What is the relationship between financial analysis and financial statements?

Financial statements are a part of financial analysis

There is no analysis until the financial statements of a company are prepared. That's why preparing the financial statements is the first part of the analysis of financial statements. Financial Statement Analysis is a fundamental process of critically evaluating the financial information presented in a company's financial statements. The primary objective is to comprehend and make informed decisions concerning the firm's operations. This analysis involves studying the relationships among various financial facts and figures disclosed in the financial statements. It aims to interpret these figures to gain insights into the firm's profitability, operational efficiency, financial health, and future prospects.