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 service profitability ratio (Table 1). The analysis was based on data of the Information and Analytical system Globas.
Service or product profitability ratio (%) is a ratio of sales profit to general expenses. In general, the profitability characterizes the production efficiency. The analysis of service profitability allows to estimate the necessity of providing the services or carrying out works. There are no normative values for this group of ratios due to wide rage depending on the industry.
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. The practical value of service profitability ratio for the air transport service companies in 2016 starts from 26,28%.
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.
|Name, INN, region||Net profit, mln RUB||Revenue, mln RUB||Service profitability ratio, %||solvency index Globas|
|NAO INTERNATIONAL AIRPORT SHEREMETYEVO
INN 7712094033 Moscow region
|-7 860,4||15 523,8||22 911,1||25 181,6||60,67||92,36||217 Strong|
|NAO Sochi International Airport
INN 2317044843 Krasnodar region
|857,2||1 405,3||3 623,5||4 579,6||51,27||86,41||203 Strong|
|PAO AIRPORT KOLTSOVO
INN 6608000446 Sverdlovsk region
|719,5||700,4||4 425,1||4 564,4||46,74||46,62||183 High|
|NORTHERN CAPITAL GATEWAY LIMITED LIABILITY COMPANY
INN 7703590927 Saint-Petersburg
|353,3||2 690,6||14 028,5||14 239,9||57,79||46,60||217 Strong|
|NAO FUEL REFILLING COMPLEX SHEREMETYEVO
INN 5047058580 Moscow region
|-193,5||173,7||4 827,8||4 007,4||1,51||13,49||239 Strong|
|LLC DOMODEDOVO PASSENGER TERMINAL
ИINN 5009097645 Moscow region
|507,3||1 484,3||11 023,0||10 882,4||13,07||13,03||249 Strong|
|LLC S 7 ENGINEERING
INN 5009049835 Moscow region
|227,3||368,4||3 273,0||4 137,0||13,29||10,66||214 Strong|
|LLC Gazpromneft – AERO Sheremetyevo
INN 5047095550 Moscow region
|54,9||1 421,2||22 761,2||24 448,6||0,05||8,50||176 High|
|LLC DOMODEDOVO AIRPORT HANDLING
INN 5009096948 Moscow region
|-218,5||448,7||6 905,6||7 939,3||5,17||8,46||263 Medium|
|LLC DOMODEDOVO INTERNATIONAL AIRPORT
INN 5009097148 Moscow region
|66,2||-50,6||3 978,7||4 404,3||9,22||-0,23||320 Adequate|
|Total for TOP-10 group of companies||-548,7||2 416,6||9 775,8||10 438,5|
|Average value within TOP-10 group of companies||-54,9||241,7||977,6||1 043,8||25,88||32,59|
|Industry average value||-10,5||81,9||353,6||395,0||14,50||19,42|
In 2016 the average value of service profitability ratio in TOP-10 group of companies is higher than practical and industry average values. In 2016 four companies from TOP-10 list have values higher than practical value, five companies have values lower than practical value and one company (LLC DOMODEDOVO INTERNATIONAL AIRPORT) – has negative value of the ratio (green, orange and red color in column 6 and 7 of Table 1 and Picture 1 respectively).
For the last 10 years, the average values of service profitability ratio were lower than practical values (Picture 2). This may be a sign of unfavorable trends in the industry.
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 DOMODEDOVO INTERNATIONAL AIRPORT has low level of solvency index Globas due to participation as a defendant in debt collection arbitration proceedings, unclosed enforcement lists and losses in balance figures. The forecast for index development is stable.
The companies with the highest volume of revenue (TOP-10) were selected for this ranking, according to the data from the Statistical Register for the latest available period (for 2016 and 2015). Then they were ranked by current assets to equity ratio (Table 1). The analysis was based on the data from the Information and Analytical system Globas.
Current assets to equity ratio (х) characterizes company’s ability to maintain the level of own working capital and to finance current assets with own sources. The ratio is calculated as the relation of own current assets of a company to total value of equity. The recommended value is from 0,2 to 0,5.
Decrease in the ratio shows slowdown in payment of receivables or tightening of conditions for granting trade credit from contractors. The increase demonstrates the growing opportunity to pay off current liabilities.
The specialists of the Information agency Credinform, taking into account the actual situation in the economy in general as well as in industries, have developed and implemented in the Information and Analytical system Globas the calculation of practical values of financial ratios, which may be considered as normal for a specific industry. For air transport companies the practical value of the current assets to equity ratio in 2016 ranges from 0,45 to 1,00.
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.
|Name, INN, region||Net profit, mln RUB||Revenue, mln RUB||Current assets to equity ratio (x), from 0,2 to 0,5||Solvency index Globas|
|LLC NORD WIND
INN 7733646084 Moscow
|-270,8||6,8||26 867,4||19 180,1||5,31||9,27||296 Medium|
|UTAIR AVIATION JSC
INN 7204002873 Khanty-Mansiysk Autonomous District – Yugra
|-18 426,4||589,7||49 664,9||55 661,7||3,90||4,23||403 Weak|
|LLC AVIAKOMPANIYA POBEDA
INN 9705001313 Moscow
|37,2||3 332,0||11 029,7||18 698,5||0,81||0,83||204 Strong|
INN 5448451904 Novosibirsk region
|139,5||966,8||18 531,7||27 512,0||0,60||0,66||198 High|
|JSC AK URALSKIE AVIALINII
INN 6608003013 Sverdlovsk region
|285,3||2 691,7||43 843,2||57 320,5||-0,88||0,17||178 High|
INN 7712040126 Moscow
|-18 927,8||30 616,8||366 307,5||427 900,5||-0,55||0,04||173 Superior|
|JSC SIBERIA AIRLINES
INN 5448100656 Novosibirsk region
|922,9||2 896,0||82 214,5||108 110,8||0,52||-0,14||176 High|
|KATEKAVIA - LIMITED COMPANY
INN 2459007621 Krasnoyarsk territory
|-161,5||275,8||12 409,8||20 976,7||1,77||-0,30||251 Medium|
|AIRBRIDGECARGO AIRLINES LLC
INN 7704548011 Moscow
|2 853,1||-1 075,8||58 746,1||71 484,5||-0,24||-1,18||282 Medium|
|ROSSIYA AIRLINES JSC
INN 7810814522 Saint Petersburg
|817,7||904,5||38 754,50||73 189,0||-13,46||-5,60||202 Strong|
|Total for TOP-10 companies||-3 273,1||4 120,4||70 836,9||88 003,4|
|Average value for TOP-10 companies||-327,3||412,0||7 083,7||8 800,3||-0,22||0,80|
|Average for the industry||-877,4||141,8||3,411,1||3 436,7||13,53||-7,83|
The average value of the current assets to equity ratio for TOP-10 companies is within the recommended value and higher than the industry average. None of TOP-10 companies in 2016 has indicators of the ratio within the range of recommended value, four companies – within the range of practical value and higher and six companies – lower than the limit of practical value (marked with green, orange and red colour in columns 6 and 7 of the Table 1 and at the Picture 1, correspondingly). Two companies out of TOP-10 decreased indicators of revenue, net profit or have got loss in 2016 compared to the previous period (marked with red filling in columns 3 and 5 of the Table 1).
The average industrial indicators of the current assets to equity ratio for the last 10 years were within the range of recommended or practical only in 2012-2013 (Picture 2). In general, this fact can demonstrate negative tendency in the industry.
Nine companies out of TOP-10 have got high levels of solvency index Globas, that shows their ability to pay off their debts in time and fully.
UTAIR AVIATION JSC has got satisfactory solvency index Globas, because of the information about their participation as defendants in arbitration court proceedings for the last 2 years, late performance of obligations, cases of unclosed enforcement orders and loss in the structure of balance sheet ratios. Forecast of the ratio development is negative.