Analysis of financial statements is the process of applying various analytical tools and techniques by which the data from financial statements are transformed into information important for the quality management of the company. The basic financial statements are the balance sheet, the income statement, the statement of cash flows, the statement of changes in equity and the notes to the financial statements. The paper aims to define the concept of financial statements under the prescribed legislation and to make a comparative analysis of the observed companies. The paper will use the procedures of horizontal, vertical and indicator analysis. Through a horizontal analysis of the financial statements of an enterprise, changes in the value of financial statement positions are monitored over several accounting periods. Vertical analysis of the balance sheet shows individual positions as a percentage of the total value of assets, ie liabilities. As for the vertical analysis of the income statement, the value of total income becomes the basis of comparison. In this paper, on the example of the company Kraš d.d. and Zvečevo d.d. present horizontal and vertical analysis of the balance sheet and profit and loss account. Shares of fixed and current assets in total assets will also be shown. Share of capital, short-term and long-term liabilities in total liabilities, and share of operating and financial revenues in total revenues.