Financial statement analysis of AAA Pharmaceutical Co, LTD
Abstract
The objective of this thesis is to use an appropriate and practical method to analyze the performance of AAA Pharmaceutical Co, Ltd from 2005 to 2008. This is an essential issue since this will provide an objective insight the operation of company from in recent year.
First of all, strategy analysis gives the pictures of the industry’s situation and the company‘s strategies. Second, the analysis of current financial statements is established in order to have initial view. After that, I will conduct the ratio analysis especially the Dupont model to have a broad view on return on equity.
The combination between strategy analysis and financial analysis will explain for the performance of company over years. Based on these, it can be evaluated the health of AAA and give some useful suggestions to improve its weakness.