Reading Financial Statements
The three statements, what each line means, and how to read a 10-K without getting lost.
Recommended first: Foundations of Markets
Tick lessons off as you go, saved in this browser, no account needed.
- 1Income Statement
Profit over time
Income Statement: How to Read Every Line
- 2Revenue Recognition
When sales count
Revenue Recognition: When Sales Get Recorded
- 3EBITDA
Operating proxy
EBITDA: What It Measures and Where It Misleads
- 4Balance Sheet
Owned & owed
Balance Sheet: Assets, Liabilities, and Equity Decoded
- 5Working Capital
Short-term health
Working Capital: The Cash Tied Up in Operations
- 6Cash Flow Statement
Where cash goes
Cash Flow Statement: Where the Money Actually Moves
- 7Operating Cash Flow
Core cash
Operating Cash Flow: Measuring Core Business Cash Generation
- 8Free Cash Flow
What's left
Free Cash Flow: The Number That Drives Valuation
- 9Diluted EPS
Per-share profit
Basic vs Diluted EPS: Which Number Really Counts
- 10The 10-K
The annual filing
10-K Filing: What the Annual Report Actually Tells You
- 11GAAP vs Non-GAAP
Adjusted numbers
GAAP vs Non-GAAP: Reading the Adjusted Earnings Gap
- 12Goodwill
Acquired premium
Goodwill Impairment: When Acquisition Premiums Unravel
- 13Equity
Shareholders' equity
Shareholders Equity: What Owners Actually Own
- 14Current Assets
vs non-current
Current vs Non-Current Assets: Reading Liquidity Fast
- 15Investing CF
Capex & deals
Investing Cash Flow: Reading Capital Allocation Decisions
- 16Financing CF
Debt & equity flows
Financing Cash Flow: Debt, Equity, and Capital Returns