Financial Analysis of Woolworths Ltd.

Running head: FINANCIAL ANALYSIS OF WOOLWORTHS LTD.
FINANCIAL ANALYSIS OF WOOLWORTHS LTD.
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Author Note

FINANCIAL ANALYSIS OF WOOLWORTHS LTD.1
Table of Contents
Introduction................................................................................................................................2
Discussion..................................................................................................................................2
Chairman’s outlook for future................................................................................................2
Vertical and Horizontal analysis............................................................................................2
Account analysis....................................................................................................................3
Ratio analysis.........................................................................................................................3
Recommendation........................................................................................................................4
Conclusion..................................................................................................................................4
References..................................................................................................................................5
Appendix....................................................................................................................................5

FINANCIAL ANALYSIS OF WOOLWORTHS LTD.2
Introduction
The report is prepared to analyse the financial performance of the choosing company
Woolworths Ltd (Woolworthsgroup, 2019). Woolworth Group is one of the largest retail
company of Australia. The company have extensive retain chain in Australia and New
Zealand as well as in various other country. The report analyse the prospective of the
company in the basis of the Chairman’s Letter. Further, this report perform the vertical and
horizontal analysis of the annual report of the company for the year 2018. Finally, the report
calculate and analyse the various financial ratio of the firm to recommends the investors
about their investment decision. The Chairman of Woolworths Ltd, in the annual report of
2018, mainly focuses in the innovation, community and shareholder values. The Chairman
discuss the growth in the innovation in the last few year as well as the future- plans of the
company (Crowther, 2018). Secondly, the Chairman discuss the contribution of the company
towards the community and the environments. Lastly, the Chairman discuss about the value
of the shareholders in the firm. The Chairman also discuss the future- plans of the firm in
respect of the shareholders and the contribution towards the community and the
environments.
Discussion
Vertical and Horizontal analysis
The horizontal analysis of the firm shows the growth in the financial performance of
the firm in the year 2018 compared to 2017 (Pellinen, Teittinen & Järvenpää, 2016). The each
section of the financial report shows the growth in the year of 2018 that means company
increase its efficiency and profitability in their business operation. This growth is favourable
for the company to sustain the business in the future.