Assets turnover ratio of the largest Russian companies engaged in sand, gravel, clay and kaolin extraction

ranking 29/11/2017

Information Agency Credinform http://www.credinform.ru/en-US has prepared the ranking of the largest Russian companies engaged in sand, gravel, clay and kaolin extraction. The largest enterprises (TOP-10) in terms of annual revenue were selected according to the data from the Statistical Register for the latest available periods (2016 and 2015). Then the companies were ranged by assets turnover ratio (Table 1). The analysis was based on data of the Information and Analytical system Globas.

Assets turnover is the ratio of sales revenue and company’s average total assets for a period. Показатель относится к группе коэффициентов деловой активности and characterizes the effectiveness of using of all available resources, regardless the source of their attraction. The ratio shows how many times per year the full cycle of production and circulation is performed, generating the corresponding effect in the form of profit.

The calculation of practical values of financial indicators, which might be considered as normal for a certain industry, has been developed and implemented in the Information and Analytical system Globas by the experts of Information Agency Credinform, taking into account the actual situation of the economy as a whole and the industries. In 2016 the practical value of assets turnover ratio for the companies engaged in sand, gravel, clay and kaolin extraction starts from 0,68.

For the most full and fair opinion about the company’s financial position, the whole set of financial indicators and ratios of the company should be taken into account.

Table 1. Net profit, revenue, assets turnover ratio, solvency index Globas of the largest Russian companies engaged in sand, gravel, clay and kaolin extraction (TOP-10)
Name, INN, region Net profit, mln RUB Revenue, mln RUB Assets turnover ratio, times Solvency index Globas
2015 2016 2015 2016 2015 2016
1 2 3 4 5 6 7 8
NAO KAMENNOGORSKOE KARYEROUPRAVLENIE
INN 4704002227 Leningrad region
-3,0 -23,8 1 025,9 1 016,6 2,90 2,95 292 Medium
LLLC DONSKOI KAMEN
INN 6148556263 Rostov region
115,0 44,8 2 434,1 12 783,0 2,71 2,57 260 Medium
NAO NOVOSIBIRSKOE KARYEROUPRAVLENIE
INN 5403102519 Novosibirsk region
149,2 81,7 2 104,2 2 108,7 1,68 1,68 242 Strong
LLC BENTONIT KHAKASII
INN 1903023547 The Republic of Khakassia
137,2 179,8 774,9 1 065,8 1,39 1,58 175 High
LLC Bogaevskii quarry
INN 5075019720 Moscow region
92,4 237,1 608,4 837,9 1,22 1,41 231 Strong
LLC LAFARGE AGGREGATES AND CONCRETE
INN 7705155052 The Republic of Karelia
-380,9 -322,7 1 069,9 1 631,0 0,76 1,17 303 Adequate
NAO BOGAEVSKII QUARRY
INN 5075011344 Moscow region
139,8 329,5 1 214,1 1 528,0 0,93 1,01 200 Strong
LLC OBLNERUDPROM
INN 5007038980 Moscow region
34,5 62,3 772,2 836,4 0,96 1,01 239 Strong
LLC SEVERENERGO
INN 8911023007 Tyumen region
117,8 172,9 287,9 1 028,7 0,35 0,98 216 Strong
PAO RAMENSKII MINING AND REFINING PLANT
INN 5040002187 Moscow region
139,8 170,0 1 477,5 1 580,9 0,83 0,83 215 Strong
Total for TOP-10 group of companies 541,8 931,5 11 768,9 14 417,1      
Average value within TOP-10 group of companies 54,2 93,1 1 176,9 1 441,7 1,37 1,52  
Industry average value 0,06 0,03 31,8 36,5 0,67 0,68  

In 2016, the average value of assets turnover ratio within TOP-10 group of companies is higher than practical and industry average values. In 2016, all companies from TOP-10 list have values higher than practical value (green color in column 7 of Table 1 and Picture 1). Four companies from TOP-10 list have decrease in net profit and revenue or have loss (red color in columns 3 and 5 of Table 1).

Picture 1. Assets turnover ratio and revenue of the largest Russian companies engaged in sand, gravel, clay and kaolin extraction (TOP-10) Picture 1. Assets turnover ratio and revenue of the largest Russian companies engaged in sand, gravel, clay and kaolin extraction (TOP-10)

For the last 10 years, the average values of assets turnover ratio showed negative trend. From 2012 to 2015, the values were lower than 2016 practical values. This may be a sign of economic slowdown in the industry (Picture 2).

Picture 2. The change of assets turnover ratio average values within 2007-2016 for the Russian companies engaged in sand, gravel, clay and kaolin extraction Picture 2. The change of assets turnover ratio average values within 2007-2016 for the Russian companies engaged in sand, gravel, clay and kaolin extraction

Nine companies from TOP-10 list have the upper levels of solvency index Globas, this fact shows the ability of the companies to meet their obligations in time and fully.

LLC LAFARGE AGGREGATES AND CONCRETE has adequate level of solvency index Globas due to participation as a defendant in debt collection arbitration proceedings, late fulfillment of obligations and losses in balance figures. The forecast for index development is stable.