Main indicators of the financial condition of the enterprise and their relationship.

Enterprise balance sheet

The main document characterizing the financial position of an enterprise is the balance sheet. Balance is a system grouped into pivot table indicators characterizing the property and financial position of the enterprise at the reporting date and reflects data on its economic assets (assets) and sources of their financing (liabilities).

A number of important characteristics can be obtained directly from the balance sheet financial condition organizations. These include:

1) the total value of the organization’s property;

2) the cost of immobilized (i.e. non-current) funds (assets) or real estate;

3) the cost of mobile (working) funds;

4) cost of material working capital; 5) the amount of the organization’s own funds;

6) amount of borrowed funds;

7) the amount of own funds in circulation;

8) net working capital, equal to the difference between current assets and current liabilities, etc.

Analysis of the dynamics of the balance sheet currency, the structure of assets and liabilities of the organization allows us to draw a number of conclusions necessary both for the implementation of current financial and economic activities, and for adoption management decisions for the future.

IN general outline Signs of a “good” balance are:

♦ the balance sheet currency at the end of the reporting period increased compared to the beginning;

♦ growth rate current assets higher than the growth rate of non-current assets;

♦ the organization’s own capital exceeds borrowed capital and its growth rate is higher than the growth rate of borrowed capital;

♦ the growth rates of accounts receivable and accounts payable are approximately the same.

To assess the financial condition of an enterprise, the following indicators or ratios are used:

Return on equity;

Financial leverage;

Liquidity indicators (current, quick and absolute liquidity);

Sales profitability;

Asset turnover

The most important indicator financial efficiency economic activity the enterprise is return on equity(ROA). It is defined as the ratio of net profit to equity.

ROA=Net Profit/Equity. Capital

This ratio is compared to risk-free rates of return or to the returns on alternative investments available to the shareholder.

The next indicator of financial performance efficiency is financial leverage.

Fin. Leverage = Assets/Equity

The lower the value of this ratio, the less financial risks the company is exposed to. It characterizes the long-term solvency of the enterprise.

Short-term solvency is characterized by liquidity indicators - current, quick and absolute liquidity ratios.

Liquidity indicators characterize the ability of an enterprise to fulfill short-term (current) obligations at the expense of current assets. In general, an enterprise is considered liquid if its current (current) assets exceed short-term (current) liabilities. However, the excess of current assets by short-term liabilities in itself provides only a general picture of liquidity, while an enterprise may be liquid to a greater or lesser extent. In addition, it is always important to know by what means the liquidity of the enterprise is ensured. Therefore, to measure liquidity, a system of liquidity indicators (ratios) is used.

Depending on the rate of conversion of assets into cash, current assets can be divided into three groups. The first group includes cash on hand and in the current account, as well as cash equivalents (highly liquid market securities), i.e. the most mobile means that can immediately be used to perform current calculations. The second group includes assets whose conversion into cash requires certain time. This includes primarily accounts receivable, as well as certain types of short-term financial investments. The third group consists of the least liquid assets - production and material inventories and costs.

Based on the above classification of current assets, the following liquidity ratios are calculated. Coefficient current liquidity- a financial indicator characterizing the degree of total coverage of urgent obligations (short-term loans and borrowings, as well as accounts payable) by all working capital of the enterprise. This ratio reflects the overall provision of the enterprise with working capital for conducting business activities and timely repayment of urgent obligations.

Current ratio is defined as the ratio of the actual value of the working capital available to the enterprise to its most urgent liabilities in the form of short-term bank loans, short-term loans, accounts payable, dividend payments, contributions to consumption funds and other short-term liabilities. The formula for calculating this coefficient is:

K TL = OA/KP

where OA is the current assets of the enterprise; KP - short-term liabilities.

This indicator belongs to the class of standardized indicators, and in world practice a value in the range from 2 to 3 is considered normal.

Urgent (quick) liquidity ratio- an intermediate financial indicator, when determining which the least mobile part of working capital - inventories - is excluded from the calculation. This is due to the fact that the funds that can be gained in the event of a forced sale inventories, may be significantly lower than the amounts for which they were purchased and are listed on the balance sheet of the enterprise.

The possibility of such a situation occurring is precisely foreseen when the quick liquidity ratio is calculated. This coefficient is determined by the formula:

K bl = OA-Z/KP

where OA is the current assets of the enterprise; 3 - production reserves; KP - short-term liabilities.

This indicator belongs to the class of standardized indicators and is considered sufficient if the quick liquidity ratio is not less than one.

Absolute liquidity ratio- the most stringent criterion of an enterprise’s liquidity, showing what part of short-term liabilities can be repaid immediately based on the fact that cash is absolutely liquid by definition. The formula for calculating the coefficient is:

K AL = D/KP

where D - cash and equivalent funds; KP - short-term liabilities.

This indicator belongs to the class of standardized indicators, and experts believe that the theoretically normal value of the coefficient is 0.2-0.3.

Another indicator characterizing the efficiency of the financial and economic activities of an enterprise is return on sales(ROS)

ROS= Net profit / revenue

Asset turnover= Revenue/Assets.

This indicator characterizes the intensity of use of all enterprise resources. The significance of this indicator for an enterprise is determined by the fact that the higher this indicator, the faster the company earns income on capital invested in assets, the less investment is required to maintain a particular sales volume.

Control questions:

1. What is analysis?
2. What is AHD?
3. What tasks does the enterprise's AHD perform?
4. Types of business activity analysis
5. Analysis methods
6. What is a company's balance sheet?
7. What data for analysis can be obtained directly from the balance sheet?
8. What characterizes “good balance”?
9. What indicators are used to assess the financial condition of an enterprise?
10. What indicator characterizes long-term solvency?
11. What indicators characterize short-term solvency?
12. How are the indicators calculated:

– current liquidity

Quick liquidity

Absolute liquidity

13. How is return on sales calculated?

14. How is asset turnover calculated?

15. What determines the value of this indicator for an enterprise?

16. List solvency indicators

We carry out horizontal and vertical analysis balance

We evaluate changes in the state of property and capital based on financial ratios

We make a short-term forecast of the state of solvency

We offer measures to improve financial condition

To make management decisions in a timely manner, you need complete, reliable, transparent information. Experts carry out an express assessment of the company’s financial condition based on the balance sheet.

Collecting information for express analysis

Let's look at how to analyze the financial condition of an enterprise and develop measures to improve it using the example of a regional company that produces confectionery. The company's balance sheet is presented in table. 1, the results of calculations of financial ratios and liquidity ratios are in table. 2, 3.

Let's calculate the coefficient of loss (restoration) of solvency:

• by the end of the year, the ratio of provision with own working capital is less than the normal value (≥ 0.1);
• The current liquidity ratio is less than the normal value (2.0), but there is a tendency for the indicator to grow.

Let’s evaluate the possibility of restoring solvency in the next 6 months:

solvency recovery ratio = (1.14 + 6 / 12 × (1.14 - 1.1169)) / 2 = 0.58 (< 1,0).

Thus, the management of the enterprise should formulate rational management decisions in order to restore the solvency of the enterprise in the next 6 months.

Analyzing the results

Based on the results of the analysis, the following conclusions can be drawn:

1. Balance currency decreased by the end of the year by 12,414 thousand rubles. (-16.71%). This indicates that the assets and capital of the organization, i.e., its main activities, have decreased. Reasons for the decline:

• reduction of equity capital (and above all, losses; see the balance sheet line “Capital and reserves”);
• financing capital investments through short-term liabilities. The growth of non-current assets in the balance sheet under the section “Non-current assets” exceeds the total growth of equity capital and long-term liabilities under the section “Capital and reserves” and “Long-term liabilities”.

2. Magnitude non-current assets increased due to fixed assets (+362 thousand rubles, or +27.61%) and intangible assets. According to the results of the vertical analysis, it can be seen that the ratio of non-current assets to the balance sheet at the end of the year (5.77%) increased by 2.64% compared to the beginning of the year (3.13%). This is a positive result, indicating an increase in the production potential of the organization.

3. Magnitude current assets decreased for all items (except for VAT and short-term financial investments) and by 13,659 thousand rubles. (-18.98%).

Inventories decreased by 62.07%, which indicates a drop in production volumes, a reduction in raw materials and finished products.

4. Accounts receivable decreased by 10.82% (5,360 thousand rubles), however, the share of this balance sheet item during the reporting period increased by 4.72%.

For your information

The difference in the results of calculations of accounts receivable when conducting horizontal and vertical analysis arose due to the fact that accounts receivable did not decrease as significantly as the balance sheet total. Therefore, the increase in the share of receivables in the structure of property is a negative fact, which indicates a decrease in the mobility of property and a decrease in the efficiency of turnover.

5. According to the results of horizontal analysis, the accounts payable- by 20.43% (RUB 13,086 thousand). This indicates a reduction in urgent debts. The vertical analysis showed a decrease in the share of accounts payable by 3.85%.

On the one hand, this contributes to the growth of the organization’s liquidity, but on the other hand, the reduction in the amount of accounts payable is twice as large as the reduction in the amount of receivables, and this leads to a reduction in its own working capital and a decrease in financial stability organizations.

6. Magnitude equity decreased by 2193 thousand rubles. (-32.68%) due to a reduction in the volume of retained earnings, i.e. the financial results of the organization’s activities worsened, and the margin of financial stability decreased.

7. Reduction long-term liabilities talks about paying off debts to banks. But the absence of short-term loans and borrowings in the capital structure while simultaneously reducing accounts payable may indicate the low creditworthiness of the organization.

8. Dynamics financial ratios speaks of a decrease in the mobility of turnover and property in general; a decrease in production capabilities as a result of a reduction in inventories. A positive aspect is the increase in the provision of reserves with own funds.

9. Financial independence coefficients (autonomy, involvement, “leverage”) show the share of equity (borrowed) capital in total sources of funds.

For your information

The capital structure depends on the area of ​​activity of the organization. For industrial enterprises The recommended share of equity capital in the total amount of sources of funds is at least 50%. Height specific gravity equity capital is assessed positively, as it reduces the level of financial risk and strengthens the financial stability of the organization.

In the organization under consideration, the value of the autonomy coefficient is low and continues to decline: at the beginning of the year, equity capital was only 9% of the total capital, at the end of the year - 7.3%.

10. Meaning equity capital agility ratio at the beginning of the year - 1.1788 (> 1) - indicates that turnover is ensured by long-term borrowed funds, which increases the risk of insolvency.

11. Absolute liquidity ratio shows what part of the current debt can be repaid in the time closest to the time of drawing up the balance sheet, which is one of the conditions for solvency. Normal value — 0,2-0,5.

The actual coefficient value (0.02) does not fall within the specified range. This means that if the remainder Money will be maintained at the level of the reporting date (due to the uniform receipt of payments from partners), the existing short-term debt cannot be repaid in 2-5 days.

12. Quick liquidity ratio reflects the organization’s predicted payment capabilities, subject to timely settlements with debtors. The value of this coefficient should be » 0.8.

In our problem, the quick liquidity ratio = 0.83. We can conclude that the organization is able to repay its debt obligations (non-urgent) subject to timely repayment of receivables 13. Current liquidity ratio (coverage) shows the extent to which current assets cover short-term liabilities. It characterizes the payment capabilities of the organization, subject to not only timely settlements with debtors and favorable sales of finished products, but also in the event of the sale, if necessary, of material working capital.

The level of the coverage ratio depends on the industry of production, the length of the production cycle, the structure of inventories and costs. Norm - 2.0< Ктл< 3,0, т. е. на каждый рубль краткосрочных обязательств приходится от двух до трех рублей ликвидных средств.

Failure to comply with this standard (in the balance sheet in question, Ktl = 1.14) indicates financial instability, varying degrees of liquidity of assets and the inability to quickly sell them in the event of simultaneous requests from several creditors.

Why has the financial condition of the enterprise deteriorated and is it possible to improve the situation?

The situation in the organization has worsened, most likely due to ineffective management decisions. This problem is caused by:

• lack of strategy in the enterprise’s activities and focus on short-term results to the detriment of medium and long-term ones;
• low qualifications and inexperience of managers;
• low level responsibility of enterprise managers to the owners for the consequences of decisions made, for the safety and efficient use property of the enterprise, as well as for the financial and economic results of its activities.

• increase the transparency of enterprise management;
• optimize the activities of the enterprise in accordance with the results achieved and the benefits received from certain implemented projects;
• clearly set tasks for staff and evaluate the results of their work in accordance with the goals and results of the projects;
• increase the degree of cost control in the enterprise (the special nature of budgeting, planning, control and accounting);
• gain experience and create your own knowledge base at the enterprise;
• link the results of crisis management with the motivation of the managers and specialists involved in this process.

Crisis management will also create favorable conditions for the functioning of the company, will contribute to its recovery from an unstable financial and economic situation. At the same time, it is necessary to monitor the appropriateness of the measures taken and evaluate their effectiveness.

Mechanism for increasing the anti-crisis stability of an enterprise:

The main role in the company's anti-crisis management system is given to internal mechanisms of financial stabilization.

As for our example, in order to overcome crisis phenomena, a company needs to try to find internal reserves to increase profitability and economic efficiency activities, namely:

• review the pricing policy;
• increase production volumes;
• improve product quality;
• sell products in more optimal timing;
• accelerate the turnover of capital and current assets;
• increase profitability and ensure break-even operation of the enterprise;
• sell products on more profitable markets.

To reduce accounts receivable, you can take out a loan. But according to the results of the analysis, the company is 82.38% dependent on creditors. Therefore it is important:

• carefully monitor the structure and dynamics of accounts payable;
• conduct continuous monitoring of accounts payable;
• promptly identify and eliminate negative trends;
• constantly monitor the status of settlements with customers and suppliers for overdue debts.

To assess the current and future financial condition of the enterprise, financial managers perform the financial analysis. This is a method of assessing and forecasting the financial condition of an enterprise based on data accounting and reporting. Its task is to assess the financial condition of the enterprise, identify opportunities to improve the efficiency of its functioning through rational financial policy, assess the direction of development of the enterprise based on the needs for financial resources.
To analyze financial (accounting) statements use the following techniques:

• reading reports - studying absolute reporting indicators;
• horizontal analysis - study of changes in reporting items compared to the previous period;
• vertical analysis - determination of specific gravity various articles reporting in general;
• trend analysis - determination of relative deviations of reporting indicators for several years from the level of the base year, for which all indicators are taken as 100%;
• calculation of financial ratios - determination of proportions between various reporting items.

The analytical value of financial ratios is confirmed by the fact that there are special publications abroad that publish statistical reports on these ratios. They are being counted special organizations(for example, the US Department of Commerce, Internal Revenue Service, business unions, chambers of commerce, etc.). The unified system of indicators is not followed; 10-15 (sometimes more) indicators are published.
The main indicators characterizing the financial condition of the enterprise are combined into groups:

1. - liquidity ratios (current solvency);
2. - solvency ratios (capital structure);
3. - indicators business activity(turnover);
4. - profitability indicators.

These indicators can be calculated according to the data of the enterprise’s balance sheet (form No. 1) and the report on financial results(Form No. 2).
Liquidity ratios reflect the ability of an enterprise to pay its short-term debt on time by mobilizing liquid assets. These ratios are calculated depending on the urgency of debt repayment:

Coefficient
absolute
(immediate)
liquidity
+
Current financial investments
Current responsibility

f. No. 1, page 230 + page 240 + page 220
f. No. 1, page 620

+
+
Current liabilities f. No. 1, page 260 - page 100 - page 120 - page 130 - page 140
Coefficient
fast
liquidity
Cash and cash equivalents
Current
financial
investments
Accounts receivable
debt

f. No. 1, page 620

Coefficient
coatings
(coefficient
current
liquidity)
Current assets Current liabilities
f. No. 1, p. 260 f. No. 1, page 620

Solvency ratios characterize the ability to fulfill obligations to creditors and investors who have
those long-term investments to the enterprise. The most commonly used solvency ratios are:
Sources of own funds Ratio of financial assets (equity capital); independence (autonomy) Balance sheet
f. No. 1, page 380 + page 430 + page 630
f. No. 1, page 640

Financial stability ratio
+
Long-term
Balance sheet
obligations

f. No. 1, page 380 + page 430 + page 480 + page 630 f. No. 1, page 640

Financial leverage ratio
Long-term liabilities Sources of own funds
f. No. 1, p. 480 f. No. 1, page 380 + page 430 + page 630

Current assets
Availability ratio of own sources of funds
Sources of own funds
Cost of fixed assets and other non-current assets

f. No. 1, page 380 + page 430 - page 080 f. No. 1, page 260
Indicators of business activity (turnover) characterize the efficiency of the enterprise in the use of assets. Turnover ratios, showing the number of turnovers made by current assets and their individual elements during the reporting period, as well as indicators of the duration of turnover in days (how many days it takes to make one turnover), are calculated as follows:
Net sales revenue Turnover ratio _ products (goods, works, services)[*] current assets Average amount of current assets
f. No. 2, p. 035 f. No. 1, page 260
Cost Coefficient _ products sold;
inventory turnover average cost reserves
f. No. 2, p. 040 f. No. 1, page 100 + page 120 + page 130 + page 140
Net revenue from product sales
Turnover ratio _ (t^a^^ work services);
accounts receivable Average amount of accounts receivable ’
f. No. 2, p. 035 f. No. 1, page 161 or page 160 + page 162
Net revenue from product sales Turnover ratio (work, services)
accounts payable Average amount of accounts payable
for products (goods, works, services)
f. No. 2, p. 035 f. No. 1, page 530

Duration of one turnover of current assets
Quantity calendar days reporting period (365 or 360 days)
Current assets turnover ratio

Number of calendar days Length of reporting period (365 or 360 days)
one inventory turnover Inventory turnover ratio

Duration of one receivables turnover (average receivables repayment period)
Duration of one turnover of accounts payable (average period of repayment of accounts payable)
Number of calendar days of the reporting period (365 or 360 days) Accounts receivable turnover ratio
Number of calendar days of the reporting period (365 or 360 days) Accounts payable turnover ratio

Profitability indicators characterize the profitability (profitability) of the enterprise. Calculate various options profitability indicators:
100 %;
Profit (before tax Profitability or net profit)
enterprise assets Average asset value
enterprises
f. No. 2, page 170 or page 220
100 %;
f. No. 1, page 280
Profitability Net profit, ;
_ - "100%; equity capital Own capital
f. No. 2, page 220
100 %
f. No. 1, page 380
Profit (from operating activities
Profitability
or net profit) sales - - . 100 %;
(sales) Net revenue from product sales
(goods, works, services)
f. No. 2, page 100 or page 220
- . 100 %;
f. No. 2, page 035
Profitability Profit from operating activities
- . 100 %;
products Cost of sales
products
f. No. 2, page 100
. 100 % ;
f. No. 2, page 040
Profitability Net you will receive
_ . 100 %;
net assets Average net asset value
(the difference between all assets and external liabilities of the enterprise)
f. No. 2, page 220
100 %.
f. No. 1, page 280 - page 480 - page 620
Coefficients calculated from data financial statements, are compared with accepted standard values, industry average standards and competitors’ indicators.
Relationship financial indicators used in the analysis and development of proposals to improve the financial condition of the enterprise. The most famous relationship is called the DuPont formula, since it was first used for financial management in the DuPont concern. This formula expresses the relationship between return on assets, profitability of product sales and asset turnover of the enterprise and can be presented as follows:
Profitability Profitability Turnover
assets _ sales (sales) X assets
or
Revenues from sales
Net profit Net profit of products.
Cost Sales revenue Cost
assets products assets
Having analyzed the above relationship, you can find the reason for the insufficient return on assets and outline measures to increase the profitability of sales or asset turnover.
There is a variation of the DuPont formula, which includes an element characterizing the capital structure (solvency)
Asset value 1
enterprises, i.e. - _, and
Own capital Autonomy ratio
showing the dependence of return on equity on profitability of sales, asset turnover and the share of equity in assets. The formula has next view:
Revenue Cost
Net profit Net profit from the sale of assets
Own Revenue Cost Own
capital from the sale of assets capital
This dependence abroad is figuratively called the “business thermometer,” which confirms its importance for assessing the financial condition of the company.
By selecting the values ​​of turnover indicators and profitability of sales, you can determine which combination of these values ​​will provide the greatest increase in return on equity. This approach is used when forecasting areas for increasing profitability.
It is advisable to calculate the rate of change in profit, sales revenue and assets and compare the dynamics of these indicators. If the ratio is observed
T gt; T gt; T gt; 100 %,
pr act ’
where Tr, Tvyr, Tt are the rates of change according to profit, you-
pr act
handles and assets, this means that the enterprise increases its economic potential, uses resources efficiently, and reduces the costs of production and sales of products.
Important role Analysis and forecasting of cash flow play a role in assessing and forecasting the financial condition of an enterprise. To analyze cash flow, a reporting form such as the Cash Flow Statement is used.
The main elements of incoming cash flow are net income and depreciation. The analysis process compares the inflow and outflow of funds for a certain period (Table 3.1).
Table 3.1
Comparison of cash inflows and outflows
A stable excess of the inflow of funds over the outflow (positive cash flow) indicates the reliable financial condition of the enterprise. Sharp fluctuations in this excess or an excess of the outflow of funds over the inflow mean instability financial situation enterprises.
An analysis of the company's cash flow is carried out commercial banks to assess the client’s creditworthiness and determine the maximum amount for issuing new loans. So maximum size They consider the excess of the inflow of funds over the outflow of funds that has developed in past periods or predicted for the planning period.

Indicators of the financial condition of an enterprise help to timely monitor signs and risks of a decline in solvency. Let's select 21 main indicator for control and set standards for them.

Key indicators for monitoring the financial condition of an enterprise

There are hundreds of indicators of the financial condition of an enterprise, which are used to judge the business situation, operational efficiency and future prospects. But it is impossible to control all of them online. To determine what is important to you, highlight the objects of control and clarify the key tasks.

We have chosen 21 main indicators for ourselves (see table) and monitor them regularly - I will share the logic of our reasoning.

Table 1. Benchmark indicators of the financial condition of the enterprise (fragment)

Index	Frequency of control	Daily	Weekly	Monthly	Quarterly
Revenue, rub.
Net profit, rub.
Absolute liquidity ratio
Current ratio
Accounts receivable, rub.
Accounts payable, rub.

First, figure out which objects you need to control quickly - one, two, several or all:

• company income and expenses;
• financial condition;
• negotiable and fixed assets;
• accounts payable and receivable;
• other indicators of financial condition.

Indicators for assessing the financial condition of enterprises

To assess the financial condition of enterprises, data sources are the enterprise's balance sheet and profit and loss report.

To analyze the financial condition of an enterprise, four groups of coefficients are used:

solvency and liquidity indicators;

financial stability indicators;

profitability indicators;

business activity indicators;

indicators of market activity.

1. Solvency and liquidity indicators.

The liquidity of an enterprise means the ability of its assets to be converted into money. Solvency means the ability of an enterprise to repay its obligations in a timely manner and in full.

To determine the liquidity of an enterprise, the following indicators are calculated:

Absolute liquidity ratio

a.l. =

The minimum standard value of this indicator is set at 0.2-0.25. The absolute liquidity ratio shows what part of the accounts payable the company can repay at the time of reporting.

Quick ratio (intermediate liquidity ratio)

b.l.=

Current ratio

K t.l. =

The recommended value of this coefficient is from 1 to 2. The lower limit indicates the insolvency of the enterprise. If the current liquidity ratio is more than 2-3, as a rule, this indicates an irrational use of the enterprise's funds. The current ratio shows whether the company has enough funds that can be used to pay off its short-term obligations during the year.

Coefficient of supply of inventories and costs from own sources

K supply of reserves and costs =

This ratio shows the share of own working capital that goes to finance inventories and costs.

Own working capital shows what part of the enterprise's current assets is financed from the enterprise's own funds, and can be calculated as the difference between the current assets and current liabilities of the enterprise. The excess of current assets over current liabilities means that there is financial resources to expand the activities of the enterprise. However, a significant excess indicates inefficient use of resources.

2. Indicators of financial stability.

The financial stability of an enterprise is the state of its financial resources, their distribution and use, which ensures the development of the enterprise based on the growth of profits and capital while maintaining solvency and creditworthiness under conditions of an acceptable level of risk.

There are four types of financial stability:

1. absolute stability(extremely rare);

S = 1; 1; 1 , i.e.  SOS  0

2. regulatory stability, guarantees the solvency of the enterprise;

S = 0; 1; 1 , i.e.  SOS  0

3. unstable financial condition, in which the solvent balance is disrupted, but the possibility of restoring balance remains due to replenishment of sources of own funds and acceleration of inventory turnover;

S = 0; 0; 1 , i.e.  SOS  0

4. financial crisis(the company is on the verge of bankruptcy);

S = 0; 0; 0 , i.e.  SOS  0

To characterize the sources of reserve formation, three main indicators are used:

1.Availability of own working capital (SOS):

SOS =  liability section of the balance sheet -  asset section of the balance sheet *

This indicator characterizes net working capital. Its increase compared to the previous period indicates the further development of the enterprise's activities.

2. Availability of own and long-term borrowed sources of formation of reserves and costs (SD):

SD= SOS + r.p.b.

3.The total value of the main sources of formation of reserves and costs (IO):

OI= SD + page 610  r.p.b.

There are three indicators of the provision of reserves with sources of their formation:

1. Excess (+) or deficiency (-) SOS ( SOS):

 SOS = SOS – Z,

where 3 – reserves (p. 210  r.a.b.).

2. Excess (+) or deficiency (-) of SD ( SD):

 SD = SD – W

3. Excess (+) or lack (-) of OI ( OI):

 OI = OI – Z

The above-mentioned indicators of the provision of reserves with sources of their formation are integrated into the three-component indicator S:

S =  SOS;  SD;  OI  ,

which characterizes the type of financial stability.

The financial stability of an enterprise is based on an analysis of the enterprise's capital structure and characterizes the degree of independence of the enterprise from external sources of financing.

The main purpose of analyzing the financial stability of an enterprise is to assess the financial risk of the enterprise and determine the adequacy of equity capital and the degree of dependence on attracted resources.

To analyze the financial stability of an enterprise, the following indicators are used:

Autonomy coefficient (independence ratio, equity concentration ratio)

Autonomy coefficient =

The autonomy coefficient shows the share of own funds in the structure of the enterprise's sources.

It is practically impossible to establish a standard value for this coefficient. The normal value for a particular enterprise should be established based on the characteristics of the enterprise, its needs for financial resources and development goals.

The higher the value of this coefficient, the higher the stability of the enterprise. However, when this value is close to one, this indicates an insufficiently effective financial management in an enterprise that does not know how to use borrowed funds. On the other hand, an extremely low value indicates high financial risk and high dependence on creditors.

Dependency coefficient (debt capital concentration ratio)

Dependency factor =

This coefficient characterizes the share of borrowed funds in the structure of the enterprise’s sources of activity.

Financial stability ratio (long-term financial stability coefficient)

Financial coefficient sustainability =

This indicator characterizes the share of sustainable sources of financing in all sources of the enterprise, that is, the share of those liabilities that can be used to finance investments.

Funding ratio

Funding ratio =

The financing ratio shows the structure of the company's liabilities.

Own funds maneuverability coefficient

Own funds maneuverability coefficient =

The equity agility ratio shows the portion of equity that is invested in mobile assets.

3. Profitability indicators.

Profitability is the efficiency of using a particular type of asset or type of investment. The main goal of profitability analysis is to determine the level of profitability of an enterprise based on various indicators of invested funds and types of property of the enterprise and to assess the sufficiency of the level of profitability obtained.

To calculate profitability indicators, data from the enterprise's balance sheet and profit and loss report are used.

To analyze profitability, the following main indicators are calculated:

Return on assets indicator , which speaks about the efficiency of using all assets of the enterprise and shows how much net profit falls on 1 ruble of all assets of the enterprise.

Return on assets (property) =

Return on equity indicator

Return on equity =

This indicator characterizes the profitability of using the enterprise’s own funds and shows how much net profit is received per 1 ruble of invested own funds.

Core activity profitability indicator

Profitability of core activities =

This ratio shows cost efficiency, that is, how much profit from sales in the main activity was received per 1 ruble of costs incurred.

Return on turnover indicator (return on sales)

Profitability of turnover =

This indicator characterizes the sales efficiency of the enterprise, or how much profit was received from the sale of products per 1 ruble of revenue received from buyers and customers for the products sold.

Product profitability indicator

Product profitability =

This indicator shows how much profit was received per 1 ruble of costs.

For analysis purposes, both the net profit indicator (profit after taxes) and the profit before tax indicator can be used. A comparison of two options for profitability indicators (one using the profit before tax indicator and the second using the net profit indicator) allows us to determine the impact of interest payments and tax payments on the level of profitability of a particular type of asset or type of investment.

In addition, various profitability ratios can be calculated according to certain species activities, individual types of assets, etc.

4. Business activity indicators.

The business activity of an enterprise is manifested in the dynamism of its development, indicates the quality of management of financial resources invested in the property of the enterprise, and is reflected in the system of indicators of the turnover of funds of the enterprise. Business activity ratios allow us to assess the efficiency of using financial resources. The financial condition of an enterprise depends on the speed at which funds invested in various assets of the enterprise are converted into cash.

To calculate the indicators of the turnover of enterprise funds and the speed of turnover, data from the balance sheet and profit and loss report are used.

Key indicators of turnover and turnover rate:

Asset turnover ratio shows the efficiency of using all resources that the enterprise has in the analyzed period.

Asset turnover ratio =

Asset turnover period =

Equity turnover ratio indicates the efficiency of using the enterprise's own capital.

Property turnover ratio capital =

Equity turnover period =

When analyzing business activity, more specific turnover indicators (accounts receivable, accounts payable, inventories, etc.) and turnover periods in days are also calculated.

Accounts receivable turnover ratio =

Receivables maturity (in days) =

Inventory turnover ratio =

Inventory turnover period (sales period) =

Accounts payable turnover ratio =

Accounts payable maturity (in days) =

5.Indicators of market activity

book value of a common share

basic earnings per share

common stock dividend

dividend payout ratio

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Training and metodology complex

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