I like to see at least four years of financial results, three years at minimum. We get an opportunity to see just how healthy a business is. A table, such as the table illustrated below, should be part of Analytics 101 training and Executive Management 101 training.
Demand increased from $17.8 to $20.1 million over the past four years.
Earnings Before Taxes decreased, from $2.2 million four years ago to $1.5 million today.
In other words, this business is struggling, struggling badly, right?
Here's your homework assignment for today - which lines in the profit and loss statement illustrate why this business is struggling to produce profit?