Answers - Finance

If you invest directly in shares, you should receive copies of company reports unless the shares are held by a nominee. If you are thinking of

According to USFDA, a combination product is one composed of any combination of a drug and device; biological product and device; drug and biological product

investing in a company and would like to see the annual report, you can arrange to have it sent to you (ring the company secretary).

If you

; or drug, device, and biological product and fixed dose combination would include two or more combinations of drug.

Examples of combination products may in

o not receive company reports because your shares are held by a nominee, you can arrange to get them. To avoid additional cost, a useful sourc

lude drug-coated devices, drugs packaged with delivery devices in medical kits, and drugs and devices packaged separately but intended to be used together.

e is the Financial Times, which has a free service.

Annual report and accounts

This is usually a glossy affair which the company uses

here is enormous increase in the number of combination products entering the market in the recent years. Combination products have proven advantages but fixe

for publicity and marketing. It is also long and wordy because parts are required by law.

To find out what really matters without reading it

d dose combinations are still in the process of convincing regulatory authority on their advantages over the single ingredient formulations.

Combination pro

all, consider the following:

Summary

Read this first. It will be at or near the beginning and may be called 'Financial Highlights'. C

ucts have become life saving products for the pharmaceutical companies who doesn’t have many innovative molecules in their product pipeline and have been inc

mpare this year's figures with last year's. Look especially at earnings per share (EPS) as this is the most valuable statistic. EPS is profit

easingly used in the product life cycle management. Even the companies having product patents are trying to extend their product life cycle through the combi

for the period divided by the number of shares in issue.

Chairman's statement

This summarises the results but it is not a legal docum

nation products and maximize the revenues. But the companies involved in this practice are overlooking that they are burdening the patients both economically

nt so it will be slanted favourably. The most important paragraph is prospects, usually near the end.

Directors' report

See if there

and physically. They need to rightly judge the benefits of the combination products and they have to even look at the risks involved when combining the produ

are any changes in accounting practice, which must be reported here. If there are any, have the previous year's figures been adjusted for comp

ts. Some of the combination products were well accepted by physicians while others suffered. Companies involved in development of combination products are fi

rison?

Auditors' report

Is it 'clean': in other words have they not said there is anything wrong?

Profit and loss account

Yo

ding difficulty in defining their combination products and facing various challenges from selecting a combination to marketing it.

Following aspects would a

u will have already seen the important figures in the summary but in the profit and loss account you will find a useful analysis of profit bet

dd to the challenges in developing combination products:

Which markets to tap where the combination products can do fairly well?
Which combination prod

een ongoing businesses and (if any) new or discontinued businesses. Balance sheet

Look at the group balance sheet if there is one. Compare e

cts are meaningful and rational?
Which therapeutic categories to select?
Which Combinations can address unmet needs of the patients?
Do combin

ach item with last year and think about any wide deviations, looking at the relevant notes. Look particularly at net current assets and borrow

tions increase the patient compliance?
What would be the developing cost?
How to tackle the risks encountered during combination product developmen

ngs. Cash flow Is there a net inflow or outflow? In the latter case try.to work out why, in case it is a warning. (Fast growing companies can

t?

As combination products don't fit into the traditional categories of drugs, medical devices, or biological products, the USFDA is in the process of devel

be highly profitable but still run out of cash.)

Notes on the accounts

Read the note relating to directors' pay: always of interest!

ping new procedures for reviewing their safety, efficacy and quality.

Professional from academic institutions, pharmaceutical industries, health care indust

List of directors

Does the company have non executive directors and if so do they seem powerful enough to stand up to the executives?

y and representatives from various regulatory agencies are working out to design the regulatory requirements for manufacture and sale of combination products

Interim report

This is usually quite brief. It shows figures for the first half of the current year compared with the same period la

.

As there is an increasing trend of the combination products companies manufacturing such products should be able to tackle the problems involved in the de

t year and the last full year.

The figures will not have been audited and there may not be a balance sheet or cash flow statement. Watch out

elopment. They need to be wiser in analyzing the market trends and the regulatory requirements.

Companies that provide selfless information through particip

for any accounting changes which affect the comparison.

There will probably be a short chairman's statement, including a comment on prospects

tion in industry events and feedback to regulatory authorities would be able to face the challenges and will be successful in developing combination products

HTTP = HTML link (for blogs, profiles,phorums):
<a href="http://www.answers.org.ua/article/102168/answers-Investing-Your-Money-Wisely-How-To-Interpret-Company-Reports.html">Investing Your Money Wisely: How To Interpret Company Reports</a>

BB link (for phorums):
[url=http://www.answers.org.ua/article/102168/answers-Investing-Your-Money-Wisely-How-To-Interpret-Company-Reports.html]Investing Your Money Wisely: How To Interpret Company Reports[/url]

5 effective career promotion advice to help you gain the promotion you want, especially if you just started out your career.

It is not uncommon for the summer season to be a slow period for many business owners. Using this time efficiently can help things to run more smoothly during busy times, and can even allow for an increase in sales and service requests just by spending this time more effectively.

Internet Marketing is not dead. But it may have caused the death of a few people. Let's take a look at how terrorist organizations are using Internet Marketing to recruit and spread the word. 1. Case...

Tags

Links

Answers - Investing Your Money Wisely: How To Interpret Company Reports

Related Articles: