Register now or log in to join your professional community.
Hello,
The trend analysis (usually called "horizontal analysis") represents the comparison of the same item (financial indicator) over a certain period.
For example the evolution of "Turnover" at31.Dec.2013 vs31.Dec.2012.
The vertical analysis on the other hand shows each amount from the financial statements as a percentage of another item.
For example: you want to see how much percentage is "Net Profit" from "Turnover" and this is called "Profit margin"
I hope my explanation was fine for you. If necessary I can go deep in details.
Thank you,
Valentin