Financial Statement Analysis

Running head: FINANCIAL STATEMENT ANALYSIS
Financial Statement Analysis
Name of the Student
Name of the University
Author’s note

FINANCIAL STATEMENT ANALYSIS1
Table of Contents
Second part.................................................................................................................................1
Key findings from the Annual report.........................................................................................1
Revenue......................................................................................................................................1
Debt obligation...........................................................................................................................1
Equity.........................................................................................................................................2
Earning Per Share.......................................................................................................................2
Stock...........................................................................................................................................2
Fifth part.....................................................................................................................................3
Events after the reporting period (IAS 10).................................................................................3
References..................................................................................................................................4

FINANCIAL STATEMENT ANALYSIS2
Second part
Key findings from the Annual report
Considering the annual report of Canadian Tire Corporation, it has been found that the
investors would be interested in looking into the following items.
Revenue
The consolidated comparable sales growth has been 2.2%, 2.7%, and 4.7% in the
years 2018, 2017, 2016 respectively (Sedar.com, 2019). The revenue has been $12,532.4 in
2016, $13,276 in 2017 and $14,058 in 2018. The company has a growth in revenue of 2.8%
in the quarter 1 of 2019 (Corp.canadiantire.ca, 2019). The This shows that the company is
performing well with respect to sales as the growth has been evident from its financial results.
It is clear that the company has been selling its products quite well and generating good
revenue. The company’s products have good demand in the market.
Debt obligation
The debt obligation can be found out clearly by debt to equity ratio.
(Source: Sedar.com, 2019)
From the above ratio analysis it is clear that the company has financed its capital more
with debt than with equity and the debt capital has been increasing in the last three years.
Ideally, this ratio should be 0.5. This shows that the company is leveraged and it has good
debt obligations.