Analysis Consulting
Areas of expertise
This page describes our expertise in the overall analytical issues. For analysis of specific financial statement items, please click here . For training related to these topics, please click here .
Linking analysis to modeling and valuation
- Identification and analysis of six key value drivers: Size, Growth, Margins, Net asset turnover, Business risk, and Financial risk
- Connecting business models to value drivers
- Developing performance measurement metrics such as ROI, cash flow yield, adjusted EBITDA, and value creation
- Removing accounting distortions due to non-recurring items
- Separating core operating numbers from non-core operating numbers
- Separating enterprise items from financial items
- Benchmarking and peer comparison
We also analyze financial statements for red flags using our forensic accounting expertise:
- Timing of revenue recognition and expense recognition
- Changing the classification of expenses to portray them as non-recurring
- Changing the classification of cash flows and indulging in non-cash transactions to boost operating cash flows and free cash flows
- Understanding leverage and volatility