In this section of your memo report, provide a brief explanation as to why you think each ratio changed as they did. In other words, explain what it is that you observe and why you think it happened? As far as the profitability ratios go, a brief overview of them would show signs of growth. This indicates that the company has become much more effective and efficient in generating profits. It may also mean for some of these ratios where it is based on lowering costs, the company so far has been successful in that aspect, which is also another way of increasing profits. From the perspective of external users such as investors, these are positive signals as it shows them efficient control of operations and the associated costs and generating higher than normal returns on investments