Financial sustainability analysis of industrial enterprises

Abstract

The fluctuations of activity of industrial enterprises are caused by instability of the external environment which by its influence changes the level of stability of work of the enterprise. Studies of the main indicators of financial sustainability of industrial enterprises allow us to objectively evaluate the most significant indicators and determine the readiness of enterprises to accept change. Financial sustainability of industrial enterprises is the basis of their viability, which is reflected through the most important information sources for making informed management decisions on the features of management. Financial soundness reflects the financial independence of an enterprise in relation to and compliance of available assets and liabilities with the main financial and economic tasks, and also provides its competitive advantages over others. In the course of the study it was determined that in the conditions of today the absolute and relative indicators of financial stability of accounting and analytical work of industrial enterprises are used in the analysis. The presence of such an element allows to manage the enterprises and ensure their stable functioning. The following industrial enterprises were selected for the study as: SCMZ PJSC, NKMZ PJSC, EuroCement-Ukraine PJSC, Energomash PJSC and KZVV PJSC during 2013-2017. When analyzing the financial sustainability of industrial enterprises, the main business processes that make the research meaningful should be taken into account. The study of the selected topic allowed us to analyze the current financial situation of industrial enterprises by the main indicators that are the basis for building an informative base. A system of factors influencing the financial sustainability of the enterprise was highlighted. The directions of diagnostics and monitoring of financial stability of an industrial enterprise are analyzed on the basis. Analysis of financial stability of industrial enterprises is a theoretical basis for the further development of organizational and methodological provisions of economic analysis of indicators of financial sustainability and is manifested in practice in the formation of internal regulations of the enterprise management system.