scholarly journals Creating an Energy Analysis Concept for Oil and Gas Companies: The Case of the Yakutiya Company in Russia

Energies ◽  
2019 ◽  
Vol 12 (2) ◽  
pp. 268 ◽  
Author(s):  
Jun Yan ◽  
Lianyong Feng ◽  
Alina Steblyanskaya ◽  
Anton Sokolov ◽  
Nataliya Iskritskaya
Keyword(s):  
Financial Management ◽  
Oil And Gas ◽  
Energy Analysis ◽  
Financial Analysis ◽  
Annual Reports ◽  
Financial Efficiency ◽  
Energy Return On Investment ◽  
Energy Company ◽  
Full Picture ◽  
Annual Reporting

Recently, energy analysis has been added to Russian gas companies’ annual reporting system. This new practice indicates that corporate reports are improving their analyses by addressing energy issue and the financial efficiency of energy production. However, the use of summary energy indicators is limited in these annual reports. In this paper we review the history of energy analysis in Russia from the early USSR period to today. Under the guidance of energy return on investment (EROI), we compare energy efficiency indicators with financial efficiency coefficients. The results show that the value of the return on cost of sales (ROCS) is negative in certain instances, while the value of the energy return on cost of sales (EROCS) is extremely high under the example of the Russian energy company JSC “YATEC.” Money-based indicator values (ROCS and return on fix assets (ROFA)) fluctuate with internal company financial management goals, and from the outside depending on market prices. Meanwhile energy-based values (EROCS) remain stable. Added financial analysis and energy analysis in companies’ annual statements will supplement each other in practice and will present the full picture for company efficiency analysis.

ACCOUNTING FOR EXPLORATION COMPANIES — A FRESH APPROACH

1992 ◽  
Vol 32 (1) ◽  
pp. 445
Author(s):  
Mark Epper ◽  
John Charters
Keyword(s):  
Financial Reporting ◽  
Oil And Gas ◽  
Financial Analysis ◽  
Balance Sheet ◽  
Equivalent Amount ◽  
Balance Sheets ◽  
Annual Reporting ◽  
Australian Economy ◽  
Productive Asset ◽  
High Degree

This paper is directed at presenting new initiatives to tackle the accounting and financial reporting dilemmas which confront companies involved in petroleum exploration.Accounting for exploration expenditure has always been a sensitive issue for explorers. The single, most contentious, accounting issue for petroleum explorers is the extent to which pre-production expenditures should be capitalised (as an asset in the balance sheet) or expensed (in the profit and loss account). The accounting practices recommended in other major countries are less rigorous than those that are already applied in Australia, at a time when the Australian accounting practices are being criticised for their weakness.Existing Australian accounting standards dealing with the capitalisation of exploration and evaluation expenditure fail the basic tests for quality financial reporting information. The high degree of subjectivity inherent in the application of available accounting methods contributes to the poor investor (and potential investor) perception of the reported financial position of petroleum explorers; the integrity of financial analysis is severely impaired. Ultimately, as the Australian economy emerges from recession, and as both investor confidence and speculative interest return to Australian capital markets, a fresh approach to financial reporting by petroleum explorers will support future capital raising needs.A fresh approach is required because the accounting implications for all companies, including explorers and producers, have changed. All industry participants will need to re-evaluate the amounts included on their balance sheets in relation to exploration interests. In particular, companies and their directors must now consider the 'recoverable amount' of their exploration interests. However, the level of commercial uncertainty in this sector reduces the reliability of any determination of recoverable amount. The response of many companies has been, and will be, to write-off exploration expenditure, or set aside provisions of equivalent amount, so as to reduce the book value of their deferred expenditure, and so reduce their exposure to allegations of asset overstatement.The first part of our fresh approach is to follow the trend towards limited capitalisation of exploration expenditure by recommending that as expenditure is incurred on exploration, a provision be set aside of equivalent amount. In the event that exploration is successful, the provision would be reversed, thereby reinstating the expenditure as a productive asset. Whilst undoubtedly conservative and controversial, implementation of this recommendation will encourage exploration companies to provide more comprehensive supporting information as to drilling and exploration progress.The second part of that fresh approach is to enhance the quality of financial reporting by setting a higher standard of disclosure of oil and gas reserves, with particular emphasis on the consistent disclosure of proved and probable reserves. Current practice does not represent either consistent or high quality disclosure.The final part of our new approach is to require petroleum explorers to provide a prospective (or budgeted) statement of expected sources and applications of funds for the following year, as an integral part of their annual reporting package.

scholarly journals Energy analysis’ for the oil and gas enterprises - an example of JSC "Yakutsk fuel and energy company" (Russia)

2016 ◽  
Vol 11 (2) ◽  
Author(s):  
A.N. Steblyanskaya ◽  
◽  
L.V. Feng ◽  
A.N. Sokolov ◽  
N.I. Iskritskaya ◽  
...  
Keyword(s):  
Oil And Gas ◽  
Energy Analysis ◽  
Energy Company ◽  
Oil And Gas Enterprises

Analyzing the figures of consolidated statement of cash flows of the world's biggest publicly traded oil and gas corporations

2020 ◽  
Vol 19 (6) ◽  
pp. 1101-1120
Author(s):  
O.V. Shimko
Keyword(s):  
Public Sector ◽  
Cash Flow ◽  
Oil And Gas ◽  
Cash Flows ◽  
Annual Reports ◽  
Capital Expenditures ◽  
Publicly Traded ◽  
The Public ◽  
Statement Of Cash Flows ◽  
Oil And Gas Companies

Subject. The article investigates key figures disclosed in consolidated cash flow statements of 25 leading publicly traded oil and gas companies from 2006 to 2018. Objectives. The focus is on determining the current level of values of the main components of consolidated statement of cash flows prepared by leading publicly traded oil and gas companies, identifying key trends within the studied period and factors that led to any transformation. Methods. The study draws on methods of comparative and financial-economic analysis, as well as generalization of materials of consolidated cash flow statements. Results. The comprehensive analysis of annual reports of 25 oil and gas companies enabled to determine changes in the key figures and their relation in the structure of consolidated cash flow statements in the public sector of the industry. It also established main factors that contributed to the changes. Conclusions. In the period under study, I revealed an increase in cash from operating activities; established that capital expenditures in the public sector of the industry show an overall upward trend and depend on the level of oil prices. The analysis demonstrated that even integrated companies’ upstream segment prevail in the capital expenditures structure. The study also unveiled an increase in dividend payments, which, most of the time, exceeded free cash flows thus increasing the debt burden.

Main approaches to estimating the cost of shareholder equity of oil and gas producers

2020 ◽  
Vol 26 (3) ◽  
pp. 685-697
Author(s):  
O.V. Shimko
Keyword(s):  
Oil And Gas ◽  
Oil Prices ◽  
Minimum Cost ◽  
Free Cash Flow ◽  
Annual Reports ◽  
Comparative Approach ◽  
Economic Activities ◽  
Advantages And Disadvantages ◽  
Oil And Gas Producers ◽  
The Cost

Subject. The study analyzes generally accepted approaches to assessing the value of companies on the basis of financial statement data of ExxonMobil, Chevron, ConocoPhillips, Occidental Petroleum, Devon Energy, Anadarko Petroleum, EOG Resources, Apache, Marathon Oil, Imperial Oil, Suncor Energy, Husky Energy, Canadian Natural Resources, Royal Dutch Shell, Gazprom, Rosneft, LUKOIL, and others, for 1999—2018. Objectives. The aim is to determine the specifics of using the methods of cost, DFC, and comparative approaches to assessing the value of share capital of oil and gas companies. Methods. The study employs methods of statistical analysis and generalization of materials of scientific articles and official annual reports on the results of financial and economic activities of the largest public oil and gas corporations. Results. Based on the results of a comprehensive analysis, I identified advantages and disadvantages of standard approaches to assessing the value of oil and gas producers. Conclusions. The paper describes pros and cons of the said approaches. For instance, the cost approach is acceptable for assessing the minimum cost of small companies in the industry. The DFC-based approach complicates the reliability of medium-term forecasts for oil prices due to fluctuations in oil prices inherent in the industry, on which the net profit and free cash flow of companies depend to a large extent. The comparative approach enables to quickly determine the range of possible value of the corporation based on transactions data and current market situation.

Analyzing the liquidity ratios of the world's leading public oil and gas corporations

2020 ◽  
Vol 26 (7) ◽  
pp. 1571-1589 ◽  
Author(s):  
O.V. Shimko
Keyword(s):  
Public Sector ◽  
Oil And Gas ◽  
Comprehensive Analysis ◽  
Annual Reports ◽  
Main Factors ◽  
Economic Analyses ◽  
Oil And Gas Companies

Subject. This article explores the key liquidity figures of the twenty five largest public oil and gas companies between 2006 and 2018. Objectives. The article aims to determine the current values of the key liquidity figures of the largest public oil and gas companies, identify key trends in their changes within the study period, and identify the factors that have caused these changes. Methods. For the study, I used comparative, and financial and economic analyses, and generalization. Results. Based on a comprehensive analysis of the twenty five oil and gas companies' annual reports, the article identifies trends in the changes in the key liquidity indexes in the industry's public sector, and establishes the main factors that affected these changes. Conclusions and Relevance. The largest public oil and gas companies are able to maintain their own liquidity in times of crisis, even. The industry pays the most attention to increasing the instant liquidity ratios. The results of the study can be used to evaluate, forecast, and develop measures to enhance the liquidity of public oil and gas companies.

EXPLORING THE CONTENTS OF THE BALTIMORE AND OHIO RAILROAD ANNUAL REPORTS: 1827–1856

2000 ◽  
Vol 27 (1) ◽  
pp. 1-42 ◽  
Author(s):  
Gary John Previts ◽  
William D. Samson
Keyword(s):  
Annual Report ◽  
Annual Reports ◽  
Corporate Disclosure ◽  
University Of Alabama ◽  
Complete Collection ◽  
Archival Collection ◽  
Annual Reporting ◽  
The University ◽  
Disclosure Practice ◽  
Corporate Practice

In 1995, a nearly complete collection of the annual reports of the earliest interstate and common carrier railroad in the U. S., the Baltimore and Ohio (B&O), was rediscovered in the archival collection at the Bruno Library of the University of Alabama. Dating from the company's inception in 1827 to its acquisition by the Chessie System in 1962, the reports present a unique opportunity for the exploration, study, and analysis of early U.S. corporate disclosure practice. This paper represents a study of the annual report information made publicly available by one of America's first railroads, and one of the first modern U.S. corporations. In this paper, early annual reports of the B&O which detail its formation, construction, and operation are catalogued as to content and evaluated. Mandated in the corporate charter, the annual “statement of affairs” presented by the management and directors to stockholders is studied as a process and as a product that instigated the institutional corporate practice recognized today as “annual reporting.” Using a single company methodology for assessment of reporting follows a pattern developed by Claire [1945] in his analysis of U.S. Steel and utilized by other researchers. This study demonstrates the use of archival information to improve understanding about the origins and contents of early annual reports and, therein, related disclosure forms.

scholarly journals Corporate Social Responsibility Information in Annual Reports in the EU—A Czech Case Study

2019 ◽  
Vol 11 (1) ◽  
pp. 237 ◽  
Author(s):  
Radka MacGregor Pelikánová
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
International Standards ◽  
Annual Reports ◽  
The European Union ◽  
Eu Member States ◽  
Annual Reporting ◽  
Corporate Social ◽  
The Eu

The commitment of the European Union (EU) to Corporate Social Responsibility (CSR) is projected into EU law about annual reporting by businesses. Since EU member states further develop this framework by their own domestic laws, annual reporting with CSR information is not unified and only partially mandatory in the EU. Do all European businesses report CSR information and what public declaration to society do they provide with it? The two main purposes of this paper are to identify the parameters of this annual reporting duty and to study the CSR information provided by the 10 largest Czech companies in their annual statements for 2013–2017. Based on legislative research and a teleological interpretation, the current EU legislative framework with Czech particularities is presented and, via a case study exploring 50 annual reports, the data about the type, extent and depth of CSR is dynamically and comparatively assessed. It appears that, at the minimum, large Czech businesses satisfy their legal duty and e-report on CSR to a similar extent, but in a dramatically different quality. Employee matters and adherence to international standards are used as a public declaration to society more than the data on environmental protection, while social matters and research and development (R&D) are played down.

scholarly journals The Use of the Altman Model in Evaluation of Economic Performance of a Corporation in the Crisis Period in the Building Sector in the Czech Republic

2018 ◽  
Vol 66 (2) ◽  
pp. 409-421 ◽  
Author(s):  
Marcela Basovníková ◽  
Miloš Konečný ◽  
Roman Dubový ◽  
Andrea Masařová
Keyword(s):  
Economic Crisis ◽  
Economic Performance ◽  
Financial Management ◽  
Explanatory Variable ◽  
Financial Analysis ◽  
Building Industry ◽  
Z Score ◽  
Building Sector ◽  
The Czech Republic ◽  
Return On Equity

The article is focused on verification of the presumption of poor financial management in companies operating in the building sector. Many authors have written about a financial situation of enterprises in the building sector, especially after the economic crisis in the year 2008, when some of them claim and their results confirm that the main reason of bankruptcy of these companies was not the economic crisis but mainly poor financial management. Our results, which were obtained especially by the method of financial analysis and further by a mathematical and statistical method, support this statement. Within the mathematical and statistical methods, there was return on equity used as an explanatory variable, mainly because all variants of the Altman Z-Score are based on the calculation of ratio indicators, which do not include this type of return. Based on the conducted tests it is possible to state that it is highly desirable for the monitored enterprises in the building industry to reach positive values of return on equity.

scholarly journals AN ANALYSIS OF MCDONALD’S CORPORATION FROM MODERNIST AND POSTMODERNIST PERSPECTIVES

2019 ◽  
Vol 7 (2) ◽  
pp. 572-580
Author(s):  
Soleman Mozammel
Keyword(s):  
Organizational Culture ◽  
Data Collection ◽  
Literature Review ◽  
Technological Innovation ◽  
Design Methodology ◽  
Financial Analysis ◽  
Environmental Influence ◽  
Secondary Data ◽  
Annual Reports ◽  
Marketing Approach

Purpose: The purpose of the paper is to investigate McDonald’s Corporation and its social structure, environmental influence as well as it’s relationship between the modernist and postmodernist perspectives.  The study attempted to discuss both the modernist and postmodernist perspectives as well as examined McDonald’s Corporation’s various technological innovation of food assembly to draw conclusions. Design/Methodology/Approach:  Data was collected mainly through literature review on both modernist and postmodernist theory in order to understand the complexity of organizational culture, operation and leadership followed by linking them with the management of McDonald’s Corporation.  McDonald’s Corporation was chosen due to its global recognition and their management, marketing style along with profit and financial analysis that have been relevant to both scholars and practitioners.  Results:  The result have supported and with a conclusion that McDonald’s Corporation, like other large organizations follows modernist approach in order to secure their efficiency in production and administration, but at the same time their marketing approach is more of a postmodernist in relations to their cuisine, hyper-reality in franchised restaurant. Originality/Value: The current study is based mainly on modernist and postmodernist perspectives theories as well as secondary data collection from annual reports and peer reviewed scholarly articles of McDonald’s Corporation.

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