I’m studying for my Business class and don’t understand how to answer this. Can you help me study?
1.An earnings call is a teleconference, or webcast, in which a public company discusses the financial results of a reporting period
2.There are two parts of material you need to retrieve:
(1)Earnings Call conference: you can either listen to the latest webcast version or read the transcript version which can be found on fool website/seeking alpha website
(2)Earnings Call materials: You can go to the Investor Relationship section of the assigned company main website or google search it by using the key word (Company name) + Investor Relationship. On the directed page, usually under the quarterly result section, you can find the latest earnings call material which can be either PowerPoint or PDF materials including the detail graphs or financial statements of the company
3.You should keep in mind that you should always look for the latest earnings call. (Will be posted After today market close)
4.With these materials, you need to do a two to three pages summary including four parts:
(1)Financial Results Summary: The first part is to brief about some key indicators including the consolidate revenues, each segment revenues, net income, EPS, or other any major financial statements items highlighted in the earnings call. You should also summarize the Y/Y comparison and reason for the increase or decrease.
(2)Strategy Update and Future Plan: The second part is to outline the company big movements including the partnership, M&A, stock buyback, dividend payout and etc.
(3)Earnings Forecast: Most often, every company will point out their next quarter guidance during the earnings call. You should also make a summary about it.
(4)Analyst Q&A: The last part of the earning call summary is the Q&A section. You goal is to find and summarize the key questions and answers which include additional meaningful information about the company.