Accounts payable turnover of the largest Russian leasing companies

ranking 25/04/2017

Information agency Credinform prepared a ranking of Russian leasing companies. The enterprises with the largest volume of revenue (TOP-10) were selected for the ranking, according to the data from the Statistical Register for the latest available periods (for 2014 and 2015). Then they were ranked by accounts payable turnover (Table 1).

Accounts payable turnover (times in a year) is calculated as the relation of average accounts payable for the period to sales revenue. The ratio shows how many times a year an enterprise has discharged the average amount of its accounts payable.

This indicator reflects the process of debt repayment to contractors (partners, suppliers, mediators etc.). The coefficient determines the number of firm's closed debts and is calculated to estimate cash flows. It allows to draw conclusions about the effectiveness of company’s work and chosen financial strategy.

The higher is the ratio value, the soonest an enterprise settles accounts with its suppliers. Reduction of turnover can mean as well problems with payment of invoices, as more effective organization of relationships with suppliers, which provides a more profitable, deferred payment schedule and uses accounts payable as a source of cheap financial resources.

The specialists of the Information agency Credinform, taking into account the actual situation both in the economy as a whole and in the sectors, has developed and implemented in the Information and Analytical system Globas-i the calculation of practical values of financial ratios, which can be recognized as normal for a particular industry. For leasing companies the practical value of the accounts payable turnover is up to 338,29 times.

For getting of the most comprehensive and fair picture of the financial standing of an enterprise it is necessary to pay attention to all available combination of company’s financial indicators and ratios.

Table 1. Net profit, revenue, accounts payable turnover, solvency index Globas-i® of the largest Russian leasing companies (TOP-10)
Name, INN, regionNet profit (loss) for 2015, mln RUBRevenue for 2015, mln RUBRevenue for 2015, by 2014, +/- %Accounts payable turnover, times in 2015Solvency index Globas-i®
SPETSNEFTETRANS LLC
INN 7743712642 Moscow
888,1 4 500,3 78 3 059,19 272
High
PAO ROSAGROLIZING
INN 7704221591 Moscow
-9 679,1 3 258,1 13 847,41 228
High
NITROKHIMPROM LLC
INN 7718196987 Moscow
170,6 3 320,6 2 138 541,80 221
High
RN-AIRCRAFT LLC
INN 7706734415 Moscow
6 540,9 8 649,2 57 110,16 242
High
RAIL1520 LLC
INN 7801537819 Leningrad region
661,2 8 172,5 116 82,90 297
High
NAO PROMTRANSINVEST
INN 7730714748 Moscow
604,4 8 189,2 220 62,21 227
High
TATNEFT – AKTIV LLC
INN 1644013875 Republic of Tatarstan
129,4 2 727,1 28 41,11 199
The highest
BRANSVIK REIL LLC
INN 7705872331 Moscow
-4 435,7 7 271,8 -2 35,73 307
Satisfactory
GTI MENEDZHMENT LLC
INN 7701409186 Moscow
591,2 3 096,4 182 35,62 266
High
AGGREKO EURASIA LLC
INN 7705838531 Tyumen region
962,6 2 879,3 40 30,52 189
The highest
Total in the group of TOP-10 companies -3 566,4 52 064,4 *73 **219,62  
Total in the group of TOP-100 companies -5 419,1 118 128,5 *38 **168,67  
Industry average value/strong> -0,6 25,7 -9 299,38  
* - group average value
** - group average value without extreme values

The average values of accounts payable turnover in 2015 as well in the group of TOP-10, as in the group TOP-100 companies stay within parameters of the practical value. However, three from TOP-10 companies (marked with a yellow filling in Table 1 and in Picture 1) have not met these parameters.

Accounts payable turnover and revenue of the largest Russian leasing companies (TOP-10)
Picture 1. Accounts payable turnover and revenue of the largest Russian leasing companies (TOP-10)

The volume of revenue of 10 the largest companies is 44% of the total revenue of 100 the largest enterprises. It points to a relatively high level of monopolization in this industry. Thus, the shares of the largest firms in terms of revenue in 2015 made 21% in the total revenue of the group of TOP-100 companies. (Picture 2).

Shares of TOP-10 enterprises in the total revenue of the group of TOP-100 companies for 2015, %
Picture 2. Shares of TOP-10 enterprises in the total revenue of the group of TOP-100 companies for 2015, %

Nine from TOP-10 companies got the highest or high solvency index Глобас-i®U, that points to their ability to repay their debts in time and fully.

BRANSVIK REIL LLC got satisfactory solvency index Глобас-i® due to the information on its participation as a defendant in arbitration court proceedings in terms of debt collection, on cases of untimely fulfillment of its obligations, as well as the loss in the structure of balance sheet indicators. The forecast for index development is stable.

Three from TOP-10 companies have reduced indicators of revenue in 2015 compared to the previous period or have a loss (are marked with red filling in Table 1).

In the group of TOP-100 companies there were 27 unprofitable companies in 2014, and in 2015 their number decreased to 25.

The indicators of Russian leasing companies in monetary terms have not been stable in recent years and are under pressure of the macroeconomic situation in the economy as a whole, that is confirmed by the data of the Federal State Statistics Service (Picture 3 и Table 2).

Growth rates (rates of drawdown) of the total revenue of Russian leasing companies from year to year, %
Picture 3. Growth rates (rates of drawdown) of the total revenue of Russian leasing companies from year to year, %

In 2016 the largest revenue was by companies, renting various machines and equipment, household products and personal demand items, and the least – by firms, renting commercial equipment.

Table 2. Revenue (nett) from the sale of leasing services (net of value added tax, excises and other similar obligatory payments), thousand rubles.
Leasing of:2010 г.2011 г.2012 г.2013 г.2014 г.2015 г.2016 г.
of machines and equipment without an operator; leasing of household goods and personal demand items 63 467 670 77 222 139 88 113 719 108 117 783 121 148 285 103 362 858 104 108 554
of other machines and equipment 25 264 865 25 433 896 47 951 336 50 196 942 62 816 332 32 490 160 40 497 161
of other vehicles and equipment 15 706 913 25 300 835 35 119 421 49 848 191 49 013 587 55 432 777 39 723 982
of other land vehicles and equipment 15 043 107 24 398 446 34 275 436 48 822 363 47 422 878 54 864 194 38 113 449
of other motor vehicles and equipment 11 841 822 11 196 123 16 619 904 37 801 692 24 444 882 16 996 705 24 158 204
of cars 21 993 809 26 039 448 4 420 659 7 048 439 8 622 268 14 728 340 23 127 046
construction machines and equipment with an operator 13 125 243 12 682 238 15 288 568 12 835 733 13 873 017 11 880 186 19 554 487
construction machines and equipment 4 367 491 5 129 657 21 907 065 33 184 819 45 563 304 12 229 349 17 663 857
of other machines and equipment n.e.c. 15 719 453 16 401 560 20 240 909 12 335 964 12 940 284 14 499 193 17 462 162
of marine vehicles with crew; provision of switching and shunting 844 300 1 909 186 2 715 643 2 577 702 7 779 949 9 509 885 16 470 901
of railway transport and equipment 3 201 285 13 202 323 17 655 532 11 020 671 22 109 752 31 719 497 13 240 146
of other machines and equipment of scientific and industrial purpose 14 607 391 12 256 677 13 945 837 6 852 309 11 276 546 11 074 771 10 588 322
agricultural machinery and equipment 4 180 878 2 884 220 4 718 951 4 543 027 4 224 450 5 715 931 5 012 810
of cargo motor transport with an driver 2 740 842 4 939 978 3 949 999 3 865 291 4 344 440 5 416 675 4 239 681
of air vehicles and equipment 192 422 260 913 194 394 114 708 77 536 60 226 1 123 294
of water vehicles and equipment 471 384 641 476 649 591 700 782 1 297 544 186 218 487 239
of mining and oilfield equipment 555 962 4 137 040 6 247 895 1 651 801 258 833 403 6208 398 153
office machines and equipment, including computing hardware 997 043 1 018 459 1 084 411 131 762 88 294 45 687 358 332
shop equipment 400 750 4 889 5 811 7 103 6 213 6 523 6 683
*) In Table 3 the red filling marks the decline in revenue, green filling – the growth.

The leasing enterprises are distributed unevenly throughout the country, leaning toward two the biggest cities, where the largest financial resources are concentrated. This is confirmed by data of the Information and Analytical system Глобас-i, according to which 100 the largest companies in terms of revenue for 2015 are registered in 32 regions of Russia (Picture 4).

Distribution of 100 the largest leasing enterprises by regions of Russia
Picture 4. Distribution of 100 the largest leasing enterprises by regions of Russia