scholarly journals Evaluation and analysis of factors influencing the financial sustainability of engineering enterprises

2019 ◽  
Vol 18 (3) ◽  
pp. 1-11 ◽  
Author(s):  
Maryna Berest ◽  
Ljubov Merenkova
Keyword(s):  
Financial Stability ◽  
State Level ◽  
Negative Influence ◽  
Engineering Industry ◽  
Financial Sustainability ◽  
Financial Assets ◽  
Financial Status ◽  
Net Profit ◽  
Factors Of Influence ◽  
Selection Of

Financial sustainability is one of the most important characteristics of an enterprise's financial position. It determines the level of the company independence from external entities and sources of financing, and, in turn, is conditioned by a set of multifaceted factors. In the case of negative influence of the external environment, engineering enterprises require research and selection of factors of influence on financial sustainability, which are formed in the internal environment of their functioning. The content analysis of definitions of the "financial stability of an enterprise" concept is carried out. Given the analysis results, the key informative characteristics of the enterprises are emphasized, such as state and structure of financial resources, solvency and profitability of the enterprise. In the context of selected areas and based on comparative analysis of literature sources and methods recommended at the state level for assessing the enterprise financial status, the study has formed a list of coefficients, the calculation and analysis of which is appropriate in evaluating assessment of financial enterprises. Using regression analysis, the study has revealed factors that most significantly influence the level of financial sustainability of engineering enterprises. It is established that the level of financial stability of the mechanical engineering industry enterprises in Kharkiv region is mainly influenced by the level of security of current liabilities of enterprises with financial current assets, the ability of enterprise assets to generate net profit and the share of equity in the financing sources structure. Therefore, to ensure the financial sustainability of engineering companies, management should take measures to ensure that they have a sufficient level of financial assets to cover their current liabilities and to optimize financial results in the context of increased net profit.

scholarly journals Achieving Portfolio Diversification for Individuals with Low Financial Sustainability

2020 ◽  
Vol 12 (17) ◽  
pp. 7073
Author(s):  
Yongjae Lee ◽  
Woo Chang Kim ◽  
Jang Ho Kim
Keyword(s):  
Financial Stability ◽  
Portfolio Diversification ◽  
Financial Sustainability ◽  
Individual Investors ◽  
Financial Assets ◽  
Portfolio Returns ◽  
Investment Size ◽  
Mean Variance Portfolio ◽  
The Relationship ◽  
Mean Variance

While many individuals make investments to gain financial stability, most individual investors hold under-diversified portfolios that consist of only a few financial assets. Lack of diversification is alarming especially for average individuals because it may result in massive drawdowns in their portfolio returns. In this study, we analyze if it is theoretically feasible to construct fully risk-diversified portfolios even for the small accounts of not-so-rich individuals. In this regard, we formulate an investment size constrained mean-variance portfolio selection problem and investigate the relationship between the investment amount and diversification effect.

Return on Assets and Financial Soundness Analysis: Case Study of Grain Industry Companies in Uzbekistan

2018 ◽  
Vol 4 (6) ◽  
pp. 52-56
Author(s):  
Anvar Avlokulov
Keyword(s):  
Financial Stability ◽  
Operating Cost ◽  
Negative Influence ◽  
Return On Assets ◽  
Financial Status ◽  
Grain Processing ◽  
Financial Soundness ◽  
Effective Instrument ◽  
Internal And External Factors

Ensuring financial stability and soundness of companies operating in a particular industry depends on the several internal and external factors, which can be classified as firm and macro levels. According to classical business finance theories, return on assets (ROA) are thought to be the most effective instrument of measuring monitoring the financial status of companies. In most literature, revenues from sales, total operating cost and asset structure of a company plays an important role in shaping an acceptable ROA indicator. In this paper, impact level of these factors on ROA was examined in case of three grain processing companies in Uzbekistan. Conducted OLS test showed that total operating cost and asset structure had negative influence on ROA, while revenues from sale supported the financial stability of the companies.

scholarly journals Empirical Analysis of Determinants of Profitability of Banks: Evidence from Indian Public Sector Banks

2017 ◽  
Vol 7 (2) ◽  
pp. 404
Author(s):  
Pritpal Singh Bhullar ◽  
Pradeep K. Gupta
Keyword(s):  
Public Sector ◽  
Financial Stability ◽  
Banking Sector ◽  
Negative Influence ◽  
Data Set ◽  
Public Sector Banks ◽  
Net Profit ◽  
Effect Regression ◽  
Financial Characteristics ◽  
The Impact

The aim of present study is to empirically examine the impact of bank-specific determinants on the profitability of Indian public sector banks. A balanced panel data set comprising 280 observations of 28 Indian public sector banks over the period of ten years from 2006-07 to 2015-16 is used. The relevant financial data are collected from the Capitaline database. Net profit to Total funds is used as proxy for profitability of banks. A fixed effect regression model is built by devising statistical software STATA. The empirical results demonstrate non-uniform effects of selected financial characteristics on banks’ profitability. The results also reveal that deposit ratios are the significant determinants of banks’ profitability while Other Income to Total Income and Interest Income to Total Funds results a significant negative influence on bank performance. The results provide valuable insights to the banks that may assist in sustaining the financial stability in banking sector.

scholarly journals DETERMINANTS OF GROWTH OF OFF BALANCE SHEET ACTIVITIES OF PRIVATE SECTOR BANKS: EMPIRICAL EVIDENCE FROM INDIA

2017 ◽  
Vol 5 (1) ◽  
pp. 61-72
Author(s):  
Anil Kumar Swain ◽  
Ganesh Prasad Panda
Keyword(s):  
Private Sector ◽  
Financial Stability ◽  
Balance Sheet ◽  
Financial Statements ◽  
Financial Assets ◽  
Product Lines ◽  
Net Profit ◽  
Different Types ◽  
Relationship Of ◽  
Bank Soundness

Off-balance sheet activities play a probatory role in helping the banks to hedge their financial assets in the on-balance sheet and enhancing the profitability of the banks. These are mainly the fee based incomes of banks having no or a little investment. Off balance sheet activities are an intriguing part of the financial statements. Presented as footnotes to accounts, these contingent items have an important economic impact that affects the future as well as the current shape of an institution. Off-balance sheet activities also help to improve the commercial banks’ scope of operations, and diversification of product lines and earnings. The business of financial intermediaries has witnessed a large increase in the use of off balance sheet activities during the last 40 years. This growth that have come as a response to the need of corporate and firms for different types of guarantees did have a conflicting impact on financial stability and bank soundness. This study is designed to investigate the OBS exposure of Indian Private Sector banks. This study found that CRAR and LT positively affect the OBS activities where as NNPA negatively affects the OBS of private sector banks and there is a relationship of 89 % of net profit with OBS activities of private sector banks.

FINANCIAL CONTROLLING IN THE SYSTEM OF FINANCIAL MANAGEMENT

2018 ◽  
Vol 28 (1) ◽  
pp. 137-141
Author(s):  
Petya Yordanova – Dinova
Keyword(s):  
Comparative Analysis ◽  
Financial Management ◽  
Financial Stability ◽  
Business Environment ◽  
Innovative Approach ◽  
Financial Sustainability ◽  
The Common ◽  
The Difference ◽  
Effective Use ◽  
And Control

This paper explores the comparative analysis of the financial controlling, who is a result from the common controlling concept and the financial management. In the specialized literature, financial controlling is seen as an innovative approach to financial management. It is often presented as the most promising instrument of financial diagnostics. Generally speaking, financial controlling is seen as a process of managing the company`s assets which are valued in monetary measures. The difference between the financial management and the financial controlling is that the second covers all functions of management, analysis and control of finances, aiming at maximizing their effective use and increasing the value of the enterprise. Financial controlling is often seen as a function of the common practice of financial management. Its objective is to preserve the financial stability and financial sustainability of enterprises operating in a highly aggressive business environment.

The financial stability of corporations: theoretical aspect

2018 ◽  
Vol 34 (1) ◽  
pp. 161-165 ◽  
Author(s):  
M. V. Zhukova
Keyword(s):  
Financial Market ◽  
Financial Stability ◽  
Theoretical Aspect ◽  
Financial Sustainability ◽  
Effective Demand ◽  
Internal Factors ◽  
The Many

Financial sustainability of corporations is an important multifactorial phenomenon that determines the competitiveness, solvency and capacity of the corporation to innovation and expanded reproduction. In connection with the complex and multipartite financial stability of corporations, the many writers who studied in this field, have different conceptual approaches to the interpretation of this financial category. The financial stability of corporations depends on external and internal factors, priority of which are: competition in the corporate segment, as effective demand for the products, factors and tendencies of development of the financial market.

Financial Sustainability and Infrastructure Finance

2018 ◽  
Author(s):  
Felipe Carvalho de Rezende
Keyword(s):  
Financial Institutions ◽  
Financial Stability ◽  
Global Financial Crisis ◽  
Financial Sustainability ◽  
Infrastructure Finance ◽  
Strategic Role ◽  
Development Banks ◽  
The Global Financial Crisis ◽  
Capital Development

Among the lessons that can be drawn from the global financial crisis is that private financial institutions have failed to promote the capital development of the affected economies, and to dampen financial fragility. This chapter analyses the macroeconomic role that development banks can play in this context, not only providing long-term funding necessary to promote economic development, but also fostering financial stability. The chapter discusses, in particular, the need for public financial institutions to provide support for infrastructure and sustainable development projects. It concludes that development banks play a strategic role by funding infrastructure projects in particular, and outlines the lessons for enhancing their role as catalysts for mitigating risks associated with such projects.

scholarly journals An IoT-Based Participatory Antitheft System for Public Safety Enhancement in Smart Cities

Smart Cities ◽  
2021 ◽  
Vol 4 (2) ◽  
pp. 919-937
Author(s):  
Nikos Papadakis ◽  
Nikos Koukoulas ◽  
Ioannis Christakis ◽  
Ilias Stavrakas ◽  
Dionisis Kandris
Keyword(s):  
Smart Cities ◽  
Low Cost ◽  
Negative Influence ◽  
Asset Tracking ◽  
Tracking Tasks ◽  
Tracking Process ◽  
The Impact ◽  
Operation Center ◽  
Safety Enhancement ◽  
Selection Of

The risk of theft of goods is certainly an important source of negative influence in human psychology. This article focuses on the development of a scheme that, despite its low cost, acts as a smart antitheft system that achieves small property detection. Specifically, an Internet of Things (IoT)-based participatory platform was developed in order to allow asset-tracking tasks to be crowd-sourced to a community. Stolen objects are traced by using a prototype Bluetooth Low Energy (BLE)-based system, which sends signals, thus becoming a beacon. Once such an item (e.g., a bicycle) is stolen, the owner informs the authorities, which, in turn, broadcast an alert signal to activate the BLE sensor. To trace the asset with the antitheft tag, participants use their GPS-enabled smart phones to scan BLE tags through a specific smartphone client application and report the location of the asset to an operation center so that owners can locate their assets. A stolen item tracking simulator was created to support and optimize the aforementioned tracking process and to produce the best possible outcome, evaluating the impact of different parameters and strategies regarding the selection of how many and which users to activate when searching for a stolen item within a given area.

Sign in / Sign up

Export Citation Format

Share Document