Financial Analysis

Table of Contents

Executive Summary 4

Background 5

Statement of cash flow analysis 5

Operating activities 5

Investing activities 6

Financing activities 7

Suitability for investment 8

Conclusion 8

Executive Summary

This paper comprehensively and candidly makes fundamental analysis of Julphar business core by carrying out statement of cash flows analysis, which includes the analysis on operating activities, investing activities and financing activities. The paper extends to evaluation of suitability for investment and finally makes a conclusion based on the findings.

Background

Juphar is a pharmaceutical manufacturer in the North Africa and Middle East. The corporation is known to distribute medicine over forty countries. The company started back in 1980 n United Arabs Emirates with its first stand alone facility making a production of five products only. The idea coming up with the firm came from UAE’s decision to transform from herbal medicine to conventional medicines while Juphar was being motivated to generate value that is long-term to Emirates. The company now operates international certified manufacturing facilities and holds approximately 3,646 product design registration certificates. About eleven of the facilities are based in Emirates and covers areas like syrup and tablets (Company Profile, 2016).

Statement of cash flow analysis

The statement of cash flow analysis stipulates how the company how the company gets money, how it uses the money. There are no well established ratios for carrying out cash flow analysis and therefore, the analysis will employ the use of trend analysis with 2013 being the base year.

Operating activities

Operating activities is the first section of the cash flow statement, which indicates the amount of cash a company generates from its core business, as opposed to peripheral activities such as investing or borrowing. In this section of the cash flow statement, net income, also referred to as...