROE): K5 = (line 190 f.2 / line 490 f.1) * 100%, shows how much income each ruble invested in the company's business by its owners brings.
2.6. The payback period of own capital: K6 = line 490 f.1 / line 190 f.2, shows the number of years during which investments in this organization will fully pay off.
As a rule, the analysis involves:
3.1. Evaluation of the dynamics and structure of balance sheet items.
3.2. Analysis of liquidity and solvency of the balance sheet.
3.3. Analysis of financial stability and capital structure.
Evaluation of the dynamics and structure of balance sheet items. For a general assessment of the dynamics of the financial condition, it is necessary to group the balance sheet items into some specific groups on the basis of liquidity and urgency of obligations. (Conduct aggregation of balance sheet items). On the basis of the aggregated balance sheet, an analysis of the structure of the enterprise's property is carried out.
Analysis of financial stability. An assessment of the financial condition of an enterprise will be incomplete without an analysis of financial stability. The task of financial stability analysis is to assess the size and structure of assets and liabilities. Indicators that characterize the independence of each element of the assets and property in general, make it possible to measure whether the analyzed organization is financially stable enough. The simplest and most approximate way to assess financial stability is to calculate the absolute indicators of financial stability.
Most often, for the analysis of financial stability, relative coefficients are used, which are accepted in world and domestic accounting and analytical practice.
