The quarterly analysis is prepared after analyzing the performance of the companies through their quarterly reports. Thus, individual analysis of each company is prepared based on the comparison of each quarter with respect to the same quarter of the previous year and the preceding quarter. In the quarterly reports, the profitability and liquidity of each company is analyzed along with the important projects undertaken in the quarter.
In addition to this, the report consist of recommendations for each company highlighting areas for improvement. In this context, a report is prepared as ‘Public Enterprises Quarterly Report’ combining all the individual reports belonging to that quarter.
The aim of the annual review of the state-owned enterprises is to analyze the financial status and review their performance. The performance will be evaluated through financial analysis of the company’s audited financial statements. The key purpose of the report is to find areas of weakness, analyze reason for these and identify improvements.
As financial statements are the principle tool that can be used to evaluate financial performance of a company, a comparative analysis of financial statements of the companies are conducted for the purpose of this analysis.
Generally, the main areas of concern are company’s profitability, liquidity and shareholder returns. The issues faced by the company in these areas together with corrective measures will be highlighted in the report. Additionally, the issues highlighted by the external auditors will also be addressed.