Annual Report:

• A comprehensive document summarizing a company's performance during a financial year

• Includes information on:

  • Revenue increase or decrease

  • New orders or contracts

  • Achievements and milestones

  • Changes in management and key personnel

  • Plans and prospects

• Prepared and distributed by the management to:

  • Shareholders

  • Promoters

  • Statutory bodies

  • The public

• Typically presented at the annual general meeting (AGM)

• Financial year:

  • India: April 1 to March 31

  • Many European countries: January 1 to December 31

The annual report provides stakeholders with a detailed overview of the company's performance and future direction, enabling them to make informed decisions.

An annual report includes:

• CEO's letter to shareholders

• List of key personnel and their contact information

• Financial reports (balance sheet, income statement, schedules)

• Report on company operations

• Auditor's report

• Shareholding pattern and historical share prices

• Milestones and achievements

However, it's important to note that annual reports may only highlight the positive aspects of the business, and investors should read between the lines to identify potential negatives, such as missed targets. Comparing the current report with previous ones can provide a more comprehensive understanding of the company's performance. While it requires skill and patience to fully understand an annual report, it can provide valuable insights into the company's operations and help investors make informed decisions.