Annual report (redirected from Shareholder Reports)
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Related to Shareholder Reports: Annual Report to Shareholders
A report that a publicly-traded company
is required to distribute to shareholders
each year. The report contains information on the company's financial
state, such as operational income
and net profit
. Sometimes, it also contains an accountant's
opinion on the general health of the company. Generally, the front part of the annual report states the "bottom line," while the last part contains more detailed financial information. For example, the front part of the report may contain a brief essay stating, "Our company is healthy for reasons A, B, and C." At the conclusion of that essay, the stockholder may view its financial statements. See also: Stockholder's report
A firm's annual statement of operating and financial results. The annual report contains an income statement, a balance sheet, a statement of changes in financial position, an auditor's report, and a summary of operations. Because many annual reports are prepared with public relations as a primary focus, serious investors should obtain a copy of a firm's 10-K in order to obtain detailed financial data.
By law, each publicly held corporation must provide its shareholders with an annual report showing its income and balance sheet.
In most cases, it contains not only financial details but also a message from the chairman, a description of the company's operations, and an overview of its achievements.
Most annual reports are glossy affairs that also serve as marketing pieces. Copies are generally available from the company's investor relations office, and annual reports may even appear on the company's website. The company's 10-K report is a more comprehensive look at its finances.