Once You Know MS Excel Well You Can Simulate Many Pragmatic Scenarios With It: PNG Power Limited's Financial Statement Modelling

Here is an example of a one-pager input and two-pager output dashboards modelling of a energy company's financial ratios from publicly available annual financial statements (i.e. Income Statements and Balance Sheets). See link below for that analysis.

To improve efficiency in decision making, this calculator is conjured up as a handy tool for my personal use. The modelling is done in MS Excel following the 'DuPont's Holistic Financial Framework'.

The intention of this workbook is to assist me with reading the financial performance of companies. This tool or model also assist me in making decisions on companies to invest or join as an employee.

The workbook intends to model the financial statements (Income Statement and Balance Sheet) of firms and bring to the front the underlaying interpretations.?The intention also is to provide a quick 'what if' scenarios guide and calculator.

There is an 'Input & Assumptions' tab where you plug in the Income Statement and Balance Sheet entrees. Like all modelling you must make some assumptions but these must be educated assumptions. You plug in your inputs in the 'white cells' which are 'unlocked' and the simulation happens automatically on the next tabs called 'DuPont Analysis' and 'Financial Ratios'.

For the 'Financial Ratios' you can create a 'consolidated workbook' to do 'time series' trending of the financial ratios as well as compare the average against industry benchmark.

The data for your analysis can be obtained from publicly available annual financial reports and you must know how to read those financial statements.

For RCM Practitioners, interpreting the financial statements through the lens provided by the DuPont Holistic Financial Framework will provide you the line of sight from what we do from frontline production asset maintenance through to executive management and BOD 'financial speak'.

See link below for more on the DuPont Financial Framework.