Analysis of financial statements in iron and steel sector and an application

Financial analysis is an important step in providing information about internal and external business, which is among the functions of the accountant. It sets out the development of the financial situation of the enterprises. With financial analysis, the relationships between the entity's financial statement items are examined, interpreted, and compared with the in-house or sectoral business.Interests such as business owners and partners, managers, investors, credit institutions, competitors, the state, buyers and sellers benefit from the data that comes in to account for their decisions. These data must be subjected to financial analysis in order to be transformed into useful information that can be used in economic decisions.In our work, Eregli Demir Çelik A.Ş., which is located in the locomotive steel sector of the main metal industry, has been subjected to a financial analysis and analyzed both in-house and in the main metal sector with its analysis results.