Экономические науки/10.Экономика предприятия.

 

Usanov A.Yu.

 

Department of Economics and Finance Company

Moscow Financial-Industrial University "Synergy"

 

Methods of financial analysis

Abstract

An important aspect of the methodology of financial analysis of the company is to develop a system of indicators. On how performance fully and accurately reflect the essence of the phenomenon, dependent on the results of the evaluation.  The article describes the methodological basis of techniques and stages of the analysis of the financial condition of the company

Keywords: financial condition, procedure steps, the profit margin, turnover, profitability, financial stability and solvency.

Indicators used in the financial analysis of the company, in terms of content are divided into quantitative and qualitative.

According to the study of causality figures are divided into factor and efficiency.

Factor figures reflect the reasons for the change of the phenomenon investigated. The value of the effective index is influenced these reasons.

Thus, the rate of profit - effectively, its value and the change is influenced by such factor indicators as the volume of work, the price and unit cost, etc.

In carrying out financial analysis of the company are the following steps:

1. specifies the objects, aims and objectives are estimated at up of the analytical work.

2. a system of synthetic and analytical parameters by which the object is characterized by evaluation selected mathematical model of the phenomenon, the methods and evaluation methods.

3. going and be prepared to assess the need for information (check its accuracy, is in a comparable form).

4. Comparison of actual results with the planned economic indicators, evidence of previous years, average values, norms.

5. Follow factor analysis selected methods and techniques.

6. To identify unused and prospective reserves of increase of production efficiency.

7. The results of operations are evaluated taking into account the various factors identified and unused reserves, developed measures for their use.

The methodology of financial analysis of the company - a set of methods to determine the status of the enterprise in the course of examining the results of its activities.

Most authors suggest the following areas for assessing the financial condition of the enterprise[1]:

·     "Reading" of the balance sheet;

·     evaluation of trends in the composition and structure of assets and liabilities;

·     Analysis of financial ratios;

·     analysis of the liquidity and solvency.

Other authors suggest to evaluate the company's financial condition on the basis of[2]:

·          rating;

·          financial ratios;

·          assessment of solvency;

·          calculations of the needs of current assets and sources of their formation.

Financial analysis of the enterprise can be made with varying degrees of detail, depending on the purpose of the analysis of available information, technical and human resources.

According to Sheremet A.D. "Comparative analytical balance and calculation of absolute indicators of financial stability are the starting point for assessing the financial condition of the company.[3]"

Study absolute performance of liquidity, as well as a number of relative values ​​- financial ratios complement the estimate obtained using the above values.

The most common practice in Russian companies financial analysis of the company on the following criteria[4]:

1. Analysis of the structure and the dynamics of balance.

2. Analysis of solvency and liquidity.

3. Analysis of business activity and profitability

4. Analysis of financial stability.

The methodology of the above types of analysis in greater detail.

Analysis of the structure and dynamics of the balance assumes its horizontal and vertical analysis.

The horizontal analysis of financial statements, and in particular the balance involves the comparison of the financial performance of the company for the previous few years, both in absolute and relative terms.

The vertical analysis of financial statements, allows the analyst to conclude that the structure of the indicators of financial statements, as well as an analysis of changes in the structure. Methodology provdeniya vertical balance sheet analysis is that the total amount of assets is taken as one, or one hundred percent in the future, each article appears in the balance sheet as a percentage of the base value, ie the total value of assets of the enterprise.

The solvency and liquidity - is the external manifestation of the financial viability of any enterprise. The solvency and liquidity of the company is characterized by its financial position in the short term.

Enterprise can be considered insolvent if the funds short-term investments, which include in its membership the securities, as well as short-term financial assistance to other businesses, and accounts receivable that make up the assets of the enterprise, cover all its short-term obligations.

Evaluation of solvency and liquidity is carried out with the help of solvency ratios, which reflect the possibility of the company to repay short-term debt at the expense of working capital[5].

Analysis of  business activity enables to draw conclusions about how well the company uses its funds. Efficiency of current assets is characterized, above all, of their turnover.

Under the asset turnover meant the duration of the passage by means of the individual stages of production and circulation. The increase of the turnover ratio indicates more efficient use of current assets.

Inventory turnover is characterized by the turnover ratio and inventory turnover period of stocks. Reduced inventory turnover ratio indicates a more efficient inventory management and reduce overstocking enterprise.

Total turnover ratio reflects the efficient use of all available resources, regardless of their sources. It shows how many times in the period performed the complete cycle of production and circulation, making a profit.

By business activity coefficients are also performance factors: the volume of sales per employee, profit per employee, the amount of assets per employee.

The economic efficiency of enterprises expressed rates of profit and profitability (return).

Profit for the period reflects the overall financial result of economic activity of the enterprise with all of its sides. The most important component of this profit - the profit from the sale.

Profitability - a relative measure of production efficiency, characterizing the impact of costs and resource utilization.

All indicators of financial stability, by means of which the state can be characterized, and the structure of assets of the enterprise, and in addition, provide a source of coverage (defined by liabilities) can be divided into three main groups:

1. Indicators of the state of working capital;

2. Indicators of the state of fixed assets;

3. Indicators of financial independence.

Financial stability of the company in the long run is characterized by the ratio of debt to equity. While this figure can only give an overall assessment of the financial viability of the enterprise.

Therefore, in the practice of financial analysis system of indicators that characterize the degree of protection of the interests of investors and creditors, the basis of calculation of these indicators is the cost of the property business.

Reference

1.   Савицкая, Г. В. Анализ хозяйственной деятельности предприятия: Учебник. – 4–е изд. перераб. и доп. / Г. В. Савицкая. – М.: ИНФРА–М, 2011. – с. 136

2.   Селезнева, Н. Н. Финансовый анализ. Управление финансами: Учеб. пособие для вузов. – 2–е изд., перераб. и доп. / Н. Н. Селезнева, А. Ф. Ионова. – М.: ЮНИТИ–ДАНА, 2009. – с. 112

3.   Тихомиров, Е. Ф. Финансовый менеджмент: Управление финансами предприятий: учебник для студ. вузов / Е. Ф. Тихомиров. – М.: Издательский центр «Академия», 2010. – с. 128

4.   Финансовое состояние предприятия, его оценка и этапы проведения. Усанов А.Ю. В сборнике: АКТУАЛЬНЫЕ ПРОБЛЕМЫ ЭКОНОМИКИ Сборник статей Международной научно-практической конференции. Ответственный редактор Сукиасян А.А.. Уфа, 2015. С. 186-191.

5.  Шеремет А. Д., Сайфулин Р. С.,Негашев Е. В. Методика финансового анализа.– М.: Инфра-М, 2010.– с. 52

6.  Экономический анализ Ионова Ю.Г., Косорукова И.В., Кешокова А.А., Панина Е.В., Усанов А.Ю. Москва, 2012.

7.   Analytical review of the security and efficiency of fixed assets of agricultural enterprises in Saratov region. Usanov A.Yu., Fefelova N.P. В сборнике: Институциональные и инфраструктурные аспекты развития экономических  наук Сборник статей Международной научно-практической конференции. Ответственный редактор Сукиасян А.А.. Уфа, 2015. С. 3-9.

 



[1] Савицкая, Г. В. Анализ хозяйственной деятельности предприятия: Учебник. – 4–е изд. перераб. и доп. / Г. В. Савицкая. – М.: ИНФРА–М, 2011. – с. 136

[2] Шеремет А. Д., Сайфулин Р. С.,Негашев Е. В. Методика финансового анализа.– М.: Инфра-М, 2010.– с. 52

[3] Шеремет А. Д., Сайфулин Р. С.,Негашев Е. В. Методика финансового анализа.– М.: Инфра-М, 2010.– с. 52

[4] Селезнева, Н. Н. Финансовый анализ. Управление финансами: Учеб. пособие для вузов. – 2–е изд., перераб. и доп. / Н. Н. Селезнева, А. Ф. Ионова. – М.: ЮНИТИ–ДАНА, 2009. – с. 112

[5] Тихомиров, Е. Ф. Финансовый менеджмент: Управление финансами предприятий: учебник для студ. вузов / Е. Ф. Тихомиров. – М.: Издательский центр «Академия», 2010. – с. 128