This course develops the ability to evaluate financial performance using core ratio analysis and structured financial analysis frameworks. Learners begin with profitability ratios and return metrics, examining how organizations generate earnings and deploy capital based on income statement and balance sheet data.
Financial Analysis and Ratio Interpretation
Financial Analysis and Ratio Interpretation
Instructors: Michael McDonald
Access provided by ExxonMobil
Gain insight into a topic and learn the fundamentals.
Beginner level
Recommended experience
8 hours to complete
Flexible schedule
Learn at your own pace
What you'll learn
Analyze profitability and return metrics using income statement and balance sheet data.
Evaluate liquidity, efficiency, and working capital ratios to assess operational health.
Assess capital structure, interest coverage, and industry benchmarks to identify financial risk.
Skills you'll gain
- Financial Analysis
- Business Metrics
- Financial Modeling
- Financial Acumen
- Profit and Loss (P&L) Management
- Credit Risk
- Business
- Operational Efficiency
- Working Capital
- Accounting
- Financial Statements
- Performance Analysis
- Return On Investment
- Cash Flows
- Corporate Finance
- Trend Analysis
- Balance Sheet
- Financial Statement Analysis
- Benchmarking
- Income Statement
Details to know
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Assessments
3 assignments
Taught in English
Recently updated!
March 2026
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There are 3 modules in this course
This module introduces core profitability metrics and return ratios, giving learners tools to evaluate how efficiently a business generates profits and returns on its resources. The module includes margin analysis, return metrics like ROA and ROE, and the DuPont framework for dissecting return performance.
What's included
11 videos2 readings1 assignment1 peer review1 discussion prompt
This module focuses on short-term financial health and operational effectiveness. Learners will study liquidity ratios that assess a company's ability to meet obligations, efficiency ratios that measure asset utilization, and the working capital cycle. The goal is to understand how internal operations affect cash flow, stability, and flexibility in managing resources.
What's included
10 videos1 reading1 assignment1 peer review1 discussion prompt
This module focuses on analyzing a company’s capital structure, its ability to meet debt obligations, and how its financial performance compares to industry peers. Learners will examine leverage ratios, interest coverage, and credit risk indicators. They will also gain practical experience using horizontal, vertical, and peer benchmarking analysis to contextualize financial performance and uncover red flags.
What's included
11 videos1 reading1 assignment2 peer reviews1 discussion prompt
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