Insufficiency of Serbian economy's operating performances: Manifestations, causes and main guidelines of recovery

Malinić, Dejan

doi:10.5937/ekopre1302041m

Cited by 6 publications

(10 citation statements)

References 2 publications

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“…The unique feature of Serbian companies is that cash gap shortening is the result of slowing down payments to suppliers and not the consequence of reduction in the inventory holding period nor the effect of speeding up collection of receivables (Malinić 2013). As many as 27.8% of the companies analysed operated with a negative cash gap as the consequence of increasing the days payables are outstanding.…”

Section: Cash Gapmentioning

confidence: 99%

“…Return on assets (ROA) equaled 5.14%, 3.36%, 4.34% and 4.80% in 2008 -11 respectively. At the same time, return on equity (ROE) in the first three years of the period analysed was negative, while in 2011 it reached the modest level of 2.16% (Malinić 2013). It is obvious that the effect of financial leverage is negative and that there is an unsustainable situation in the long term in which the owners of capital earn less than the creditors.…”

mentioning

confidence: 93%

“…In spite of that, especially in practice, special attention is often paid to liquidity. The reason probably lies in the fact that risks related to liquidity are the most explicit and that continuing insolvency is one of the key reasons for bankruptcy (Malinić 2013).…”

mentioning

confidence: 99%

See 2 more Smart Citations

Capital structure and liquidity during the financial crisis in Serbia: implications for the sustainability of the economy

Denčić-Mihajlov

Malinić

Grabiński

2015

Post-Communist Economies

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Section: Cash Gapmentioning

confidence: 99%

mentioning

confidence: 93%

See 1 more Smart Citation

Capital structure and liquidity during the financial crisis in Serbia: implications for the sustainability of the economy

Denčić-Mihajlov

Malinić

Grabiński

2015

Post-Communist Economies

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“…In the following sections of the paper I will show the two-component ROA in the Du Pont analysis system that will enable me to analyze the causes of the ROA decrease in greater detail -through revenue profitability and asset management efficiency analyzes. It is important to have in mind that the level of ROA partly depends on the industry's features while partly on strategy choice and implementation (Malinić, 2013). Although both analized companies belong to the same industry and it is expected that they have the similar degree of operating leverage, the fact that "Imlek" is more oriented toward functional food production than "Somboled" may cause different level and structure of costs, difference in production technologies, and as a consequence, different operating leverage, asset turnover and profit margins.…”

Section: Ratio Analysis Of Profitabilitymentioning

confidence: 99%

“…Only profitable companies are able to provide internal financing sources. Profitability is also positive sign for investors, that ultimately lead to long-term sustainable growth (Malinić, 2013). …”

Section: Dragana Draganacmentioning

confidence: 99%

Comparative analysis of functional food producers' profitability in Serbia: A leader-follower relation

Draganac¹

2016

Ekon Polj

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SummaryThe functional food market in Serbia is relatively young and insufficiently explored both from the aspects of producers and consumers, the qualitative aspect and especially from the quantitative aspect. The aim of this paper is to illustrate the results of the comprehensive quantititative financial analysis of profitability which focuses on the example of two companies. The main criterion applied in the selection of companies for the analysis represents the fact that one company is recognizable as a producer of foods with nutritive and health claims and is a leader within that market segment, whereas the other analyzed company mostly produces traditional products and has entered the aforementioned market segment at a later stage. The key idea is to do a comparative analysis of the profitability of these two companies for a four-year period. The profitability ratio analysis and the DuPont analysis system are used in the paper as well as the analysis of solvency and financial leverage effect. The vertical analysis of income statement is also done in order to reveal the relation between some cost categories and operating revenues. The research results lead to a conclusion that the company that mostly produces functional foods has higher profit margins and rates of return and is therefore in a more favourable position since it can benefit from positive effects of financial leverage to a higher extent. The profitability of the second relevant company is mostly based on the better asset turnover.

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Financial Indicators as Predictors of Illiquidity

2017

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The main objective of this study is the development of the model for predicting illiquidity, i.e. identification of financial indicators on the basis of which one can predict illiquidity. The research focus is on large companies in the Republic of Serbia. Bearing in mind the results of previous research and the assumptions underlying the logistic regression, the paper relied on logistic regression for drawing conclusions. For each of the 426 companies included in the sample, based on data from financial statements, financial ratios were calculated in respect of: liquidity, activity, solvency, profitability, and effectiveness, which were used as independent variables in the study. The research results show that in the prediction of illiquidity of large companies in Serbia, from a total of 23 financial indicators included in the model, the following distinguish themselves as significant: capital turnover ratio, inventory turnover ratio, fixed-asset turnover ratio, real asset coverage ratio, net profit ratio, return on total assets, return on equity, and effectiveness of main business activity.

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Insufficiency of Serbian economy's operating performances: Manifestations, causes and main guidelines of recovery

Cited by 6 publications

References 2 publications

Capital structure and liquidity during the financial crisis in Serbia: implications for the sustainability of the economy

Capital structure and liquidity during the financial crisis in Serbia: implications for the sustainability of the economy

Comparative analysis of functional food producers' profitability in Serbia: A leader-follower relation

Financial Indicators as Predictors of Illiquidity

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