Introduction to Annual report:

• An annual report is a business document that is circulated to shareholders and outlines the status of the organization and activities for the prior year.

• It is a summary that public companies are required to send to their investors every year that outlines their structure and economic performance.

• The reports include specifics such as success highlights, a message from the CEO, financial records, and potential strategic objectives.

• Every year authorized mutual funds must disclose a full annual report to their investors.

• There are various segregations that annual report explains about the company.

• Following the global financial meltdown of 1929, policymakers required structured corporate financial statements, and annual reports became a regulatory necessity for public corporations.

• Annual reports are frequently made public and address a wide range of stakeholders, including clients, potential buyers, staff, and consumers.

• The key objective in an annual report is to satisfy legal obligations.

• A financial says a lot about the company like about its liquidity, debts, its financial status, earnings, losses, etc.

People who usually access Annual Reports:

Annual reports have public access but are usually used by the employees, shareholders, investors, customers, others. It has a large audience as anyone can access it.

Employees:

These are the people who are working in the company and study the annual report to understand the goals, status of the company, to understand whether they should buy stock in the same company or not. If these employees are interested and are also shareholders in the company, it will help them to gauge and study about their investments in a detailed manner.

Customers:

These are one of the most important people when it comes to studying the annual reports as if the customers gain the confidence in terms of company’s goods and services and it will help the company to grow better and faster by increasing its financial strength.

Shareholders:

They study the annual report to understand about the company in very detail. By this they will understand the progress of the company, where is it going wrong or have they made the right investment and also about the company’s future plans, etc. They are the most potential people also as they will help the company to build its financials when it comes to investing.

Where can you find Annual Report?

There are various places where an interested individual will find the annual report:

1. Website of the company:

All the companies have their annual reports published in its website year wise. They are usually cordially arranged for easy access of the readers and has a separate options or tab for it.

You can find the company’s website by searching the company’s name on Google and then you can access it easily.

2. Paid and Free information Websites:

There are so many websites which offer the annual reports of the company but its upon the website whether they offer it paid or free.

Along with the annual report they also usually offer other financial information of the company.

3. Stock exchanges of India- NSE and BSE:

As in stock exchanges, stocks and shares are traded, it is essential to have annual reports in it. Both of the stock exchanges have the option to find the annual reports of the company so that its easily accessible for the investors and its easy for them to plan whether or not they want to invest in that particular company.