Financial Statement and Investment Analysis Report: BAP42A, Semester 1

This report provides a financial statement analysis of Flagship Investments Ltd, focusing on the years 2016 and 2017. It examines the company's core business as an Australian investment firm providing access to Australian listed companies. The analysis includes calculations of key financial ratios, such as solvency, asset management, profitability, and liquidity ratios. The report highlights significant changes in financial performance, including revenue and asset increases, improvements in earnings per share and dividends. The report also includes relevant references from sources like annual reports and financial management textbooks to support its findings.

BAP42A Financial Statements and
Investments Analysis

The report conducts financial statement
analysis of Flagship Investments Ltd
This is done by calculating the key
financial ratios of the company for year
2016-2017
Introduction

It is an Australian investment company
Provides access to investors of
Australian listed companies
Promotes investment in the Australian
equities by investors
Core Business Activity of Flagship Investments Ltd

 Revenue has been increased by 8.9% in the financial
year 2017
 The total assets have reported an increase of 12.3% in
the financial year 2017
 The earning per share has improved by 136% in the year
2017
 The dividend has improved by 3.75 cents in the year
2017
Major Changes In Financial
Performance

Solvency & Asset Management
Ratios
2017 2016
6.40%
6.60%
6.80%
7.00%
7.20%
7.40%
7.60%
7.80%
8.00%
Solvency Ratios
Percentage
2017 2016
0.00
1.00
2.00
3.00
4.00
5.00
6.00
Asset Management Ratio

Profitability and Liquidity Ratios
2017 2016
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
2.28% 1.72%
63.29%
46.84%
Profitability Ratios
Percentage
2017 2016
13.20
13.40
13.60
13.80
14.00
14.20
14.40
14.60
13.67
14.38
13.67
14.38
Liquidity Analysis
Times

 Annual Report. 2017. Flagship Investments. [Online]. Available at:
https://www.flagshipinvestments.com.au/wp-content/uploads/2017/09/FSI-20
17-Annual-Report-FINAL.pdf
[Accessed on: 3 April, 2019].
 Brigham, F., and Michael C. 2013. Financial management: Theory & practice.
Canada: Cengage Learning.
 Damodaran, A, 2011. Applied corporate finance. USA: John Wiley & sons.
 Davies, T. and Crawford, I., 2011. Business accounting and finance. USA:
Pearson.
 Krantz, M. 2016. Fundamental Analysis for Dummies. USA: John Wiley & Sons.
 Moles, P. and Kidwekk, D. 2011. Corporate finance. USA: John Wiley &sons.
 Schlichting, T. 2013. Fundamental Analysis, Behavioral Finance and Technical
Analysis on the Stock Market. Australia: GRIN Verlag.
References