Unlocking Financial Insights with financial analysis
- Stuart Patch
- Nov 10
- 1 min read
Operational Performance Ratios
Understanding financial results isn’t just about reading the bottom line, it Is about understanding the story behind the numbers. Financial ratios are a powerful tool to help understand performance as they help leaders:
Identify trends and areas for improvement
Make informed decisions about investment and cost control
Benchmark performance against other parts of the organisation
Benchmark against industry peers
Operational Performance Ratios offer a sharper lens into how well the organisation is running and below are five common ratios along with the calculation and an overview of the focus / use of the ratio.
🎥 If you would like to watch a more detailed explanation on the topic, check out the video below:
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