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Financial Analysis in Excel: Profitability Ratios

Learn Excel modelling to analyze financial statements for the assessment of a firm's profitability performance

Created byMd Mohan Uddin
IntermediateUpdated May 30, 2020

What You'll Learn

  • check_circleExplain different profitability ratios
  • check_circleMathematically define the profitability ratios
  • check_circleCalculate the profitability ratios in Excel using publicly available financial statements
  • check_circleInterpret the profitability ratios of a firm

About This Course

Understanding a company's profitability is essential for investors, analysts, and business professionals. This hands-on course teaches you how to analyze financial statements by focusing on key profitability ratios. Using Microsoft Excel, you'll learn to build a practical financial ratio analysis model using real, publicly available financial data. You'll explore the definitions, calculations, and interpretations of profitability ratios to evaluate a firm’s performance over time and against industry benchmarks.

Ideal for aspiring financial analysts, accountants, or anyone looking to enhance their financial analysis skills, this course provides a step-by-step approach to using Excel as a powerful tool for ratio analysis. By the end of the course, you’ll be able to confidently assess a company’s profitability and draw meaningful conclusions from financial data.

Course Content

7 activities • 20 videos • duration: 1h 16m

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Getting the Excel workbook ready-Part12 videos • 7 min
  • videocamDownloading Financial Statements from SEC EDGAR database to Excel Workbook
    Duration 5:01
  • videocamExtracting the financial statements in Excel from the downloaded annual reports
    Duration 2:48
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Operating Profit Margin-Part13 videos • 14 min
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Net Profit Margin-Part13 videos • 10 min
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Return on Assets-Part13 videos • 11 min
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Return on Equity-Part13 videos • 9 min
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Return on Invested Capital (ROIC)-Part13 videos • 14 min
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Basic Earning Power (BEP) Ratio-Part13 videos • 8 min

Your Instructor

Md Mohan Uddin

menu_book2 courses
star23 reviews

Dr. Md Mohan Uddin is currently a Professor of Finance at United International University. Before that, he held various senior faculty member positions at universities in Bangladesh and Malaysia. He also taught online Masters students of University of Roehampton and supervised online graduate dissertation students of University of Liverpool. During his academic career, he has been teaching undergraduate/graduate level business and finance courses since 2003. The courses he taught include: Corporate Finance, International Finance, Financial Management, Principles of Finance, Investment Analysis, Bank Management, Banking & Insurance, Project Management, Strategic Management, and Computer Applications in Business. He has got his PhD in Finance from Universiti Utara Malaysia, and MBA and BBA degrees majoring in Finance and Banking from University of Dhaka, Bangladesh. He enjoys making learning and instruction videos and is very much excited to be engaged with online platforms like Udemy and skillshare, where he can utilize those technologies for the purpose of reaching a large number of learners worldwide. In addition to presenting research papers in international conferences he has also been active in publishing research articles in different local and international journals in the area of finance. His area of interest includes corporate finance, capital market and its regulation, international finance, financial criminology, Islamic finance and small business finance.

Credit Information

Is this course eligible for my CPD requirements as a Canadian CPA?

Provincial regulators of CPAs in Canada do not require that independent providers of CPD be approved to offer courses. Instead, individual CPAs are responsible for assessing whether a CPD activity meets their requirements, and may take activities from any source provided those requirements are met.

Every course offered on LearnFormula is delivered by a qualified subject matter expert or learning organization, and advances learning objectives that are relevant to the responsibilities or professional competencies of Canadian CPAs. All activities on LearnFormula are quantifiable in terms of hours, and are also verifiable, in that users receive documented evidence of their attendance via a certificate of completion after finishing a course (and this certificate is stored by LearnFormula indefinitely). Nearly 100,000 Canadian CPAs successfully satisfy their CPD requirements via LearnFormula on an annual basis.

What Students Are Saying

4.4 out of 5
Student's Choice
20 reviews
  • SL
    Shanon L.
    starstarstarstarstar

    It was a good course. Although basic on financial ratios, the explanations were clear and understandable.

Frequently Asked Questions

We are a registered provider with 300+ associations and regulatory bodies worldwide. We operate across 27 global markets including Canada, the US, Australia, and the UK. Every course page clearly displays its specific accreditations. Upon completion, you receive a professional certificate that can be validated online. Our certificates include all necessary accreditation details, credit hours, and completion dates, and are formatted specifically to meet the submission requirements of most global regulatory bodies.

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