From Classification to Forecasting: What Happens Next

In previous weeks, we introduced how SocraticsAI ingests and classifies financial statements automatically. Once your statements are structured, Socratics unlocks a new layer of forecasting tools built for speed, transparency, and precision. Last week we introduced the basics of forecasting functionality. This week we dig deeper. 

Forecast Driver Functions Built for Analysts

Forecast Options per Line Item

• CAGR – Calculates compound growth from historical data

• % of Linked Line Item – Link items like COGS or SG&A to revenue

• Percentage or Dollar Growth – Straight-line or step-increase

• Custom Inputs – Tailor drivers to line items or specific periods

Intelligent Default Drivers

Socratics recommends logic based on line classification as a default to save time, but you can override with one click.

Flexible Period Selection

• Exclude outlier periods like COVID

• Use rolling averages or last-period values

• Flexibly apply drivers across any time range

Introducing Integrated AI Chat: Ask the Model Anything

With clean financials in place, Socratics lets you chat with your model—and go beyond the numbers. ​Integrating context directly into an AI chat interface enhances the relevance and accuracy of responses.

Ask questions like:

“What’s the 3-year historical CAGR for revenue?”
“What’s the current ratio?”
“How has gross margin changed since 2020?”

Additionally, the platform automatically structures a complete cash flow statement based on income statement and balance sheet inputs, providing a streamlined and accurate representation of a company's liquidity position.

Or go deeper: accounting & finance Q&A, all in one place

No need to toggle to ChatGPT or dig through guidance—Socratics is your context-aware assistant for both technical modeling and interpretation:

🧾 Accounting interpretations:

• “​Under MACRS, what depreciation method is commonly used for company automobiles on this balance sheet?”

• “​Under ASC 606, how should SaaS companies recognize subscription revenue for his client?”

📊 Financial modeling insights:

• “How do I value intangible assets like a trademark in assets?”

• “How can I resolve circular references—such as those arising from interdependencies between interest expense, net income, cash flow, and debt balances in this situation?”

Designed by Analysts, for Analysts

Everything we build is designed to eliminate friction in the modeling workflow—no more tab-hopping, manual formulas, or disconnected guidance.

📩 Want to see it live? Reach out for a walkthrough of our AI forecasting and chat tools. Contact us for a live demo today!

About SocraticsAI

SocraticsAI is a US-based technology company focused on leveraging AI to accelerate execution workflows for investment banking and private equity deal teams. Its employees bring decades of combined experience in financial services, fintech, public accounting, and AI technology. To learn more, follow us on LinkedIn or visit socratics.ai.