Financial Analysis, Modelling & Forecasting Seminar

Introduction: Financial Analysis and Modelling Essentials

A thorough understanding of the principles of financial analysis is a critical competency needed for effective business management.

This economic and financial analysis course delves deeply, not only imparting essential principles of analysis but also leveraging the power of Excel to identify the strategic drivers that can dramatically enhance the shareholder value of your organization. By exploring advanced financial analysis training, participants will be geared up for tremendous success in their roles.

Targeted Groups for Enhanced Financial Strategy

• Financial accounting team members.
• Cost and management accounting staff.
• Finance managers.
• Planning managers.
• Commercial managers.
• Capital investment and project team members.

Conference Objectives: Achieving Expertise in Financial Forecasting

At the end of this financial analyst seminar, participants will:

• Develop the fundamentals of strategic financial planning.
• Apply the latest techniques in economic and financial analysis.
• Utilize the financial tools, such as the time value of money.
• Determine key performance indicators to manage business success.
• Create financial tools tailored to their business environments.
• Learn the critical steps in developing a robust economic and financial model.
• Analyze a company's annual report to understand financial positions and make future performance projections.
• Understand interest theory and apply the time value of money.
• Develop an economic value-added model to assess the organization from the shareholders' perspective.
• Amplify the benefits of capital investment.
• Harness advanced Excel® tools like Solver, Goal Seek, and Scenarios to impact shareholder value.
• Impact upon shareholder value.
• Engage confidently in discussions centered around financial strategy.

Targeted Competencies: Core Financial Modelling Skills

At the end of this financial analyst seminar, the target competencies will able to:

• Performing capital budgeting analysis.
• Forecasting cash flow accurately.
• Calculating the cost of capital.
• Building and practicing financial modeling.
• Conducting scenario analysis effectively.
• Assessing free cash flow.
• Utilizing advanced Excel functions.

Core Content Enhanced with Financial Forecasting and Modelling

Unit 1: Foundations of Financial Modelling in the Global Business Context

• Definitions of model and financial model.
• Ten steps to creating comprehensive economic and financial models.
• Flowcharting techniques to refine models.
• The interplay between strategic and operational facets of global business entities.
• Understanding organizational planning models.
• The product/decision/information cycle.
• Grasping the objectives behind the financial analysis.
• Creating wealth by adding value.
• Examining fundamental metrics of wealth creation, economic, and financial performance.

Unit 2: Metrics of Success in Financial Analysis

• Harnessing ratio analysis is the cornerstone of financial analysis.
• Use Excel templates to calculate and interpret liquidity, leverage, and profitability ratios.
• Interpret the results of ratio analysis from an accrual accounting perspective.
• The inter-relationship between the "DuPont" formula and EVA®.
• How do you use the "Altman" Z-score?
• Use various investment surveys to benchmark the results of financial analysis.
• What constitutes "Shareholder Value?"
• Finding the cost of equity.
• Determine the cost of debt, preferred equity, and common equity.
• Calculate the Weighted Average Cost of Capital (WACC).
• Develop the EVA© model.
• Impact of acquisitions on WACC.

Unit 3: Time Value of Money in Building Financial Models

• The impact time has on the value of money.
• Understand the various interest calculations.
• Using WACC and ROIC as benchmarks.
• Use Excel® to determine present value, future value, net present value, internal rate of return, and modified internal rate of return.
• Using IRR as a basis for capital project evaluation.
• Situations that require models.
• Models and shareholder value (EVA®).
• Identification of forecast validation criterion.
• Determination of model and forecast horizons.
• The recognition of risk in forecasts.
• The role of assumptions in financial forecasting.

Unit 4: Evaluating Capital Investments and Historical Data Management with Advanced Excel

• Identify the various types of capital projects.
• Discuss the capital project evaluation process.
• Determining the initial and subsequent capital project cash flows.
• Development of the "Hurdle Rate" for capital projects.
• Discuss the use of "Terminal Value" in evaluating capital projects.
• Use Excel® to evaluate capital projects by applying NPV, IRR, and Discounted Payback models.
• Understanding the approaches used to build financial forecasting models.
• Recognizing the basic patterns inherent in historical data.
• Using the exploratory data analysis tools available in Excel®.
• Critical factors in determining the proper time horizon for your model.
• Determining degrees of reliability in model projections.
• Select the degree of robustness and sensitivity of the model.
• Understanding and applying selected modeling techniques.

Unit 5: Leveraging Time Series and Portfolio Investments with Excel

• Time series models using histograms, moving averages, exponential Smoothing, and regression analysis.
• Exponential Smoothing as a data analysis tool.
• Validating time-series analyses.
• Understanding and implementing sensitivity analysis.
• What if scenarios are in financial or operational models?
• Goal seek and scenario tools in Excel®.
• Risk measurement principles in shares.
• Graphing return and risk with variance analysis.
• Capital asset pricing model with modern portfolio theory.
• Managing a balanced investment portfolio.
• Using Excel to compute securities market beta.

This financial modeling course not only addresses financial modeling and analysis but also offers advantages through a blend of strategic insight and technical expertise.

The financial modeling course is designed for those seeking comprehensive courses in financial modeling, converging on practical skills to enhance their financial forecasting and modeling acumen.