5118725, 1140 PM ‘Advanced Excel - Waterfall Chart Advanced Excel - Waterfall Chart Waterfall chart is one of the most popular visualization tools used in small and large businesses, especially in Finance. Waterfall charts are ideal for showing how you have arrived at a net value such as net income, by breaking down the cumulative effect of positive and negative contributions What is a Waterfall Chart? A Waterfall chart is a form of data visualization that helps in understanding the cumulative effect of sequentially introduced positive or negative values. A typical Waterfall chart is used to show how an initial value is increased and decreased by a series of intermediate values, leading to a final, value. In a Waterfall chart, the columns are color coded so that you can quickly tell positive from negative numbers. The initial and the final value columns start on the horizontal axis, while the intermediate values are flo ing columns. Waterfall Chart 360000 340000 i 320000 i 3100000 Ld a a 1 | 60000 a | | 40000 20000 Start Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar End ups: ttorialspoint com/advanced_excel_chartsladvanced excel waterfall chart him ve5116723, 1140 PM ‘Advanced Excel - Waterfall Chart Because of this look, Waterfall charts are also called Bridge charts, Flying Bricks charts or Cascade charts. Advantages of Waterfall Charts A Waterfall chart has the following advantages — + Analytical purposes - Used especially for understanding or explaining, the gradual transition in the quantitative value of an entity, which is subjected to increment or decrement. + Quantitative analysis - Used in quantitative analysis ranging from inventory analysis to performance analysis. + Tracking contracts - Starting with the number of contracts at hand at the beginning of the year, taking into account - + The new contracts that are added + The contracts that got cancelled + The contracts that are finished, and + Finally ending with the number of contracts at hand at the end of the year. + Tracking performance of company over a given number of years In general, if you have an initial value, and changes (positive and negative) occur to that value over a period of time, then Waterfall chart can be used to depict the initial value, positive and negative changes in their order of occurrence and the final value. Preparation of Data You need to prepare the data from the given input data, so that it can be portrayed as a Waterfall chart. Consider the following data — ups: ttorialspoint com/advanced_excel_chartsladvanced excel waterfall chart. him 285116723, 1140 PM Advanced Excel - Waterfall Chart 2 Net Cash Flow 80000] Start -5003|Apr -16700|May 48802|Jun 11198) ut ~35260|Aug 18220|Sep -23840/Oct 43250|Nov 1 -18280|Dec 26670}Jan 15000|Feb 15 247S0|Mar Prepare the data for the Waterfall chart as follows — Ensure the column Net Cash Flow is to the left of the Months Column (This is because you will not include Net Cash Flow column while creating the chart). Add two columns ~ Increase and Decrease for positive and negative cash flows respectively. ‘Add a column Start - the first column in the chart with the start value in the Net Cash Flow. Add a column End ~ the last column in the chart with the end value in the Net Cash Flow. Add a column Float - that supports the intermediate columns. Insert formulas to compute the values in these columns as given in the table below. ups: ttorialspoint com/advanced_excel_chartsladvanced excel waterfall chart him se5116725, 1140 PM ‘Advanced Excel - Waterfall Chart 2| [Nercaeh Row Postive | Negative | Stan find 3 52000 3) aioe Stan =a >) [sos Inpr — [SuMGaESrs ine 16700 May —-suwi0s.69).F6 ain(86,0) fsssoa ln -suM06.60)F7 [emnt67.9) 2 [aos UMO7.E7)F8 a 8,0) | Paseo Iaug suis.) £6 —-rstoo.c) — [= win. 0, fiaz20 sep —[-sunsoe.£9).£10 —I-masie100) [= winiei0.0 73880 loce —[esuw(os0,e10, 531 [emaxios3.0)_[= inlets. {43250 [Nov _|=SUM(O11,£11)-F12_|=MAX(612.0) 18280 [Dec |=SUM(012,£12)-F13_|=MAX(813.0) je) |aser0 n__[>sun(o%s,e13)F18 s| {15000 feb -su(ora 3a} e05 js, fears0 Mar —esuwons £15} F16 emax(o160)—[=winiei6.o) 17 Soba eepAT 2 ooo In the Float column, insert a row in the beginning and at the end. Place an arbitrary value This is just to have some space to the left and right sides of the chart. The data will look as given in the following table — > é ° E F s H 2 | Net Cash Flow Float Negative | Start 50000} '80000|Start 80000] -5003|Apr 74997} 0 5003] -16700|May 58297] dl 16700] 48802[tun 58297| 48802] | 11198 {ut 95901) d 11198] -35260/Aug 60641, | 35260] 18220|Sep_ 064i] 18220] | -23840 Oct. 55021 d] 23840] 43250|Nov ss02i| 43250] q| -18280|Dec 79991 | 18280] 26670|tan 79991] 26670] | 15000|Feb 106661| 15000] a 24750|Mar izie6i| 24750) | 146411] 50000] The data is ready to create a Waterfall chart. Creating a Waterfall Chart You can create a Waterfall chart customizing Stacked Column chart as follows ~ ups: ttorialspoint com/advanced_excel_chartsladvanced excel waterfall chart him 50000. 4851623, 1140 PM ‘Advanced Excel - Waterfall Chart Step 1 - Select the cells C2:H18 (i.e. excluding the Net Cash Flow column). Step 2 ~ Insert Stacked Column chart. Chart Title Start Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar mFloat 50000 mPostive mNegative mStart mEnd 100000 80000 60000 40000 20000 | o Step 3 - Right click on the Float series. ‘Step 4 - Click Format Data Series in the dropdown list. Step 5 - Select No fill for FILL in the SERIES OPTIONS in the Format Data Series pane. [ D x t Mi 6 o ay Format Data Series ~ * SERIES OFTIONS + Chart Title Q sot oO lll e000 + ut soos I aia Ry) © Nott am: f | | Sredent it LIT \| Picture or tenure fi f [| Cen I atten fi UU ‘Aiterpate Stet Sor May Jon I Rag Sip Mov Det lan Feb Mae Love if negative Feat 50000 wPostne a Negpove aston wend «+ vonoee ‘Step 6 ~ Right click on the Negative series. Step 7 - Select Fill color as red. ups: ttorialspoint com/advanced_excel_chartsladvanced excel waterfall chart him 585116725, 1140 PM ‘Advanced Excel - Waterfall Chart Chart Title 160000 140000 120000 ae 1 Sm Series "Negativ ~ anon Fill, Outline r | Ears 60000 40000 Reset to Match Style 20000 zi HE Change Series Chart Type... stort Apr MER Select Data. Jan Feb Mer A tart mEnd Step 8 ~ Right click on the Positive series. ‘Step 9 - Select Fill color as green. Float 50} Add Data Labels » End Chart Title 160000 140000 & [- 420000 SS [Series "Positive ~ 100000 = a i 06 - = ne elete 0000 i 5 0000 4G} Resetto Match Style tis ll, Change Series Chart Type. oO i Select Data... Start Ape May Iu 5 Feb Mar Step 10 - Right click on the Start series. Step 11 - Select Fill color as gray. Step 12 - Right click on the End series Step 13 - Select Fill color as gray. ups: ttorialspoint com/advanced_excel_chartsladvanced excel waterfall chart him oe51623, 1140 PM ‘Advanced Excel - Waterfall Chart Chart Title 160000 40000 I 120000 1 00000 t I =yral Taal" soto i il 40000 20000, ° Start Apr May Jun Jul Aug Sep Oct Nov Dec Jen Feb Mar ‘Step 14 - Right click on any of the series. Step 15 - Select Gap Width as 10% under SERIES OPTIONS in the Format Data Series pane. Format Data Series ~* SERIES OPTIONS > Chart Title sme ool “4 SERIES OPTIONS Plo Sees On| I ® ae a Bia ~ “yl iy! ee ‘eres vetap —— [16052 Gapwah [d=] Star Aor May Jue Ju Aug Sep Oct Nov Dec Jan Feb Mor Step 16 - Give a name to the chart. ups: ttorialspoint com/advanced_excel_chartsladvanced excel waterfall chart him 7851623, 1140 PM ‘Advanced Excel - Waterfall Chart Waterfall Chart 140000 120000 00%: jus i i = pes | 20000 Start Ape May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar End Your Waterfall chart is ready. ups: ttorialspoint com/advanced_excel_chartsladvanced excel waterfall chart him ory