Arabic Translation and Japanese Language Translation Workers Offer Advanced Financial Language Translation Lessons
Over the course of a year, corporations produce a number of important reports that include quarterly reports and the annual report . Generally, an annual report begins with a verbal section that may consist of a message from a key leader which is then followed by a summary of the company’s operating results over the past 12-months and any trends that may hinder or contribute to the company’s future success. It is this area that is of greatest concern to Financial Language Translation workers. Following a text portion of the report comes the four basic financial statements that consist of income statement, balance sheet, the statement of retained earnings, and the statement of cash flows. The compilation of these financial summaries provide investors with data that can be evaluated about the company’s finances and operations. In addition, historical data is often shared (by quarter and by year) for recent years with call-outs of key business statistics for the previous ten years.
While translation workers often place the greatest importance on the written section, investors and other stakeholders place equal value on both the written and analytical sections. When interviewed, leading Arabic Translation workers in the banking industry indicated that financial statements report what has actually happened to earnings and dividends over the past few years, whereas the verbal statements attempt to explain why things turned out the way they did. To illustrate, one multinational company experienced a large earnings variance in 2009 from levels experienced during 2008. The CEO contributed the fall in revenue to employee strikes to Indonesia, a fire that took place in a US production facility and legal product liability related settlement. For stockholders, the written section ends on good news because the president is expecting one competitor to leave the market in 2010 and that its more efficient production facilities will come online in the first quarter of 2010.
Of course, an increase in profitability may not occur, and analysts should compare management’s past statements with subsequent results. In any event, the information contained in an annual report is used by investors to form expectations about future earnings and dividends, and about the riskiness of these expected values. Therefore, the annual report is obviously of great interest to investors. The Securities and Exchange Commission requires publicly traded companies to file annual reports so that Investors and financial professionals can have information about the companies they are evaluating for investment purposes. According to Japanese Translation workers, the filings are available online through the SEC’s EDGAR database. Closely examining an annual report can provide clues into where the company is going, how well it is doing on the market, and how the company intends to grow its market position. It can take time to learn how to read an annual report properly, and many consumers prefer to leave analysis of annual reports to their stockbrokers or asset managers.
Another piece of information that financial translators in training should understand is that global corporations and corporations that have operations throughout the world. To illustrate this, the run of the mill multinational corporation owns operations in a variety of countries throughout the world that must remain in close communication with the corporate office that usually speaks a different language. Some people also refer to multinational corporations as multinational enterprises. This information is important because multinational corporations usually have business operations and stakeholders in non-English speaking countries. As a result, one requirement is often the translation of financial documents like the annual report.Unfortunately for international businesses, not every translator has the training to be a financial translator. Although annual reports must be carefully worded in financial and legal language, they must also resemble a stylish piece of sales or marketing collateral. When you look at an annual report, most are visually appealing with effective graphics, attractive pictures and heavy paper that has a gloss coating. Therefore, it is not uncommon for translation agencies to seek out financial translation workers who are experienced in layout and publishing and have advanced skills in Microsoft Publisher or Quarkxpress and more preferably Adobe Indesign.
Related Articles
