Methods Of Financial Analysis Research Articles

Empirical Analysis of Financial Statement and Common Valuation Methods

Business valuations are often used today by stakeholders to estimate the economic value of the benefits a business generates. In this case, financial market participants use a variety of valuation methods to determine the price they are willing to pay or accept to achieve a stock sale. Therefore, this paper conducts financial statement analysis and common valuation methods on the basis of Airbus annual report, and then evaluates some other factors that affect valuation. The study found that Airbus got rid of high leverage and implemented sustainable development in recent years. The stock price based on common valuation methods is lower than the market value. However, this paper believes that due to the current situation of Airbus and the capital market, the current market value is reasonable.

Pharmacy Performance Based on Financial Perspective Before and During COVID-19 Pandemic : A Case Study

A pharmacy, aside from being a pharmaceutical care provider is also a functioning business. Thus, in the scope of business, pharmacy performance can be analysed using liquidity, activity, and profitability ratios. This study aimed to determine the performance of Pharmacy X based on a financial perspective before and during the COVID-19 pandemic. This research is a descriptive cross-sectional study that employed data obtained from sales and purchase records. The data were analysed using financial ratio analysis methods, including liquidity, activity, and profitability ratios. This study was conducted at Pharmacy X based on the amount of prescription and non-prescription income from before the COVID-19 pandemic (in 2019) and during the pandemic (in 2020). The results showed that Pharmacy X was not good at managing its current assets and current liabilities during the COVID-19 pandemic. Based on the results for the ratios of total asset turnover and fixed asset turnover, asset utilisation was less efficient. Analysis of the probability ratios and net profit margin showed a decrease in Pharmacy X’s profit during the pandemic. The Return on Assets (ROA), Return on Equity (ROE), and Return on Investment (ROI) values indicated that the business was less able to generate profits and net income from its invested capital.

Internal Control Model of Enterprise Financial Management Based on Market Economy Environment

In order to better solve the problems existing in the internal environment, risk assessment, and internal supervision of enterprise financial management, this paper proposes a method of enterprise financial analysis and control model based on artificial neural network algorithm. The results show that, through the internal control model and management optimization of financial management, a large number of calculations and subjective affairs in the process of financial work can be avoided to the greatest extent. For enterprises, a large number of human, material, and financial resources can be saved for data collection, which is more conducive to improving the enterprise financial management system, improving the quality of financial information, providing technical support for enterprise decision-making, and further reducing the risk in the process of enterprise operation.

Анализ подходов к системам показателей, характеризующих финансовую устойчивость хозяйствующего субъекта

The article provides an overview of various approaches to the analysis of the financial and economic activities of an organization in order to identify the negative dynamics of its financial stability. Based on the generalization of different methods of financial analysis, a schematic classification of the most effective approaches is presented. It is concluded that it is expedient to use different-criteria approaches to assessing financial stability, taking into account the interpretation of information about the financial condition of an economic entity, depending on the goals of the analysis and the category of users using its results.

Covid-19 Pandemisinin Sektörel Ölçekte Mali Analizi: Getir Girişim Sermayesi Örneği

Covid- 19’ un küresel ölçekte tehlikeli bir salgın halinedönüşmesi ile ülkeler çeşitli karantina süreçlerini kapsayankısıtlamalara gitmişlerdir. Bu kısıtlamalar sürecinde bazıfirmalar kişilerin kısıtlama alanları içerisinde hizmet alımınadevam edebilmesi için online sipariş verebilecekleri çeşitliuygulamalar geliştirmişlerdir. Birçok sektör Covid-19’ungetirdiği yeni şartlara göre yeniden yapılanma sürecinegirmiştir. Pandemi süreci dijitalleşmenin yaygınlaşmasına veonline alışveriş şirketlerinin çoğalmasına neden olmuştur. Buhizmetlere olan ilgi pandemi’nin etkisiyle aşırı talep görür halegelmiş ve önemli bir büyüme yönünde ivme kazanmıştır. Buuygulamalardan birisi de RE-PIE Gayrimenkul ve GirişimSermayesi Portföy Yönetimi A.Ş. Getir Girişim Sermayesininkurmuş olduğu “Getir” uygulamasıdır. Bu çalışmanın amacı,RE-PIE Gayrimenkul ve Girişim Sermayesi Portföy YönetimiA.Ş. Getir Girişim Sermayesinin kurmuş olduğu “Getir”firmasının pandemi öncesi ve sonrası finansal açıdan etkilerinigörebilmek için finansal analiz yöntemlerinden birisi olankarşılaştırmalı tablolar analizinin yapılmasıdır. Çalışmakapsamında, Covid-19’un sektörel etkileri ele alınmış Covid ’inetkilerini sektör bazlı görebilmek adına gerekli literatür taramasıyapılmıştır. Çalışmada karşılaştırılmalı tablolar analizi hakkındabilgi verilmiştir. Çalışmanın yönteminde, işletmeninin BağımsızDenetim Raporlarınca; Bilanço Tablosu, Kâr veya ZararTablosu, Diğer Kapsamlı Gelir Tablosu, Nakit Akış Tablosu veToplam Değer / Net Varlık Değeri Değişim Tabloları 2019-2020-2021 yılları baz alınarak karşılaştırmalı tablolar analiziyöntemine tabi tutularak incelenmiştir. Bu çalışma sonucunda;kısıtlamalar nedeniyle küresel ölçekte bazı sektörlerde daralmalaryaşanmasına rağmen, bu durum bazı firmaların büyümelerineve yüksek kârlar elde etmelerine olanak tanıdığı ve ülkemizdebüyük ilgi toplayan “Getir” uygulamasının pandemi öncesi vesonrası kıyaslandığında büyük bir başarı yakaladığı tespitedilmiştir.

Single-industry town: Assessing the activity of town-forming enterprise

Subject. The article considers performance indicators of a city–forming enterprise (absolute indicators, like revenue, cost of sales, net profit; relative indicators, like coefficients of autonomy, current liquidity, return on sales, assets, equity) and the level of socio-economic development of a single-industry town (demographic indicators, housing and communal services, investment activity). Objectives. The purpose is to analyze and evaluate the activities of a city-forming enterprise, its production and technological linkages and their impact on socio-economic development of the entire monotown. The paper considers the cases of Kamensk-Uralsky and Polevskoy monotowns and their town-forming enterprises. Methods. We employ methods of theoretical, statistical, financial and economic analysis. Results. We assessed the indicators of the monotowns’ socio-economic condition. In both cases, on the one hand, there are negative trends in population decline, the investment policy is underdeveloped. On the other hand, the construction of housing stock is expanding. There are production and technological linkages between the major employers of the monotowns under study. However, both of them are characterized by low efficiency of production and economic activity. Conclusions. The interaction of town-forming enterprises along production and technological chains, affiliation with larger institutional entities, like strategic unions, associations, corporations, etc., do not guarantee effective development of either the town-forming enterprise or the single-industry town as a whole. A better targeted support from municipal, regional, and federal government agencies, and attracting private investment are required.

Thoughts on the Bulk Supply Chain Services of Xiamen Xiangyu Co., Ltd

Under the influence of globalization, the supply chain (SCM) has expanded into a globally integrated supply chain across regions and borders. With the increasing volume of China’s commodity trade year by year, China has become the largest global commodity consumption and import for many consecutive years. On August 29, 2011, Fujian Xiamen Xiangyu Co., Ltd. held a grand restructuring and listing ceremony in the Shanghai Stock Exchange, integrating the high-quality asset injection of its logistics and related industries. In recent years, Xiamen Xiangyu Group Co., Ltd. has been committed to supply chain management services, and entered the Fortune Global 500 list in 2018. Taking Xiamen Xiangyu Group Co., Ltd. as an example, this paper uses financial analysis and QR (quick response) methods to analyze the company’s main business-global commodity supply chain services. The regression analysis is used to predict the development of the Xiangyu Group case in the next three years and the results show that the bulk commodity supply chain chosen by Xiangyu, as its main business, has a broad market space and a huge market concentration and improvement potential. The continuous transformation and upgrading of the supply chain have brought benefits to the company and created a new service development model in Xiamen for better development prospects.

DIAGNOSIS OF CAPITAL STRUCTURE AS A TOOL FOR ADMINISTERING THE FINANCIAL ACTIVITIES OF ENTERPRISES

The development of market transformations in Ukraine has led to the noticeable changes in the sphere of formation and using enterprise capital. Formation of the optimal capital structure, which allows to combine an increase in financial results with the existing risk level, is the main factor of maintaining effective functioning. In this connection, processes of financial activity administration require rethinking and improving the approaches to diagnosis of financing sources both in the theoretical and practical aspects. The aim of the study is to improve the methodological approaches to the diagnosis of enterprise capital structure as an instrument of justifying and making managerial decisions in financial management system on the basis of theoretical approaches and specifying the definition of the term “enterprise financial activity administration”. Methods of scientific cognition were used in the work, in particular: of system approach, analysis, synthesis, scientific abstraction, generalizing. Methods of financial coefficient analysis and Shuhart’s control charts creation were used to carry out capital structure diagnosis on the example of JSC “Zhytlobud-1” (Kharkiv). The author’s vision of the essence of enterprise financial activity administration as a process of developing and implementing managerial decisions was formed, including formation and use of its capital with the aim of financial strength, profitability and creating conditions for fulfillment of obligations, based on information, diagnostic and analytical support for the realization of managerial procedures. It was concluded that diagnosis of capital structure served as the key element in the system of instruments for the administration of enterprise financial activity. The use of Shuhart‘s control charts for diagnosing the capital structure was proposed, and relevant calculations were carried out on the example of JSC “Zhytlobud-1”, the level of manageability of its capital components was assessed, and key management objects in the structure of the company’s financing sources were identified. The results of the research can be useful for scientists, students of economic specialties of higher educational establishments, managers and employees of financial divisions of enterprises and financial institutions

SISTEM INFORMASI AKUNTANSI ANALISA LAPORAN KEUANGAN PADA PUSAT KOPERASI PEGAWAI REPUBLIK INDONESIA KENDAL MENGGUNAKAN METODE RASIO

The Republic of Indonesia Employee Cooperative Center in Kendal Regency is a civil servant cooperative center in Kendal Regency which provides savings and loan services for its members.So far, the Indonesian Civil Servant Cooperative, Kendal Regency, does not yet have a special information system in managing finances, making financial reports and financial analysis activities. This causes the performance of cooperative employees to be slow, difficulties in finding customer data, loss of transaction data and presentation of information and analysis of cooperative financial statements takes a long time.With the implementation of an accounting information system for analyzing financial statements at the Indonesian Employee Cooperative, Kendal Regency using the financial ratio analysis method, it will be able to assist in managing finances in a database that is able to produce financial reports and analyze th

Restructuring of the Coal Mining Industry and the Challenges of Energy Transition in Poland (1990–2020)

The European Union’s climate policy and the energy transition associated with it force individual countries, their economies and their industrial sectors to carry out thorough changes, often of a deep, high-cost and restructuring nature. The aim of the article is to provide a multidimensional assessment of the forms and effects of the restructuring of coal mining companies in Poland in light of the current energy transition process. The research problem is encapsulated within the following two interdependent questions: Has the restructuring process allowed the coal mining industry to achieve sufficient efficiency to sustainably compete in the open market, and to what extent, if at all, have the objectives of restructuring been achieved from the perspective of changes in the energy mix? The research covers all coal mining companies included in the official statistics. It adopts a long-term perspective (1990–2020), dating from the beginning of the systemic transformation in Poland. The research involved the use of multivariate financial analysis methods, including the logit model for predicting the degree of financial threat, as well as taxonomic methods for assessing the dissimilarity of structures and their concentration. The general conclusion of the research is that there has been a lack of consistency (follow-up) between the forms and effects of restructuring in coal mining companies in Poland on the one hand and changes in the composition of the country’s energy mix as a result of the energy transition on the other. In particular, this means that such restructuring, being neither effective nor efficient, has failed to accelerate change in the energy mix.

The Application of Artificial Intelligence Technology in the Asset Management of Start-Ups in the Context of Deep Learning

With the coninuous improvement and development of artificial intelligence (AI) technology, this technology has been used in the asset management of companies. To improve the asset management level of Chinese start-ups, firstly, back-propagation neural network (BPNN) has been studied in depth, and an evaluation system of the company's asset quality has been established. Secondly, the BPNN is integrated with the evaluation indicators of asset quality, and an evaluation model of asset quality based on BPNN is constructed. Next, start-up A is taken as the experimental object; the evaluation score of the asset quality of A company is input into the model, which proves that there is still a certain gap between the asset management level of start-ups and mature companies. Finally, to find out the problems of the company's asset quality, the traditional financial analysis method is used to carry out a specific microanalysis of the evaluation indicators of its asset quality. In view of the existing problems, suggestions are put forward for prudent investment, improve inventory operation efficiency, increase investment in R&D and innovation, improve the quality of sales outlets, and increase the proportion of high-quality intangible assets. The asset quality evaluation system for start-ups established here includes 19 evaluation indicators. The BPNN-based asset quality evaluation model selects 5 mature companies in the same industry as sample companies. The scores of the evaluation indicators of asset quality of the 5 sample companies in the past three years are normalized and input into the model. The model contains 19 nodes of the input layer, 39 nodes of the hidden layer, and 1 node of the output layer. The target error rate is 0.001, the learning rate is 0.1, the number of training times is 1000, and the training function is the trainlm function. This research has a certain reference for the application of AI technology in the asset management of start-ups.

FOREIGN EXPERIENCE OF DIGITALIZATION AT AGRO-INDUSTRIAL COMPLEX ENTERPRISES

Article data studied are the organizational and economic relations that arise in the process of evaluating the effectiveness of digitalization of enterprises in the agro-industrial complex. Research methods: content analysis of scientific literature on the research topic; comparative analysis; methods of financial and economic analysis; expert survey; statistical methods for analyzing the relationship and series of dynamics. The novelty of the study lies in the development of a methodology for assessing the effectiveness of digitalization of agro-industrial enterprises, based on an integrated approach, including the use of statistical and expert assessments, and involving the calculation of the index of the level of digitalization and the integral effect of the introduction of digital technologies, taking into account the industry characteristics of companies, which allows us to assess the rationality of the use of resources in the process of digital transformation of business processes of organizations. The practical significance of the study lies in the use of the developed methodology for assessing the development of a company, tracking the dynamics of its digitalization and conducting a comparative analysis with other enterprises in the industry. KEYWORDS: agro-industrial complex, digitalization, foreign experience

Analyzing the relevance of capitalization parameters in the income approach for business valuation

Subject. The article addresses capitalization parameters (income, financial result, cash flow) in the income approach to valuation. Objectives. The purpose is to develop methodological approaches to verification and confirmation of relevance of parameters in the income-based approach to business valuation. Methods. The study rests on general scientific and special methods of cognition, including the structuring, comparison, modeling (matrix models to analyze the distribution and redistribution of cash flows), formalization, methodology for generation and analysis of cash flow statements under indirect method, techniques and methods of financial analysis. Results. Confirmation of capitalization parameters in the income approach to business valuation model assumes two prerequisites being met simultaneously, i.e. securing the owner’s income from business ownership and retaining specified business performance indicators. Capitalization parameters for compliance with these two criteria were verified, using the matrix models for financial resources distribution. This enabled monetary security of profit, which, under the prevailing financial proportions, is not invested in either current or investment activities, and can be distributed among owners without affecting further business development and without attracting external borrowings. Conclusions. The permissible multivariance of capitalization parameters in the income approach to business valuation forms a significant range of possible estimates and the uncertainty of final result. Increased accuracy is achieved through the procedure for verification of initial parameters for synchronous compliance with requirements, namely, securing the owner’s income from business ownership and retaining specified business performance indicators.

Methods of financial performance analysis of industrial clusters in Russia

В статье рассмотрены основные признаки и понятие кластера, дана оценка развития промышленных кластеров в России. Рассмотрены основные подходы к анализу финансовых результатов кластеров, а также выявлены особенности в исследовании эффективности работы промышленных кластеров и их резидентов.

Computational intelligence model based on GA-BP neural network

Since the birth of the secondary stock market, the prediction of the stock price trend has become a research direction concerned by many people. Aiming at the problem of non-stationary and non-linear stock price forecasting, this paper builds a computational intelligence model to improve the neural network with genetic algorithm. The results show that, compared with other models, the GA-BP neural network model proposed in this article can effectively improve the prediction of the rise and fall of the HS300 index, and the withdrawal range is small when the market falls. The research of this paper enriches the method of financial time series data analysis, which can not only provide decision-making reference for investors, but also help to enhance the cognition of financial market rules. The model can significantly reduce the forecast error and improve the model fitting ability.

Pengaruh Rasio Profitabilitas, Likuiditas, Solvabilitas, Struktur Kepemilikan Institusional, dan Struktur Kepemilikan Manajerial, Terhadap Kesulitan Keuangan (Dengan Model Altman Z-Score) (Studi Pada Perusahaan Manufaktur Yang Terdaftar di Bursa Efek

This study aims to see how the development of the financial performance of manufacturing companies listed on the Indonesia Stock Exchange for the last 3 years from 2017 to 2019 using the financial ratio analysis method. The financial ratios used are Profitability, Liquidity, Solvency, Institutional Ownership Structure, and Managerial Ownership Structure. The results showed that in general the financial ratios of manufacturing companies listed on the Indonesia Stock Exchange fluctuated, but among them there were several companies that had good financial ratios and poor financial ratios.

ANALYSIS OF THE FINANCIAL CONDITION OF THE ENTERPRISE AND ITS RELATIONSHIP WITH MANAGEMENT ACCOUNTING

The need to study this topic is due to the requirement of time and the need to find alternative ways to improve the management system of the enterprise. The issue of providing enterprises with information about financial resources and their optimal distribution for the needs of sustainable development and further work is important, as it has a significant impact on the overall financial condition.The purpose of the work is to reveal the essence of the financial condition of the enterprise, to study the information support of financial analysis and to disclose its relationship with management accounting at Ukrainian enterprises.The study identified the need to analyze the financial condition of the enterprise and its economic interpretation. The interrelation of information support of financial analysis and management accounting is substantiated. It establishes and characterises interaction of main methods of financial analysis and directions of managerial accounting. The main methods of financial analysis for the study of the financial condition of the enterprise are considered, as well as the issues of normative values of the main financial indicators: their comparison in domestic and foreign enterprises are highlighted. The information support of the financial condition analysis is analyzed. The main factors of significant influence on the financial condition, which are taken into account in the analysis, are investigated.As a result of the study, the methodological support of financial analysis was improved by studying its relationship with the components of management accounting. A number of proposals have been introduced: the use of a systematic approach to the analysis of the financial condition of enterprises, improving the quality of information support for the analysis of the financial condition and the use of management accounting as a key tool in planning, evaluating and monitoring the results of economic entities.The researched topic is quite promising and is subject to further disclosure in the study of enterprise strategies, approaches to management and analysis of financial reporting indicators

ANALYSIS OF FINANCIAL PERFORMANCE AT THE KP-RI KOPEKA SAVING AND LOAN COOPERATION (KSP) KOPEKA INDRAGIRI HULU REGENCY

In essence, the financial performance of a cooperative can be measured and viewed through financial statements by analyzing financial statements. The financial report is a financial list that is directly related to the financial position and financial operations, both of which provide information regarding the financial condition of the cooperative. In the measurement of financial position, the elements that are directly related are assets, liabilities and equity. One of the analytical techniques is ratio analysis which can provide clues that describe the condition of KSP KP-RI Koppeda, Indragiri Hulu Regency, especially in the financial sector.This study aims to test and analyze financial performance using financial ratio analysis methods: (1) Liquidity Ratio which is calculated based on Current Ratio and Quick Ratio, (2) Solvency ratio calculated based on Debt to Equity Ratio and Debt to Total Assets Ratio, (3) Profitability Ratio calculated based on the Net Rate of Return On Investment and Return On Equity. The object used in this study is financial performance in the form of a Balance Sheet and Profit and Loss Statement of KSP KP-RI Kopeka, Indragiri Hulu Regency for the period 2016 to 2020. The data used is secondary data. The data analysis method used was quantitative descriptive analysis technique, which is an analysis that describes by calculating the ratios in the financial statements using certain formulas.The results showed that the financial performance of the Savings and Loans Cooperative (KSP) KP-RI Kopeka, Indragiri Hulu Regency was in poor condition, both from the ratio of liquidity, solvency and profitability. This situation is illustrated by the condition of current assets that have not been able to meet current liabilities. And their own capital and total assets have not been able to meet the total debt. And Cooperatives have not been able to generate the remaining operating results from their own capital and total assets used.

Evaluating the Financial and Administrative Performance using Financial Analysis Methods Field Study in a Selected Iraqi Company

The main aim of this research is to explain the role of financial analysis in evaluating financial and administrative performance in business establishments. A review is made to the methods of financial analysis, emphasizing the role of financial ratio analyzes in the aforementioned evaluation by choosing an Iraqi company trying to identify the company's financial and economic efficiency. Different ratios and indicatorsare used for this purpose, by analyzing and discussing the implications of the company and identifying the strengths and weaknesses in its activities. The research is based on the hypothesis that the use of financial analysis and the various financial ratios and understanding their implications is a necessary step for evaluating the performance of various business activities. The research concluded that there are many activities in the sample company are considered good, while some of them appeared weak and require suitable attention and consideration by the company’s management.

Impact of COVID-19 on the economic-financial health of the company REIPROACERO S. A., during the periods 2019-2020

This research article focused on evaluating the economic-financial situation of the company REIPROACERO SA, through the application of financial analysis methods and financial ratios, in order to determine the impact caused by the COVID-19 pandemic. On the other hand, within the investigative process the scientific method is applied, since it allowed to have an approach to the fact of interest, having contact with the data and information and real facts, which provided clues for the formulation of hypotheses and antecedents, building knowledge and leading to the verification of the same. Likewise, the qualitative descriptive approach was used, since the Financial Statements of the company, obtained from the Superintendencia de Compañias, Valores y Seguros, were analyzed; with a documentary design because information was obtained from scientifically recognized sources such as journals, articles in order to scientifically strengthen research. Where the results obtained showed excessive liquidity, low profitability and poor portfolio rotation.