INTRODUCTION 2
FINANCIAL RATIOS 4
PROFITABILITY RATIOS 5
LIQUIDITY RATIOS 7
ACTIVITY RATIOS 9
INVESTMENT RATIOS 11
OVERTRADING 13
FINANCIAL STATEMENTS 14
BALANCE SHEET 15
FORMATS OF FINANCIAL STATEMENTS 18
CONCLUSION 22
BIBLIOGRAPHY 23 INTRODUCTION
In this report you will find useful information about GlaxoSmithKline plc (GSK). and AstraZeneca plc (AZN) and overview of these companies. My friend wants to buy shares and ask me for some advice. This report requires an analysis of two companies, in terms of comparing and contrasting. However, I was not able to obtain the latest annual report for AstraZeneca, as they have not yet been produced (complete). In order to make it fair comparison, I have analyzed 2004 figures for GSK and 2005 figures for both companies GSK and AZN. I have successfully obtained details for both companies from FAME (http://fame.bvdep.com) from the FTSE 100 list. After a range of information I going to find the investment potential for these two companies, I going to analyze financial statements using different ratios and I going to describe the differences between financial statements for different types of business. In addition to this, I going to describe the meaning of overtrading and how can you avoid it.
GLAXOSMITHKLINE PLC. OVERVIEW
It is a British based pharmaceutical, biological and healthcare company. World leading research-based pharmaceutical group engaged in anti-infective, central nervous system (CNS), respiratory & gastro-intestinal/metabolic areas, vaccines, oncology products, medicines, oral care products and nutritional healthcare drinks. The company has 107 manufacturing sites in 40 countries with over 101,802 employees. GlaxoSmithKline is a leader in the worldwide consumer healthcare market, with nearly 3.5 billion in sales, over ten £70 million brands and present in 130 markets. Ticker symbol GSK.
ASTRAZENECA PLC. OVERVIEW
It is a large
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