Condensed interim financial statements are summarized financial reports that provide a snapshot of a company’s financial position for a period shorter than a full fiscal year. These statements are crucial for stakeholders, including investors and management, to assess ongoing financial performance and make informed decisions. Below are three diverse examples of condensed interim financial statements to illustrate their application.
A technology company, Tech Innovations Inc., generates quarterly reports to provide stakeholders with an update on its performance. This condensed interim financial statement is for the second quarter of the fiscal year.
The condensed interim financial statements include the balance sheet, income statement, and cash flow statement, all streamlined for quick analysis.
Tech Innovations Inc.
Condensed Interim Financial Statements
For the Six Months Ended June 30, 2023
| Balance Sheet | June 30, 2023 | December 31, 2022 |
|---|---|---|
| Cash and Cash Equivalents | \(1,200,000 | \)900,000 |
| Accounts Receivable | \(800,000 | \)600,000 |
| Total Assets | \(3,000,000 | \)2,700,000 |
| Total Liabilities | \(1,500,000 | \)1,200,000 |
| Shareholders’ Equity | \(1,500,000 | \)1,500,000 |
| Income Statement | Q2 2023 | Q2 2022 |
|---|---|---|
| Revenue | \(1,000,000 | \)800,000 |
| Gross Profit | \(400,000 | \)300,000 |
| Operating Expenses | \(250,000 | \)200,000 |
| Net Income | \(150,000 | \)100,000 |
| Cash Flow Statement | Q2 2023 | Q2 2022 |
|---|---|---|
| Cash Flows from Operating Activities | \(200,000 | \)150,000 |
| Cash Flows from Investing Activities | (\(100,000) | (\)50,000) |
| Cash Flows from Financing Activities | \(200,000 | \)0 |
| Net Increase in Cash | \(300,000 | \)100,000 |
A retail company, Fashion Hub Ltd., releases its interim financial statements to provide insights into its performance at the end of the first quarter.
These condensed statements help investors understand seasonal impacts and sales trends.
Fashion Hub Ltd.
Condensed Interim Financial Statements
For the Three Months Ended March 31, 2023
| Balance Sheet | March 31, 2023 | December 31, 2022 |
|---|---|---|
| Cash and Cash Equivalents | \(500,000 | \)400,000 |
| Inventory | \(1,000,000 | \)1,200,000 |
| Total Assets | \(2,500,000 | \)2,600,000 |
| Total Liabilities | \(1,200,000 | \)1,300,000 |
| Shareholders’ Equity | \(1,300,000 | \)1,300,000 |
| Income Statement | Q1 2023 | Q1 2022 |
|---|---|---|
| Revenue | \(1,200,000 | \)1,000,000 |
| Cost of Goods Sold | \(800,000 | \)700,000 |
| Gross Profit | \(400,000 | \)300,000 |
| Operating Expenses | \(300,000 | \)250,000 |
| Net Income | \(100,000 | \)50,000 |
| Cash Flow Statement | Q1 2023 | Q1 2022 |
|---|---|---|
| Cash Flows from Operating Activities | \(150,000 | \)120,000 |
| Cash Flows from Investing Activities | (\(50,000) | (\)30,000) |
| Cash Flows from Financing Activities | \(0 | \)0 |
| Net Increase in Cash | \(100,000 | \)90,000 |
A manufacturing company, BuildWell Corp., publishes condensed interim financial statements for its semi-annual review, allowing shareholders to assess its financial health and operational efficiency.
BuildWell Corp.
Condensed Interim Financial Statements
For the Six Months Ended June 30, 2023
| Balance Sheet | June 30, 2023 | December 31, 2022 |
|---|---|---|
| Cash and Cash Equivalents | \(800,000 | \)1,000,000 |
| Property, Plant, and Equipment | \(3,500,000 | \)3,300,000 |
| Total Assets | \(4,500,000 | \)4,300,000 |
| Total Liabilities | \(2,000,000 | \)1,900,000 |
| Shareholders’ Equity | \(2,500,000 | \)2,400,000 |
| Income Statement | H1 2023 | H1 2022 |
|---|---|---|
| Revenue | \(2,500,000 | \)2,000,000 |
| Cost of Goods Sold | \(1,800,000 | \)1,600,000 |
| Gross Profit | \(700,000 | \)400,000 |
| Operating Expenses | \(400,000 | \)350,000 |
| Net Income | \(300,000 | \)50,000 |
| Cash Flow Statement | H1 2023 | H1 2022 |
|---|---|---|
| Cash Flows from Operating Activities | \(400,000 | \)200,000 |
| Cash Flows from Investing Activities | (\(500,000) | (\)300,000) |
| Cash Flows from Financing Activities | \(0 | \)0 |
| Net Increase in Cash | (\(100,000) | (\)100,000) |
These examples illustrate how condensed interim financial statements can provide vital insights into a company’s performance over shorter reporting periods. By focusing on key data points, stakeholders can quickly gauge financial health and make informed decisions.