Equity turnover ratio of companies for the construction of residential and non-residential buildings, being the largest in the Northwestern Federal District of Russia

ranking 16/01/2018

Information agency Credinform offers a ranking of the largest companies for the construction of residential and non-residential buildings, being the largest in the Northwestern Federal District of Russia. The companies 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 (for 2015 and 2016). Then they were ranked by equity turnover ratio in 2016 (Table 1). The analysis is based on data of the Information and Analytical system Globas.

Equity turnover ratio (times) is calculated as a relation of revenue to annual average sum of equity and demonstrates the company’s usage rate of all available assets.

Equity turnover ratio reflects the turnover rate of own capital. The high value of this indicator indicates the effectiveness of use of own funds. Accordingly, low ratio value indicates about inaction of the part of own funds.

The experts of the Information agency Credinform, taking into account the actual situation both in the economy as a whole and in sectors, has developed and implemented in the Information and Analytical system Globas the calculation of practical values of financial ratios that can be recognized as normal for a particular industry. For companies for the construction of residential and non-residential buildings the practical value of the equity turnover ratio was from 9,36 in 2016.

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

Table 1. Net profit, revenue, equity turnover ratio, solvency index Globas of companies for the construction of residential and non-residential buildings, being the largest in the Northwestern Federal District of Russia (TOP-10)
Name, INN, region Revenue, mln RUB Net profit, mln RUB Equity turnover ratio, times Solvency index Globas
2015 2016 2015 2016 2015 2016
1 2 3 4 5 6 7 8
EVORA LLC
INN 7804529206 St. Petersburg
3 353,6 10 092,8 41,7 165,7 80,31 80,99 270 Medium
VIRA LLC
INN 7802841385 St. Petersburg
7 928,4 8 258,1 60,4 87,1 110,12 71,47 251 Medium
YUNIKS LLC
INN 7705506818 Leningrad region
9 100,5 8 630,9 233,5 58,7 64,77 32,74 197 High
ENERGO-STROI LLC
INN 7801174139 St. Petersburg
10 892,5 10 364,2 110,5 554,8 133,64 28,23 170 Superio
RENAISSANCE HEAVY INDUSTRIES LLC
INN 7802772445 St. Petersburg
17 123,3 33 262,2 476,0 402,7 20,37 25,99 263 Medium
BALTSTROI NJSC
INN 7804079525 St. Petersburg
23 379,2 12 111,5 177,1 -156,1 23,93 13,21 286 Medium
RENAISSANSE CONSTRUCTION NJSC
INN 7814017341 St. Petersburg
21 984,2 18 124,2 460,1 597,8 18,44 10,97 200 Strong
PRODUCTION COMPANY VIS LLC
INN 7816158919 Leningrad region
24 789,3 19 964,6 2 512,2 2 813,9 10,22 4,96 219 Strong
LSR. NEDVIZHIMOST-SEVERO-ZAPAD LLC
INN 7826090547 St. Petersburg
27 937,3 33 947,0 6 864,6 6 777,1 2,07 1,93 188 High
SSMO LENSPETSSMU NJSC
INN 7802084569 St. Petersburg
22 453,7 20 910,9 6 284,5 3 579,2 0,81 0,66 195 High
Total by TOP-10 companies 168 942,1 175 666,5 17 220,6 14 880,9      
Average value by TOP-10 companies 16 894,2 17 566,6 1 722,1 1 488,1 46,47 27,12  
Industry average value 55,4 57,2 -1,3 0,4 8,02 9,36  

The average indicator of the equity turnover ratio of TOP-10 companies in 2016 is above the practical value. Two from TOP-10 enterprises have the ratio value above the practical one and eight enterprises - below (are marked with green and orange fillings in columns 6 and 7 in Table 1, respectively). Only two firms succeeded increasing the indicators of equity turnover in 2016 (are marked with green filling in column 7 in Table 1).

Eight from the TOP-10 companies reduced revenue or net profit indicators in 2016 in comparison with the previous period or have a loss (are marked with green and red fillings in columns 3 and 5 in Table 1).

Picture 1. Equity turnover ratio and revenue of companies for the construction of residential and non-residential buildings, being the largest in the Northwestern Federal District of Russia (TOP-10) Picture 1. Equity turnover ratio and revenue of companies for the construction of residential and non-residential buildings, being the largest in the Northwestern Federal District of Russia (TOP-10)

The industry average values of the equity turnover ratio tend to increase over the past seven years. It can point to an increase of the efficiency of use of company’s own funds in this field of activity (Picture 2).

Picture 2. Change in the average industry values of the equity turnover ratio of the Russian companies for the construction of residential and non-residential buildings in 2007 – 2016 Picture 2. Change in the average industry values of the equity turnover ratio of the Russian companies for the construction of residential and non-residential buildings in 2007 – 2016

All TOP-10 companies got the Superior and High or Strong and Medium solvency index Globas, that testifies to their ability to repay their debt obligations timely and fully.