TOP-10 of service companies by the solvency ratio in crisis years

ranking 08/06/2020

Information agency Credinform represents a ranking of the largest Russian service companies. The provided personal services (laundry, dry cleaning of fabric and fur items, hairdressing and beauty salons, funeral services, saunas, wellness centers, fitness centers, social services, pet care, etc.) with the largest volume of annual revenue (TOP-10) were selected for the ranking, according to the data from the Statistical Register for the latest available periods (2006 - 2011). They were ranked by the solvency ratio (Table 1). The analysis was based on the data of the Information and Analytical System Globas.

Solvency ratio (х) is equity to total assets. The ratio indicates the company's dependence on external loans. The recommended value is >0,5.

The value below the minimum limit indicates a strong dependence on external sources of funds, which, if market conditions worsen, can lead to liquidity crisis and unstable financial position of the company.

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, solvency ratio, solvency index Globas of the largest Russian service companies (TOP-10) in 2008 – 2011
Name, INN, region, activity Revenue, million RUB Net profit (loss), million RUB Solvency ratio (x), >0,5 Solvency index Globas in 2020
2009 2011 2009 2011 2009 2011
1 2 3 4 5 6 7 8
LLC LINDSTROM
INN 7816659619 Saint Petersburg
Laundry and dry cleaning of fabric and fur product
down550,1 up661,1 up89,5 up99,6 up0,99 down0,95 169 Superior
JSC LUZHNIKI OLYMPIC COMPLEX
INN 7704077210 Moscow
Health and fitness
up1 401,6 up2 185,7 up352,3 down-201,6 up0,80 up0,83 232 Strong
JSC RITUAL-1
INN 7731137099 Moscow
Funeral and related services
down359,2 down317,8 down15,5 down2,9 down0,71 up0,74 256 Medium
GBU RITUAL
INN 7743096224 Moscow
Funeral and related services
up2 227,7 down2 143,8 up41,0 down26,2 down0,70 up0,63 Not assigned
JSC FUNERAL HOME GORBRUS
INN 7720018290 Moscow region
Funeral and related services
up233,1 up342,9 up12,6 up27,8 up0,66 down0,43 278 Medium
LLC SANDUNOVSKIE BANI
INN 7702093778 Moscow
Health and fitness
up348,2 up476,6 down56,8 up58,7 down0,58 down0,41 121 Superior
JSC STIKS-S
INN 7710321266 Moscow
Funeral and related services
down449,0 up483,5 up4,7 down3,3 up0,34 up0,39 275 Medium
JSC PASSAZHIR SERVIS
INN 7606043703 Yaroslavl region
Laundry and dry cleaning of fabric and fur product
up161,7 up365,1 up16,2 up37,2 up0,37 down0,29 237 Strong
LLC MEGGI-2001
INN 5024048699 Moscow region
Laundry and dry cleaning of fabric and fur product
up1 370,2 down529,7 down-5,3 down-13,6 down0,07 down-0,14 384 Weak
Average value for TOP-10 up762,2 down783,5 down59,7 down4,8 up0,55 down0,49  
Average value for TOP-1000 up23,5 up24,6 up1,2 down0,4 down0,27 down0,25  

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

The average indicator of the solvency ratio is above the average value of TOP-1000. Four companies have the value above the recommended one, and four companies improved their figures in 2011 compared to 2009.

Picture 1. Solvency ratio and revenue of the largest service companies (TOP-10) Picture 1. Solvency ratio and revenue of the largest service companies (TOP-10)

During six years, the average solvency ratio values of TOP-1000 companies are below the recommended one with a trend to decrease (Picture 2).

Picture 2. Change in the average solvency ratio values of the largest Russian service companies (TOP-1000) in 2006 – 2011 Picture 2. Change in the average solvency ratio values of the largest Russian service companies (TOP-1000) in 2006 – 2011