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How to Analyze Operating Performance and Financial Condition with Ratios

Insights on Ratio Analysis to Determine Financial Strengths and Weaknesses. This session will explain how to employ ratios to measure and evaluate a borrower’s performance and financial condition. The borrower’s financial profile does change over its life cycle as it moves from a new entity to a mature firm, and this change over time will be explained and illustrated so that participants will see the link between positive cash flows and good operating performance and financial condition. Areas CoveredLiquidityo Current / Quick Ratioso Working Capital AnalysisLeverageo Various ratios to measure the proportion of support provided by owners and creditors Solvencyo Measures for determining the ability of the firm to simultaneously satisfy the expectations of lenders and owners while maintaining the earning assets of the firmProfitabilityo To measure the ability of management to utilize their assets to generate sales and maximize profitso Performance ratios to measure the relationship between sales, costs and expenses and how their changes affect the bottom lineCourse Level - Basic/Fundamental Who Should Attend Beginner Professionals in the Banking, Credit and Financial Services Industry followed by Mid Management and Upper Management.Why Should You Attend Ratio the analysis helps lenders and analysts to determine a borrower’s operating performance (profitability and productivity) and financial condition (liquidity, leverage, solvency) by rendering the financial statements into ratios. This webinar focuses on well-known and reliable ratios to assist in identifying trends analytical strengths and weaknesses of borrowers.

Insights on Ratio Analysis to Determine Financial Strengths and Weaknesses. This session will explain how to employ ratios to measure and evaluate a borrower’s performance and financial condition. The borrower’s financial profile does change over its life cycle as it moves from a new entity to a mature firm, and this change over time will be explained and illustrated so that participants will see the link between positive cash flows and good operating performance and financial condition.  

Areas Covered

  • Liquidity
    o Current / Quick Ratios
    o Working Capital Analysis
  • Leverage
    o Various ratios to measure the proportion of support provided by owners and creditors
  • Solvency
    o Measures for determining the ability of the firm to simultaneously satisfy the expectations of lenders and owners while maintaining the earning assets of the firm
  • Profitability
    o To measure the ability of management to utilize their assets to generate sales and maximize profits
    o Performance ratios to measure the relationship between sales, costs and expenses and how their changes affect the bottom line

Course Level - Basic/Fundamental   

Who Should Attend   

Beginner Professionals in the Banking, Credit and Financial Services Industry followed by Mid Management and Upper Management.

Why Should You Attend

Ratio the analysis helps lenders and analysts to determine a borrower’s operating performance (profitability and productivity) and financial condition (liquidity, leverage, solvency) by rendering the financial statements into ratios. 

This webinar focuses on well-known and reliable ratios to assist in identifying trends analytical strengths and weaknesses of borrowers.