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FINANCIAL STATEMENT ANALYSIS & VALUATION The dynamics of financial analysis from a theoretical and practical perspective Contact: www.iff-training.com +44 (0)20 7017 7190 [email protected]
FINANCIAL STATEMENT ANALYSIS & VALUATION The dynamics of financial analysis from a theoretical and practical perspective
Contact:www.iff-training.com+44 (0)20 7017 7190 [email protected]
Address all the key areas of financial analysis from both a theoretical and practical perspective.You are, undoubtedly, feeling the increased pressure on organisations to make the correct financial, lending and investment decisions, adding emphasis to the key role analysts play. With heightened awareness, performance is scrutinised, more procedures are being implemented and more people are working within financial analysis teams. Banks are starting to appreciate the increased importance of the processes that lead to sound lending and investment decisions, therefore, realising the need for well-trained people with the confidence to spot and communicate all the possible risks and exposures.The other challenge facing financial analysts today is the numerous changes in GAAP and IFRS, with new complex standards being introduced all the time. This course will guide you through the new standards allowing you to ‘normalise’ financial information for both analysis and valuation purposes.The great news for you is that financial statement analysis skills can be learned, and the resulting understanding of what the numbers tell you will be game-changing for your role. What will make you a great analyst, however, is being able to see beyond the figures. This course also gives you a unique view on how to go past the figures and see the bigger picture.
ATTEND THIS COURSE AND YOU WILL: . Appreciate the strategic context behind modern financial statement
analysis. Analyse the accounts and learn how to interpret them through ratio,
cash flow and liquidity analysis. Develop an ability to see into the future through financial statement
forecasting and an introduction to valuation. Learn about the common areas, methods and dangers of distortion
and how to spot this. Develop a mind-set to see beyond the numbers and what they are
telling the analyst. Be able to combine analysis with the ability to value a company
and determine value drivers and build the value bridge. Use the financial statements as a decisions support process rather
than merely a set of historical numbers
COURSE LEADERANDRE LANSER
Andre is a consulting trainer as well as a corporate finance practitioner. He has delivered courses for banks around the world in the areas of Credit, Corporate Finance, Valuation and Financial Modelling.Andre qualified as a Chartered Accountant,
completing articles with PriceWaterhouseCoopers. He started his career with a subsidiary of Commercial Union, involved in the steel manufacturing industry. His experience ranged from systems implementation, credit assessment of the highly risky construction industry customers, heading up the finance functions to successfully turning the business around and then selling the company through a trade sale. He later joined Commercial Union in the investment back-office function, reengineering the investment back office and later headed-up a team who implemented a new investment management system for both the back office and the front office.His career then spanned over 12 years in the Venture Capital and Private Equity arena, where he has gained a vast amount of experience in the corporate analysis and valuation field.He is a specialist in developing and training finance related courses, including corporate credit related topics, credit analysis and cash flow analysis with a special focus on the banking sector, derivatives, and financial modelling courses. His training experience spans a period of more than 15 years.
ABOUT IFFIFF has been delivering training courses to finance professionals since 1991. We are part of Informa PLC and the learning partner of the SuperReturn, RiskMinds and GAD series of events.
• We continually develop and improve our training tomake it more effective for you
• You’ll experience interactive and practical training -implement what you learn straight away
• You’ll learn from practising, highly-experiencedfinancial experts
• We limit class size so the trainer can adapt thecontent to suit you
DATES & PRICEPlease contact a member of our team for more details
CONTACT USTel: +44 (0)20 7017 7190Email: [email protected]: www.iff-training.com
IN-COMPANY TRAININGIFF’s bespoke training solutions will help you address your specific key business challenges. The programme is designed for you, with content focusing on the issues you and your teams are facing. The course can then be delivered at your choice of location face-to-face, digitally or a combination of the two.
. Tailored content - 100% targeted to cover your needs
. No travel or time out of the office – we will come to you
. Value for money – train teams of staff at the same time
. Risk free – we’ve been doing this for over 30 years
We will meet you anywhere in the world. Please contact:
Leigh Kendall on +44 (0)20 7017 7190 or email: [email protected]
Contact:www.iff-training.com+44 (0)20 7017 [email protected]
COURSE AGENDAINTRODUCTION• Corporate, business unit and operational
strategy compared with strategic vs. business planning
• Establishing the reporting entity vs. legal entity• Review of reporting standards: domestic
(GAAP) vs. international (IFRS)• Transactional accounting vs. economic
perception worlds• A structured approach for analysis (accounting
analysis, financial analysis and prospective analysis)
• Types and purpose of financial reports and statements
• A structure for effective initial reading of the annual report/audited accounts
• The importance of strategic analysis for understanding life cycle context of financial statements
• Business model - used to understand the ‘business’
ACCOUNTING ANALYSISReview of fundamental accounting principles, concepts and mechanics underlying financial statements. Introduction to the structure and format of ‘core’ financial statements including consolidated or group accounts.
CASE STUDY
Financial statement building blocks
Statement of Financial Position• Tangible non-current assets (fixed)
– level required to support the business – basis of valuation – real value they add to the business – held off-balance sheet – charges/prior claims
• Intangibles/goodwill – valuation – liquidity – ‘void in bankruptcy’ issues – how funded
• Investments – type – liquidity – valuation
• Working capital – quality and efficiency – seasonality – distortions – when is cash not really cash
• Liabilities – relative level – maturity profile – structure, terms and conditions of debt
facilities• Capital
– quality and types – access to further capital – types of reserves
Income Statement• Revenue volatility• Operational costs and leverage• Finance costs• Sustainable vs. comprehensive income • Items picked up by comprehensive income• Movements on reserves• Cleaning the numbers: restructuring costs,
profit/loss on sale of assets, non operational income or expenses
Statement of Cash Flow:• Direct vs. indirect methods• Source and application of funds• preparing a cash flow statement for
valuations
CASE STUDY
Analysing and interpreting the annual report and financial statements
The Dangers & Distortions of Creative Accounting
Management Accounts• Difference between financial and
management accounts• Advantages and disadvantages• How they fit with the business model and with
the audited accounts• What to look out for• Assessing reliability
FINANCIAL ANALYSIS
Ratio Analysis• Purpose and uses of ratios• Key functional areas:
– operating management – investment management – financing decisions – dividend policy
• Benchmarking/peer group analysis• Identifying sustainable growth rate • The impact of financial gearing and leverage
on equity returns• Different industry characteristics/profiles • The tendencies of ratios over the long term• Identifying the weak/moderate/strong/very
strong companies
PRACTICAL SESSION
Interpreting the financial health of the business using ratios
Cashflow Analysis• Review of the cash flow statement structure• Identifying the primary cash drivers• EBITDA in perspective
• Calculating free cash flow• Specific cashflow ratios• Establishing cash flow sustainability• Calculating debt capacity• Debt Service Cover Ratio (‘DSCR’)
Liquidity Analysis• Definition• Credit Risk• Operational liquidity • Non-operational sources of liquidity• Liquidity reserves• External factors impacting a company’s
liquidity
PRACTICAL SESSION
Analysing the financial cash and credit position
PROSPECTIVE ANALYSIS
Financial Statement Forecasting • Budgets vs. forecasts• Preparation approach• Period of preparation• Assumption setting• Sensitivity analysis• Accounting returns vs. investment returns vs.
cashflow returns• Monitoring and control
PRACTICAL SESSION
Constructing financial forecasts
An Introduction to Valuation• The importance of intrinsic fundamental
valuation price vs. value• Valuation techniques requiring or nor requiring
forecasting• Brief introduction to valuation techniques and
the central concepts• The use of Discounted Cash Flow (DCF)
techniques such as Free Cash Flow• The Investment horizon and competitive
advantage period• Discussions around top down or bottom up
Weighted Average Cost of Capital (WACC) for company and project valuation
• Using relative multiples to value or check the reasonableness of DCF
• Introduction to Strategic Value Added (SVA) and the principles of economic profit
PRACTICAL SESSION
Using previous financial forecasts for indicative valuation
COURSES IN THE IFF CORPORATE FINANCE PORTFOLIO
THE MECHANICS OF
LOAN DOCUMENTATION
Contact:www.iff-training.comTel: +44(0)20 7017 7190Email: [email protected]
Dates:9 October 2019
POSTGRADUATE CERTIFICATEDELIVERED BY DISTANCE LEARNING OVER 16 WEEKS
Learning partner of
THE MECHANICS OF
PRIVATE EQUITY
Contact:www.iff-training.com+44(0)20 7017 [email protected]
POSTGRADUATE CERTIFICATEDELIVERED BY DISTANCE LEARNING OVER 16 WEEKS
Learning partner of
CORPORATE CREDIT RISK ANALYSISA practitioner’s guide to analysing corporate credit risks in today’s volatile markets
Dates:17-18 October 2019London
Contact:www.iff-training.comTel: +44 (0)20 7017 7190Email: [email protected]
CORPORATE VALUATION TECHNIQUESFocuses on the core skills required for the successful application of corporate valuation techniques
Contact:www.iff-training.comTel: +44 (0)20 7017 7190Email: [email protected]
Dates:29-31 May 201921-23 October 2019London
VALUING TECHNOLOGY BUSINESSESA practical guide to contemporary valuation techniques
Dates:7-9 October 2019London
Contact:www.iff-training.comTel: +44 (0)20 7017 7190Email: [email protected]
Contact:www.iff-training.comTel: +44 (0)20 7017 7190Email: [email protected]
PROJECT FINANCEObtain a thorough grounding in the techniques of limited-recourse project fi nancing when applied to a range of capital-intensive industries
ASSET SECURITISATIONA detailed, practical guide to the opportunities and mechanics within Asset Securitisation
Dates:23-24 May 201928-29 November 2019London
Contact:www.iff-training.comTel: +44 (0)20 7017 7190Email: [email protected]
CORPORATE FINANCELearn the latest developments, strategies and techniques over this three day practical corporate finance course
Dates: 4-6 November 2019 London
Contact:www.iff-training.com Tel: +44 (0)20 7017 7190 Email: [email protected]
CPD Certified:
IFF is recognised by the CPD Certification Service and have been approved to award CPD points towards professional development certifications. Attendance at this course will earn you 40 CPD points.
See the website for full details www.iff-training.com
