Information agency Credinform has prepared a ranking of Russian small companies in wholesale trade. Russian small companies that are wholesalers and are included in the Register of small and medium-sized enterprises of the Federal Tax Service, and have 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 debt to assets ratio (Table 1). The analysis was based on the data from the Information and Analytical system Globas.
Sales revenue and net profit demonstrate a company’s size and its business efficiency, and debt to solvency ratio indicates the risk of insolvency. It is particularly important to consider the structure of liabilities: both current and non-current. Long-term projects are not to be financed by short-term loans that are due less than in 12 months. Unforeseen conditions may have a great impact on a company’s solvency.
In 2017, almost two-thirds of the companies had a debt to assets ratio that is above the average industry one. It characterizes the wholesale industry as a one that is more dependent on external funds.
The indicators and financial ratios under consideration, as well as their change, are to be considered to get a full and comprehensive vision of the financial standing of the sector companies. See the TOP-10 companies ranking below (Table 1).
|Name, INN, region||Sales revenue, billion RUB||Net profit (loss), million RUB||Debt to assets ratio||Solvency index Globas|
|ORIMI TRADE LIMITED
|EAST TRADE LLC
|TRADE HOUSE AGRO-LINE LLC
|PRODUCT MOSAIC LLC
|TRADE HOUSE GLOBAL MARKET LLC
|CHEESE MASTER LLC
|VELES GROUP LLC
|Total for TOP-10 companies||78,50||73,80||3931||8645|
|Average value for TOP-10 companies||7,85||7,38||393||864||0,87||0,86|
|Industry average value||0,122||0,125||4||2||0,73||0,73|
— improvement compared to prior period, — decline compared to prior period.
In 2017 seven of TOP-10 companies improved their sales revenue, and seven companies had a higher net profit. Average sales revenue of TOP-10 companies declined, and debt to assets ratio stayed the same.
In 2017 43% of total industry revenue belonged to the companies from the Central Federal District (Picture 2). Moscow and St. Petersburg have 26.2 and 11.4% of total revenue respectively. Moscow is also leading at assets and liabilities volume that are 29.6 and 28.9% respectively. TOP-5 regions by revenue of small companies in wholesale trade are Moscow, St. Petersburg, Moscow region, Leningrad region and Novosibirsk region. The same is regarding debt to assets ratio. This indicates that central regions of Russia are attractive for small businesses.
During the decade average debt to assets ratio clearly tends to grow (Picture 3). The growth peaked in 2014. The last 3 years showed a gradual decline in debt to assets ratio. In general, the sector needs time to get to the same level as 8 years ago.
Information agency Credinform has observed trends in the activity of the largest Russian enterprises engaged in collection, processing and disposal of waste. Companies with the largest volume of annual revenue (TOP-10 and TOP-1000), were selected for the analysis, according to the data from the Statistical Register for the latest available periods (for 2015-2017). The analysis was made on the basis of the data of the Information and Analytical system Globas.
|№ in TOP-1000,
name, INN, region, main type of activity
|Net assets value, mln RUB||Solvency index Globas|
|1 GUP EKOTEKHPROM
INN 7706043312 Moscow
|2 JSC WASTE MANAGEMENT
INN 7725727149 Moscow
Processing and disposal of non-hazardous waste
|3 FEDERAL STATE-OWNED COMPANY GORNIY
INN 6418001160 Saratov region
|4 SPB GUDP CENTR
INN 7812021254 Saint-Petersburg
|5 SUE SIA Radon
INN 7704009700 Moscow
|996 JSC KEK
INN 1655041708 The Republic of Tatarstan
|997 JSC Special Facility for Disposal
INN 2320189736 Krasnodar region
|998 LLC WASTE DISPOSAL - VOLGOGRAD
INN 3426013572 Volgograd region
|999 LLC EVN-Ekotechprom MSZ 3
INN 7737520364 Moscow
|1000 JSC Concel
INN 7735093237 Moscow
Disposal of sorted waste
— growth of the indicator to the previous period, — decline of the indicator to the previous period.
For ten years average amounts of net assets of TOP-1000 companies have increasing tendency (Picture 1).
Share of companies with insufficiency of property among TOP-1000 for the last three years tends to increase (Picture 2).
The revenue of 10 leaders of the industry made 19% of the total revenue of TOP-1000 companies in 2017(Picture 3). It demonstrates relatively high level of competition.
In general, a decrease of indicators of average revenue volume is observed (Picture 4).
Profit and losses
The profit volume of 10 leading enterprises in 2017 made 25% of the total profit of TOP-1000 companies (Picture 5).
Over a ten-year period, the average values of profit indicators of TOP-1000 companies tend to increase (Picture 6).
Over the three-year period average values of net profit indicators of TOP-1000 companies have increasing tendency, besides, average amount of net loss is increasing. (Picture 6).
Key financial ratios
Over the ten-year period the average indicators of the current liquidity ratio were above the range of recommended values – from 1,0 up to 2,0 with increasing tendency (Picture 8).
Increasing tendency in the indicators of the return on investments ratio has been observed for ten years. (Picture 9)
This business activity ratio showed a tendency to decrease for ten-year period (Picture 10).
The largest share in the total revenue of TOP-1000 is owned by companies, specializing in waste collection (Picture 11).
76% of TOP-1000 companies are registered in the Register of small and medium enterprises of the Federal Tax Service of the RF. Besides, share of the companies in the total revenue of TOP-1000 amounts to 61% in 2017, that is almost three times exceeds the average indicator (Picture 12).
Main regions of activities
TOP-1000 companies are unequally distributed on the territory of Russia because of peculiarities of the geographic position and registered in 77 regions. The largest companies in terms of revenue volume are concentrated in Moscow and Saint-Petersburg (Picture 13).
Financial position score
An assessment of the financial position of TOP-1000 companies shows that majority of companies are in an above the average financial position (Picture 14).
Industrial production index
According to the data from the Federal State Statistics Service, during 12 months of 2018 increasing tendency for the industrial production index of the enterprises engaged in collection, processing and disposal of waste is observed (Picture 16).
Comprehensive assessment of the activity of largest enterprises engaged in collection, processing and disposal of waste, taking into account the main indexes, financial indicators and ratios, demonstrates the presence of favorable trends (Table 2)
|Trends and assessment factors||Share of factor, %|
|Rate of increase (decrease) of average amount of net assets||10|
|Increase / decrease of share of companies with negative values of net assets||-10|
|Increase (decrease) rate of average revenue amount||-10|
|Rate of competition / monopolization||10|
|Increase (decrease) rate of average net profit (loss) amount||10|
|Increase / decrease of average net profit amount of TOP-1000 companies||10|
|Increase / decrease of average net loss amount of TOP-1000 companies||-10|
|Increase / decrease of average industrial values of the current liquidity ratio||5|
|Increase / decrease of average industrial values of the return on investments ratio||10|
|Increase / decrease of average industrial values of the assets turnover ratio, times||-10|
|Share of small and medium enterprises in the industry in terms of revenue volume more than 22%||10|
|Financial position (major share)||10|
|Solvency index Globas (major share)||10|
|Industrial production index||10|
|Average value of factors||4,0|
— positive trend (factor) , — negative trend (factor).