The bottom line on the income statement is not the only important figure on the financial statements, and may not even be the most important. There is another whole dimension of valuable information that can be obtained from the data reported in the financial statements. Ratio analysis is one of many tools that can be used to evaluate a company’s performance, its current status, and its evolution over time. And if you are the owner of the business, this type of analysis can help you make the right decisions to improve your operations and make your business stronger and more successful.