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What do you all do with the annual reports hard copy...?

Not sure how to read it too..haha

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I think apart from the usual 3 financial statements that most investors would immediately flip to to analyze the current financial health and growth/reduction in the position of the company, some extra hidden gold that are within these reports are their expected business direction and management's explanation of their investor Q&A, if you're not one to attend their investor presentation/call conference.

Their business direction can tell you alot about their expected positions in the near future. For example, back in 2013 when Asahi India Glass was suffering from incredibly high interest payments consuming any profit margins they had, their course of action within the annual report was to issue out rights to pay down this outstanding debt they had, and to continue to cut costs in order to increase profits to be able to make interest payments. I think that really tells you that a company is on the right course to ensuring that their business structure is corrected, and can hint a potential turn in the stock direction , which did happen for them, where their stock steadily rose from a low of about 50 INR back to over 200 INR today.

Management's way of explanation to investor's Q&A is something more subtle actually, since it tells you management's analysis and any possible overoptimism on their part. For me, if their Q&A / investor conference involves alot of uncertain answers, I'm not really inclined to invest in them, even with strong growth prospects.

To me, an incredible business model may be worth nothing in the end in the hands of weak leaders.

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Pages folded into 'bowl' to use to hold food waste/rubbish. =D

Isaac Chan

05 Apr 2019

Business at NUS

Once you're done reading, I guess you should recycle it. It's pretty long and I think it's a waste o...

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