Top-10 footwear manufacturers by quick ratio

ranking 15/05/2019

Information agency Credinform has prepared a ranking of the largest Russian footwear manufacturers. Companies with the largest annual revenue (Top-10) were selected for the ranking, according to the data from the Statistical Register for the latest available accounting periods (2015 - 2017). Then they were ranked by quick ratio (Table 1). The analysis was based on the data from the Information and Analytical system Globas.

Quick ratio (x) characterizes company’s solvency in the short and medium term. The indicator is illustrative of the possibility of an enterprise to repay its short-term liabilities by its most liquid assets: cash, short-term receivables and short-term financial investment. Recommended value of the ratio is from 0,5 to 0,8.

Too high ratio value may indicate irrational capital structure. It may be connected with a slow turnover of funds invested in stocks and an increase in accounts receivable. A low level of the indicator means that the funds and the upcoming income from current operations do not cover company’s current liabilities.

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

Table 1. Net profit, revenue, quick ratio, solvency index Globas of the largest Russian footwear manufacturers (Top-10)
Name, INN, region Sales revenue, million RUB Net profit (loss), million RUB Quick ratio (x), from 0,5 to 0,8 Solvency index Globas
2016 2017 2016 2017 2016 2017
1 2 3 4 5 6 7 8
NJSC EGORJEVSK-SHOES
INN 5011017647
Moscow region
up3289,9 down2910,1 up541,1 down436,6 up3,44 up4,28 156 Superior
NJSC PTK MODERAM
INN 7816057195
Saint Petersburg
up1323,8 down1165,8 down2,8 up3,3 up0,16 up0,23 214 Strong
STEPTRADE LLC
INN 6901034920
Tver region
up1072,5 up1130,6 down10,9 down8,8 down0,10 up0,15 273 Medium
NJSC PARITET
INN 5020080885
Moscow region
down825,3 up2110,7 down3,1 up10,5 down0,04 up0,13 236 Strong
NJSC Moscow Footwear Factory Paris Commune
INN 7705032967
Moscow
up1839,4 up1994,5 down11,8 down9,4 up0,06 up0,08 237 Strong
NJSC Ralf Ringer
INN 7718160370
Moscow
up4911,7 up5578,0 up570,5 down224,1 down0,02 up0,04 205 Strong
AVANGARD SAFETY GROUP LLC
INN 7721753959
Moscow
up1909,7 up1948,5 up95,9 down41,3 down0,01 up0,03 249 Strong
PF LEL LLC
INN 4329004775
Kirov region
up1050,6 up1157,7 up139,2 down114,9 down0,06 down0,01 175 High
NJSC FOOTWEAR FIRM UNICHEL
INN 7448008453
Chelyabinsk region
up2992,7 up3137,9 up109,9 up126,1 down0,00 up0,01 184 High
BRIS-BOSFOR LLC
INN 7705344035
Krasnodar territory
Bankruptcy claim was filed against the company
up2472,9 up2473,2 down12,7 up14,1 up0,01 down0,00 350 Adequate
Total for Top-10 companies up21688,3 up23606,9 up1498,0 down989,0    
Average for Top-10 companies up2168,8 up2360,7 up149,8 down98,9 up0,39 up0,50
Average industry value down59,8 up70,9 up4,2 down3,4 up0,17 down0,16

Up — improvement compared to prior period, Down — decline compared to prior period.

Average value of quick ratio of Top-10 companies is much higher than the average industry one. In 2017 no company had this ratio within the recommended values.

Picture 1. Quick ratio and revenue of the largest Russian footwear manufacturers (Top-10) Picture 1. Quick ratio and revenue of the largest Russian footwear manufacturers (Top-10)

During the decade average industry quick ratio tended to decrease (Picture 2).

Picture 2. Change in average industry quick ratio of Russian footwear manufacturers in 2008 – 2017 Picture 2. Change in average industry quick ratio of Russian footwear manufacturers in 2008 – 2017