Credit period of the TOP 10 metallurgical companies in Chelyabinsk

ranking 01/09/2021

Information agency Credinform represents a ranking of the largest metallurgical companies in Chelyabinsk. Companies engaged in smelting of ferrous and non-ferrous metals, alloys, as well as the production of finished metal products with the largest volume of annual revenue (TOP 10 and TOP 100) were selected for the ranking, according to the data from the Statistical Register and the Federal Tax Service for the latest available periods (2018 - 2020). They were ranked by the solvency ratio (Table 1). The selection and analysis were based on the data of the Information and Analytical system Globas.

Credit period (days) is calculated as the ratio of the average amount of accounts payable for the period to sales revenue. The ratio shows how many days during the year the company repaid the average amount of its accounts payable.

The indicator reflects the process of repayment of debts to counterparties and is calculated to assess cash flows, which makes it possible to draw conclusions about the efficiency of the company and the chosen financial strategy.

The lower the indicator, the faster the company settles with its suppliers. Increased turnover can mean both problems with paying invoices and better organizing relationships with suppliers, providing more profitable, deferred payment schedule and using accounts payable as a source of cheap financial resources.

For the most complete and objective view of the financial condition of the enterprise, it is necessary to pay attention to the complex of indicators and financial ratios of the company.

Table 1. Net profit, revenue, credit period and solvency index Globas of metallurgical companies in Chelyabinsk (TOP 10)
Name, INN, activity Revenue, billion RUB Net profit (loss), million RUB Credit period, days Solvency index Globas
2019 2020 2019 2020 2019 2020
1 2 3 4 5 6 7 8
LLC PRODUCTION AND COMMERCIAL FIRM INSSTAL
INN 7411018984
zink production
up2,64 down2,52 up0,07 down0,03 up18,06 down21,59 212 Strong
JSC CHELYABINSK ELECTROMETALLURGICAL PLANT
INN 7447010227
ferroalloys production
down55,61 down48,99 up10,17 down3,06 down36,83 up30,25 196 High
JSC CHELYABINSK ZINK PLANT
INN 7448000013
production of lead, zinc and tin
down26,55 up26,65 up3,39 up4,08 up50,61 down53,63 170 Superior
JSC CHELYABINSK PROFILED STEEL FLOORING PLANT
INN 7447014976
production of building metal structures, products and their parts
up4,75 up5,47 up0,05 down0,04 up41,01 down57,03 204 Strong
LLC BVK
INN 7449106598
steel casting
down1,60 up2,15 up0,01 up0,34 up76,82 up58,24 247 Strong
JSC CHELYABINSK METALLURGICAL PLANT
INN 7450001007
production of cast iron, steel and ferroalloys
down112,99 up114,04 up5,33 down-0,51 down65,28 down77,61 400 Weak
JSC CHELYABINSKAVTOREMONT
INN 7452032145
mechanical processing of metal products
up3,35 up5,40 up0,17 down0,17 up109,39 up80,03 195 High
JSC KONAR
INN 7451064592
mechanical processing of metal products
down14,13 up16,68 down1,26 down0,80 up170,26 up98,23 225 Strong
JSC CHELYABINSK TUBE ROLLING PLANT
INN 7449006730
production of steel pipes, hollow sections and fittings
up139,23 down91,83 down1,35 up4,24 up84,51 down112,58 203 Strong
JSC CHELYABINSK STEEL STRUCTURE PLANT
INN 7449010952
production of building metal structures, products and their parts
up5,21 down4,05 up0,48 down0,00 down145,68 down153,22 230 Strong
Average value for TOP 10 down36,61 down31,78 up2,23 down1,23 up79,85 up74,24  
Average value for TOP 100 down3,88 down3,41 up0,23 down0,13 down98,06 down101,02

вверх growth of indicator to the previous period, вниз fall of indicator to the previous period

The average values of credit period of TOP 10 and TOP 100 were below the industry average ones.

Only four companies of TOP 10 increased their figures in 2020 compared to 2019. In 2019, the growth was recorded for seven companies.

In 2020, six companies included in TOP 10 gained revenue and four companies gained net profit. A 13% and 12% fell of the average revenue was recorded for TOP 10 and TOP 100 respectively. The average profit of TOP 10 and TOP 100 fell 45% and 43% respectively.

Over the past five years, the average values of credit period have increased constantly (Picture 1).

Picture 1. Change in average values of the solvency ratio of metallurgical companies in 2016 - 2020 Picture 1. Change in average values of the solvency ratio of metallurgical companies in 2016 - 2020