Enhancing Financial Decision-Making at ALBA Company: Leveraging Financial Statement Analysis for Improved Investment Returns

Financial statement analysis (FSA) serves as an essential tool for informed management decision-making in organizations. This study aims to determine how ALBA Company can leverage FSA to improve financial and investment decisions while reducing low investment returns. Research methodology: Descriptive statistical analysis methods for presentations are used to analyze the financial ratio utilizing data from ALBA Company's annual report. The study determines that financial statement analysis is sufficient for informed decision-making, and organizations should prioritize utilizing FSA to effectively leverage this tool. Moreover, a range of ratios ought to be employed while evaluating a company's financial accounts. The FSA should be utilized judiciously in diverse decision-making processes beyond investment activities. Limitations: Only FSs released by ALBA Company between 2018 and 2023 are included in the analysis. Contribution: The article assists various investor types in making important investment decisions. The study recommended to design a sufficient timeframe for the gathering financial data and prepare appropriate analysis and employ ratios to assess a firm's financial and/or operational success.