CONTENT
Introduction
The success, performance, and long-term viability of any enterprise depend on a continuous sequence of sound management decisions. Each of these decisions ultimately has economic consequences on the activities of the enterprise. In essence, the process of managing any enterprise is a series of economic decisions.
One of the most important areas of activity of any company is investment operations, i.e. operations related to investments Money in the implementation of projects that will ensure that the company receives benefits over a sufficiently long period of time.
A correct assessment of the attractiveness of an enterprise allows the enterprise to receive stable income and make informed decisions.
Target course work: consideration of methods for assessing the attractiveness of an enterprise.
Coursework objectives:
- consider the concept of enterprise attractiveness;
consider factors influencing the attractiveness of an enterprise;
consider methods for assessing the attractiveness of an enterprise.
1. The essence and concept of the attractiveness of an enterprise
Investment activity - investing funds (investing) and carrying out practical actions with the aim of generating income or achieving another useful effect - is inherent to one degree or another in any enterprise.
With a large selection of types of investments, an enterprise is constantly faced with the task of choosing an investment solution. Making an investment decision is impossible without taking into account the following factors: type of investment, cost of the investment project, multiplicity of available projects, limited financial resources available for investment, risk associated with making a particular decision, etc.
To determine the maximum efficiency of an investment decision, the concept of enterprise attractiveness is used.
Most often, the term “attractiveness” is used to assess the feasibility of investing in a particular object, select alternative options and determine the efficiency of resource allocation, i.e. The attractiveness of an enterprise is the feasibility of investing temporarily free funds in it.
Thus, attractiveness is characterized by the state of the enterprise, its further development, prospects for profitability and growth.
The main source of information for determining the attractiveness of an enterprise is its accounting (financial) statements for the last two calendar years and the last reporting period.
The attractiveness of the enterprise includes:
- general characteristics
technical base enterprises – the nature of technology; availability of modern equipment, warehouse facilities, and own transport; geographical position, proximity to transport communications.
Characteristics of the technical base of the enterprise - the state of technology, the cost of fixed assets, the coefficient of physical and obsolescence of fixed assets.
Range of products that are produced.
Production capacity – maximum possible release products per unit of time. Production capacity characterizes the operation of fixed assets in such conditions under which it is possible to fully use the potential capabilities inherent in the means of labor.
The place of the enterprise in the industry, on the market, the level of its monopoly.
Characteristics of the management system (organizational structure of the enterprise). Large enterprises specializing in the production of complex, labor-intensive types of products usually consist of dozens of workshops, laboratories, and departments. To coordinate their activities, a hierarchical management structure is created.
- Linear - the most simplified system, providing for unity of command
Linear-staff - used in medium-sized enterprises, as well as in large ones - in the management of workshops and departments
Functional - the head of the enterprise delegates part of his powers to functional deputies or heads of functional departments
Matrix - consists in the fact that the enterprise appoints a person responsible, for example, for mastering the production of a new product, to whom the powers of the director for organizing the development of the product are transferred.
Mixed is a simple combination of the listed four forms (at the lower level - at the brigade level - there is a linear one, on the average - at the workshop or department level - line-staff, at the highest level - at the enterprise level - functional and partially matrix forms of management), however, more often there is a synthesis of various forms acting together at all levels of the economic hierarchy.
Authorized capital, owners of the enterprise. The authorized capital represents the amount of contributions from the founders of an economic entity to ensure its life. The size of the authorized capital corresponds to the amount recorded in the constituent documents and is unchanged.
Production cost structure. Production costs are the total costs of material resources and necessary labor, which show how much it costs to produce products at a given enterprise. The magnitude of these costs determines the monetary value of the costs associated with the use of raw materials, fuel, energy, etc.
- The volume of profit and directions of its use. Profit (loss) represents the final financial results management of an enterprise and is defined as the difference between revenue from sales of products (works, services) without value added tax and excise taxes and production and sales costs included in the cost of products (works, services).
In conditions of market relations, an enterprise must strive, if not to obtain maximum profit, then at least such a volume of profit that would allow the enterprise not only to firmly maintain its position in the market for its goods and services, but also to ensure the dynamic development of its production in competitive conditions. This requires knowledge of the sources of profit generation and methods for their best use.
In market conditions, as world practice shows, there are three main sources of profit:
- making a profit due to the monopoly position of the enterprise in the production of a particular product or the uniqueness of the product
the second source is directly related to production and business activities
the third source is related to the innovative activities of the enterprise
Assessment of the financial condition of the enterprise.
2. Factors influencing the attractiveness of an enterprise
The attractiveness of an enterprise depends on many factors, among which the following can be noted: financial position, risk, efficiency of production development, dividend policy, information on activities, etc.
All factors influencing the attractiveness of an enterprise can be divided into two groups: external and internal. They form systems of external and internal risks of an investment project, which are of particular importance for solving this problem.
The main factors that should be taken into account when assessing the attractiveness of an enterprise:
Industry affiliation.
It is well known that the competitiveness of products on the market largely depends on the reputation of the relevant industry and country in the world market. When competing with an enterprise in an industry that successfully operates in the market, an advantage is provided by the fact that, as a rule, the enterprise itself is associated with all enterprises in the country that are part of this industry. Something similar is happening to enterprises in the country that are part of an industry whose products do not enjoy a high reputation. It is unlikely that the market will react positively to a new product from a previously unknown company, even if it is of high quality. It will take many years for this fact to be recognized.
Owners of the enterprise. Nature of ownership, that is, who owns it controlling interest shares and large blocks of shares, is essential not only for current activities enterprise, but also for its successful development. Depending on the nature of ownership, an enterprise management system should be built. An important aspect is also the reputation of the owners in society and in the market. Negative information can have a negative impact on the success of the project.
Production potential. The state of an enterprise's production potential has a direct impact on its investment attractiveness, but is practically not taken into account by investors and creditors. It is more common to assess the financial condition or talk about the existing capital of an enterprise and the effectiveness of its management. But it should be borne in mind that in fact capital works only after the transition to the production form, becoming the structure of production potential. Thus, capital turns into fixed assets, working capital and intangible assets. It is possible to obtain a quantitative assessment of the amount of capital in monetary form, contained in the components of production potential listed above for any enterprise. But there is another part that cannot be reliably expressed in monetary form. This part of the production potential includes: the personnel component, the level of labor organization and the level of production organization. But this part cannot be strictly quantified. Without it, the production potential of an enterprise practically does not exist, since fixed assets and intangible assets cannot work on their own.
Enterprise management. When analyzing management, the macro-level of enterprise management is studied, from the quality of the development of documents related to management and the presence of strategic management, to how perfect the system is tax planning enterprises.
Location. IN Russian conditions this factor can be decisive in the attractiveness of the enterprise. Today, in almost every region of the country you can find an enterprise and often they are city-forming enterprises, which it is not possible to bring to a competitive state, and, therefore, to recoup the investments made in them. This is an investment dead end - a dead zone for investment projects implemented on a commercial basis.
Relations with authorities. The investor needs to find out what kind of relationship has developed with the local authorities. Will the government contribute to the success of the project or erect obstacles to its implementation?
Investment program. The lender and investor need to familiarize themselves with the documents not only for the investment project being financed or financed, but also for the entire set of investment projects of the enterprise. Analysis of such a program is not an easy and delicate matter, it is in every specific situation should be carried out taking into account the actual conditions and interests of the parties involved in the investment project. An objective assessment of all really existing risks is necessary.
3. Methods for assessing the attractiveness of an enterprise
Based on world practice, the assessment of the attractiveness of an enterprise is carried out if the necessary data is available, such as:
1) cash flow
2) balance sheets
3) profit and loss statement
For European and Russian companies, the main indicator of investment is the payback period and capital productivity. For Japanese companies, everything is different; there, the leading role belongs to a strategic assessment of the market position. To evaluate US investment performance, two indicators are usually used: investment efficiency and residual income.
As for the stages that are used in the process of making investment decisions, then this moment There are three main ones:
1) size of investment and identification of sources of financing
2) assessment of expected cash flows from the implementation of the investment project
3) assessment of the financial condition of the enterprise and the chances of its participation in investment activities
1. Perhaps the most important stage in assessing attractiveness is the analysis of the financial and economic activities of the enterprise. With its help, the attractiveness and prospects of a given enterprise are assessed from the point of view of the possibility of mobilizing available sources.
The financial condition of an enterprise is a concept and its characteristics that are based on an assessment of the efficiency of allocation of funds, the presence of the necessary financial base, the organization of payments and the stability of solvency. As is known, the data financial statements serve as a source of information to characterize the financial condition; these data are assessed for a clearly defined period.
Various methods created to assess the financial position of an enterprise, which are based on system analysis, are very widespread. financial ratios. With all their diversity, they should include indicators of the following areas for assessing the financial condition of the enterprise:
- liquidity indicators
indicators financial stability
business activity indicators
profitability indicators
The unsatisfactory state of the enterprise's liquidity will be indicated by the fact that the enterprise's need for funds exceeds their actual receipts. To determine whether an enterprise has enough money to pay off its obligations, it is necessary, first of all, to analyze the process of receipts from economic activities and the formation of the balance of funds after the repayment of obligations to the budget and extra-budgetary funds, as well as the payment of dividends. Liquidity analysis also requires a thorough analysis of the structure of the enterprise's accounts payable. It is necessary to determine whether it is “standing” (for example, a debt to a supplier with whom there is a long-term relationship) or overdue, i.e. one whose maturity date has passed.
Liquidity analysis is carried out on the basis of comparing the volume of current liabilities with the availability of liquid funds. The results are calculated as liquidity ratios based on data from the relevant financial statements. The main ones are current, quick and absolute liquidity ratios. The denominator in all the given indicators is the same, i.e. urgent urgent obligations.
- Coefficient current liquidity(coverage ratio) shows how many units of the company's current assets fall on one unit of current liabilities. This indicator is of particular importance for the evaluation of the enterprise by buyers and investors. The standard value of the coverage coefficient is 1.
current liabilities are accounts payable and short-term loans and borrowings
- The instant (quick) liquidity ratio determines that part of the obligations that can be repaid not only from cash, but also from expected receipts for shipped products (work performed, services provided). The standard value of this indicator is 0.6 – 0.8.
- The absolute (total) liquidity ratio shows what part of current liabilities can be repaid with assets that have absolute liquidity. Standard value: 1?K AL?2.
- The ratio of short-term receivables to payables characterizes the company’s ability to pay creditors at the expense of debtors within 1 year. Recommended value is 1.
- level of coverage of material working capital (inventories) with stable sources of financing
solvency of the enterprise
share of own or stable sources in total sources of financing
where A1 – the most liquid assets: cash and short-term financial investments
A2 – quickly realizable assets: accounts receivable and other current assets
P1 – the most urgent obligations: accounts payable
P2 – short-term liabilities: short-term loans and borrowings
By doing this condition the company is considered solvent.
Financial stability is the degree to which reserves and costs are covered by the sources of their formation. To characterize the degree of financial stability, you can use a three-component vector of financial stability:
If the coordinate value is positive, then it is assigned the value 1, if negative – 0.
Analysis of financial stability according to the criterion of the degree to which reserves are covered by stable sources of financing, as well as according to the criterion of the solvency indicator, makes it possible to obtain a complete picture of the current and expected level of financial stability.
Business activity analysis of an enterprise allows you to assess the effectiveness of the main activities of the enterprise, which is characterized by the turnover rate of the enterprise’s financial resources.
The following indicators are used to analyze business activity:
The turnover ratio of current assets determines how much revenue falls on a unit of working capital or the number of turnover per year:
The inventory turnover ratio characterizes the number of turnovers of funds invested in inventories:
The accounts receivable turnover ratio shows how many times revenue exceeds accounts receivable:
At this stage, the turnover period of current assets is also calculated (in days), which characterizes the time from the expenditure of funds for the production of products to the receipt of money for its sale:
where N is the time period for which the analysis is carried out (in days)
An increase in the turnover of current assets and a reduction in the period of their turnover indicates an increase in the efficiency of using current assets.
Profitability – this is a relative indicator of profit, which reflects the relationship of the effect obtained (income, profit) with cash or resources used.
Return on assets (capital) is calculated as the ratio of profit to the average annual value of the enterprise’s assets:
where is the net profit from product sales
– average annual cost assets (balance sheet currency)
Return on assets shows the amount of net profit that falls per unit of assets; the standard value is greater than 0.
1. Regulation of return on capital comes down to the impact on product profitability and asset turnover. If it is impossible to increase the profitability of products, then by increasing the turnover of attracted resources, the return on capital is increased.
2. In the context of economic downturns characteristic of our country, it is very important to focus on enterprises that remain profitable in any difficult economic situation. Such information can be obtained based on the dynamics of the enterprise's profit for a certain number of previous periods according to the income statements.
3. Based on the data from the same report, the ratios of the coefficients for increasing revenue from the sale of goods, services and the total value of assets are determined. If we observe that revenue growth rates are greater than asset growth rates, then we can safely declare an increase in the efficiency of use of enterprise resources. If, on the contrary, the value of assets increased faster than sales revenue, then the conclusion is: the efficiency of resource use fell.
4. The presence or absence of the enterprise’s own working capital is extremely important. The amount of these funds is determined as the difference between current assets and short-term liabilities. The availability of own working capital is the most important indicator of the financial strength of an enterprise and reliability for partners.
5. Analysis of the range of products is of undoubted interest to investors. Such an analysis is considered from the point of view of the interaction of fixed and variable costs in the cost system. Enterprises that have a very high level of fixed costs in their total amount production, are extremely susceptible to the slightest changes in sales volume.
Fixed costs are those costs whose amount does not change when production volume changes. These include, for example: rent for premises, salaries of managers, etc.
If product sales fall, fixed costs will remain the same, and ultimately profits will fall even more than revenue. Variable costs change in the same way as production volume. Thus, we can conclude that business risk in enterprises where there are more fixed costs is much higher than where variable costs are predominant.
6. In the enterprise’s reports, special attention should be paid to the presence of losses, loans and credits not repaid on time, and necessarily overdue receivables and payables.
Formation of information and analytical support for assessing the attractiveness of an enterprise based on these principles will help reduce risk and increase the efficiency of investment and financial decisions made.
When assessing the attractiveness of an enterprise, the effectiveness of investments is assessed.
Investment efficiency determined using a system of methods that reflect the ratio of investment-related costs and benefits. The methods allow us to judge the economic attractiveness of investment projects and the economic advantages of one entity over another.
The set of methods used to evaluate the effectiveness of investments can be divided into two groups: dynamic (taking into account the time factor) and static (accounting).
Rice. 1. Classification of investment analysis methods
The most important of the static methods is the “payback period,” which shows the liquidity of a given project. The disadvantage of static methods is the lack of consideration of the time factor.
Dynamic methods that take into account the time factor reflect the most modern approaches to assessing the effectiveness of investments and prevail in the practice of large and medium-sized enterprises in developed countries. In Russian economic practice, the use of these methods is also due to the high level of inflation.
Dynamic methods are often called discount methods, since they are based on determining the current value (i.e., discounting) of cash flows associated with the implementation of an investment project.
The following assumptions are made:
- cash flows at the end (beginning) of each project implementation period are known
an estimate has been determined, expressed in the form of an interest rate (discount rate), according to which funds can be invested in a given project. As such an assessment, the following are usually used: the average or marginal cost of capital for the enterprise; interest rates on long-term loans; required rate of return on invested funds, etc. Significant factors influencing the value of the assessment are inflation and risk.
Svetlana Belova
Sooner or later, all enterprises are faced with the question: “Shouldn’t we look for investment on the side?” What if you manage to get into your network a kind, generous, ideologically close and generally sympathetic investor... Timid voices protest, justifying themselves with the desire to preserve complete independence and their own pride, the majority savor the upcoming benefits:
1. “One capital is good, but two is better.”
Increase equity useful also in the field of production:
To maintain existing market share;
To ensure the development of the company’s activities;
To develop and implement new projects.
and in the field of financing:
To replace the method of financing current activities (lending is replaced by own funds);
If there is a high share of equity capital in the balance sheet, it is easier for an enterprise to attract resources in the form of loans from banks, loans from other partners, etc.
2. “What is the demand, so is the price.”
We would like to keep up with others and maintain the price (or price fluctuations J) of our own shares at the level that we ourselves need:
To make a profit by trading their own shares, such an opportunity actually exists for large issuers;
To retain existing investors and their further “promotion”;
To expand the circle of potential investors, including small investors;
To ensure that management or “their” investors can buy back securities at the minimum price.
3. “Let us look for a prince who would rule over us and judge us rightfully.”
Often a strategic investor is needed who could establish management at an enterprise and restore its position in the market.
4. “Bartholomew’s Night.”
Sometimes the purpose of attracting investment is to redistribute power in a company, achieved through an additional issue, the main part of which is acquired by an investor aimed at seizing power.
5. “From the frying pan into the fire.”
It also happens the other way around. In times of instability and struggle for power, timely attraction of investments can be a chance to maintain and strengthen control over the enterprise.
And in general, it’s not for nothing that they say: “Don’t put off work until Saturday, and marriage until old age.”
Maiden beauty - long braid
So, having decided for one reason or another to search for investment, the management of the enterprise enters the capital market and discovers that the number of investors on it is clearly less than the number of fellow applicants. In addition, most interactions between investors and issuers are carried out through the direct acquisition of a block of shares in an enterprise (and not just a block, but a controlling one). Venture funding and project investing, alas, are much less common.
Investment consumers desperately compete with each other for the most attractive sources of financing (“the heart is not a tablecloth, you cannot spread it out in front of everyone”). Note that there is also competition between investors, caused by their desire to finance companies with the least risk and the greatest profit for themselves, as a result of which all the “grooms” crowd around a couple of “brides”, ignoring the rest. The question involuntarily arises: “Is our enterprise worse?”
IN developed economy natural indicator The investment attractiveness of a company is determined by the market value of its shares. In the Russian economy, the exchange rate value depends on anything - on the expectations of brokers, on the dynamics of the overseas Dow Jones, on operations carried out by companies that are politically close to issuers, etc., but not always on the financial and production successes of the manufacturers themselves.
In recent years, the practice of assessing investment attractiveness has become established Russian companies according to the following parameters:
1. Development potential.
2. Financial condition.
4. Controllability.
5. Intangible assets.
6. Political and macroeconomic environment.
In addition to factors related directly to the activities of the enterprise, investors also evaluate the investment attractiveness of the enterprise itself. valuable papers.
The conclusion suggests itself that before the bridesmaid it is necessary to carefully restore beauty and choose the right dowry. Alexander the Great (according to Pavel Taranov) said: “How to become the most beloved? “To be the most powerful and at the same time fearless.”
1. Development potential.
The most important parameter for making a decision to invest in a particular enterprise is the presence of a clearly formulated and detailed development strategy. This factor is especially significant for enterprises with a long production cycle and low turnover of funds. When developing strategic plans, it is dangerous to go to extremes: to consider the future with “hopeless optimism” or to allow imagination to triumph over reason.
Assessment of enterprise competitiveness and marketing situational analysis.
Mission development and promotion.
Development of corporate strategy.
Development of a marketing strategy.
Development of functional strategies.
Building an optimal business model.
Development of a program for diversification and establishment of a new business.
2. Financial condition.
Investors pay perhaps the greatest attention to the financial position of an enterprise, although often the results obtained may have different meanings depending on the volume and duration of the investment. Rich brides are often capricious in their family life and, as a rule, they have a horde of poor relatives.
Typically, a standard assessment of financial condition and ratio analysis is carried out:
Liquidity;
Financial stability and creditworthiness;
Profitability and turnover;
Tensions of the enterprise's obligations.
However, even an excellent assessment of financial condition serves only as a basis for the subsequent study of all other factors influencing investment attractiveness.
Frequently encountered measures to improve the financial situation and the form of its presentation to the investor:
Development of a program for monitoring cash receipts and expenditures (prompt “pulling” of the balance sheet).
Development of a debt restructuring program.
Implementation of international standards accounting.
Implementation budget management and management accounting.
3. Production base and human resources.
The state of an enterprise's production potential has a direct impact on its investment creditworthiness, which, however, is rarely taken into account by investors.
It is quite easy to obtain a quantitative estimate of the amount of capital in monetary form for any enterprise. But there is another part that cannot be reliably expressed in monetary form. This part of the production potential includes: the personnel component, the level of labor organization and the level of production organization. This part cannot be strictly quantified, but without it the production potential of the enterprise practically does not exist, since fixed assets and intangible assets cannot work on their own.
To optimize the production base and increase the return on human resources, we can offer:
Optimization of logistics processes in the organization.
Reengineering or improvement of business processes in an organization http://www.ftk.ru/consulting/mailing/13.htm.
Development of an effective system of personnel motivation and compensation (wages).
Setting up a personnel development system.
4. Controllability.
When analyzing a management system, investors, as a rule, carefully study the macro level of enterprise management - from the presence of strategic management to the quality of documentation development.
Recently, the compliance of enterprise management has acquired particular importance international standards. The ISO 9000 quality management system is taken as a standard. This is due to the fact that in the 2000 version, the quality management system is considered as equivalent to the overall manageability of the enterprise and the emphasis of certification was significantly shifted from quality checks of semi-finished products and finished products to the quality of setting up enterprise management processes.
Besides, important aspect for the investor is the reputation of the current owners in society and in the market. The nature of ownership, that is, who owns the controlling interest and large blocks of shares, is essential not only for the current activities of the enterprise, but also for its successful development.
To improve the enterprise management system, it is useful to:
Assess the efficiency and reorganize the company's functional divisions.
Optimize linearly - functional system management.
Implement project management.
Select and implement a comprehensive integrated enterprise resource management system.
Implement a quality management system ISO 9000:2000.
5. Increased role intangible assets.
After establishing the fact of transition to post-industrial society, To traditional ways valuation of enterprises, various methods for valuing intangible assets began to be actively added. Potential investors, first of all, pay attention to the presence and popularity of the trademark and brands, pay great attention to the general image of the enterprise, and welcome the presence of intellectual property and creative innovative groups. The mischievous saying “what’s in my name, evaluate the volume of my breasts” no longer applies.
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MINISTRY OF EDUCATION AND SCIENCE OF THE RF
FEDERAL STATE AUTONOMOUS
EDUCATIONAL INSTITUTION OF HIGHER
PROFESSIONAL EDUCATION
"KAZAN (VOLGA) FEDERAL UNIVERSITY"
INSTITUTE OF MANAGEMENT, ECONOMICS AND FINANCE
DEPARTMENT OF FINANCIAL MANAGEMENT
COURSE WORK IN THE DIRECTION
Analysis of the investment attractiveness of the enterprise
Is done by a student
Gr.14.6-231 3rd year
A.F. Kamaletdinova
Scientific director
Doctor of Economics, Associate Professor of the Department
financial management
A.I. Bikchantaeva
Kazan 2015
INTRODUCTION
Assessing the investment attractiveness of an enterprise plays a big role for an economic entity, since potential investors pay considerable attention to this characteristic of the enterprise, studying the indicators of financial and economic activity for at least 3 years. Also, to correctly assess investment attractiveness, the investor evaluates the enterprise as part of the industry, and not as a separate economic entity in the environment, and compares the enterprise in question with other enterprises in the same industry.
The activity of investors largely depends on the degree of stability of the financial condition and economic viability of the enterprises in which they are ready to invest. It is these parameters that mainly characterize the investment attractiveness of an enterprise. Meanwhile, at present, methodological issues of assessing and analyzing investment attractiveness are not sufficiently developed and require further development. This is precisely what determines the relevance of the topic of this course work, “Investment attractiveness of an enterprise.”
Almost any line of business nowadays is characterized by a high level of competition. To maintain their positions and achieve leadership, companies are forced to constantly develop, master new technologies, and expand their areas of activity. In such conditions, a moment periodically comes when the management of the organization realizes that further development impossible without an influx of investment. Attracting investment gives companies competitive advantages and is often the most powerful means of growth. The main and most general goal of attracting investments is to increase the efficiency of the enterprise, that is, the result of any chosen method of investing investment funds with proper management should be an increase in the value of the company and other indicators of its activity.
Investment attractiveness is important for investors, since analysis of the enterprise and its investment attractiveness allows us to reduce the risk of incorrect investment to a minimum.
The object of study of this course work is the investment attractiveness of the enterprise.
The subject of the study is factors influencing the investment attractiveness of an enterprise.
The purpose of this work is to analyze the investment attractiveness of OJSC Lukoil based on basic financial reporting indicators, liquidity and solvency indicators.
The purpose of the study allowed us to formulate the tasks that were solved in this work:
1. reveal the concept of investment attractiveness;
2. identify factors influencing investment attractiveness;
3. provide an algorithm for monitoring the investment attractiveness of an enterprise;
4. analyze the liquidity and solvency of the enterprise using the example of OAO LUKOIL;
5. analyze the investment attractiveness of an enterprise using the example of OAO LUKOIL;
6. develop ways to increase the investment attractiveness of the enterprise.
This work consists of an introduction, two chapters, a conclusion, a list of references and an appendix.
The following methods were used when writing the course work: scientific research: comparative method; study of relevant literature, articles; analytical method.
The information base was educational literature on this topic, periodicals of economic magazines, and information websites. To carry out the analytical part of the work, information and financial statements of OAO LUKOIL were taken.
1. THEORETICAL ASPECTS OF ANALYSIS OF THE INVESTMENT ATTRACTIVENESS OF AN ENTERPRISE
1.1 The concept of investment attractiveness and the factors that determine it
There are a sufficient number of works in the economic literature that address the problems of determining and understanding the “investment attractiveness” of an enterprise.
Until now, there has not been a consensus regarding the definition and assessment of the investment attractiveness of enterprises. The opinions of domestic authors on this topic differ in some respects, but at the same time significantly complement each other.
Having studied the approaches to the essence of the investment attractiveness of an enterprise, we can combine the currently existing interpretations into four blocks according to a certain criterion:
1. investment attractiveness as a condition for the development of an enterprise;
The investment attractiveness of an enterprise is the state of its economic development, which assumes, taking into account a high degree of probability, that within a time frame acceptable to the investor, investments are able to satisfy the required level of profitability or it is possible to achieve another positive effect.
2. investment attractiveness as a condition for investment;
Investment attractiveness is considered as a set of various objective signs, properties, means, opportunities that determine the potential effective demand for investment in fixed capital.
3. investment attractiveness as a set of indicators;
the investment attractiveness of an enterprise is presented in the form of a set of economic and financial indicators of the enterprise, which determine the opportunity to obtain maximum profit as a result of capital investment with minimal investment risks.
4. investment attractiveness as an indicator of investment efficiency Igonina, L.L. Investments [Text]/L.L. Igonina//Training manual.-2006.-p.288.
Investment efficiency is interconnected with the concept of investment attractiveness; it is a key link in determining investment attractiveness, while the latter determines investment activity. The higher the efficiency of investments, the higher the level of investment attractiveness and the larger the scale of investment activities, and, accordingly, vice versa.
Thus, generalizing the classification proposed above, we can formulate the most general definition of the investment attractiveness of an enterprise and consider it as a system that includes economic relations between business entities regarding the effectiveness of business development and maintaining its competitiveness.
From the investor’s perspective, the investment attractiveness of an enterprise is a combination of quantitative and qualitative factors that characterize the enterprise’s effective demand for investment.
Demand for investment (together with supply, price level and degree of competition) is the basis for determining investment market conditions.
In order to avoid creating doubts regarding the reliability of information used to develop an investment strategy, a systematic approach is needed in studying market conditions, starting from the macro level (state investment climate) and ending with the micro level (assessing the investment attractiveness of an individual investment project). With the help of this sequence, investors can solve the problem of choosing enterprises that have the best development prospects in the event of the implementation of the proposed investment project, providing the investor with the planned return on invested capital from the existing risks. Along with this, the investor considers what industry the enterprise belongs to (a developing or depressed industry) and what its position is in the territorial plan (region, federal district). The industry and territory, in turn, have their own levels of investment attractiveness, which include the investment attractiveness of enterprises.
Thus, each object of the investment market has its own investment attractiveness, but at the same time, each of them is located among the “investment field” of all objects on the investment market. The investment attractiveness of an enterprise, in addition to its “investment field,” is influenced by the investment impact of the industry, regions, and state. Meanwhile, the totality of enterprises forms an industry that affects the investment attractiveness of the entire region, and the attractiveness of the regions forms the attractiveness of the state. All changes that occur in systems at a higher level (political instability, changes in tax legislation and others) are directly reflected in the investment attractiveness of the enterprise.
Investment attractiveness depends both on external factors that characterize the level of development of the industry and region in which the enterprises in question are located, and on internal factors: activities within the enterprises themselves. Katasonov, V.Yu. Investment potential of the economy[Text]/V.Yu. Katasonov//Mechanisms for the formation of investment potential.-2005.-p.68
In order to make a decision regarding the allocation of funds, an investor must evaluate many factors that determine the effectiveness of future investments. Taking into account the range of options for combining different values of these factors, the investor evaluates the total impact and results of the interaction of these factors, that is, evaluates the investment attractiveness of the socio-economic system and, on its basis, makes a decision on the investment of his funds.
Therefore, there is a need to quantitatively identify the state of investment attractiveness, and the following point must be taken into account: in order to make an investment decision, an indicator that characterizes the state of investment attractiveness of an enterprise must have economic sense and be comparable to the investor's cost of capital. Therefore, it is possible to determine the requirements for the methodology for disclosing the investment attractiveness indicator:
The investment attractiveness indicator must take into account all factors external environment that are significant for the investor;
The indicator should reflect the expected return on investment;
The indicator must be comparable to the investor's cost of capital.
A methodology for assessing the investment attractiveness of an enterprise, built taking into account these requirements, will provide the investor with a high-quality and informed choice of investment object; the investor will be able to control the effectiveness of investments and adjust the process of implementing investment measures in unfavorable situations.
The investment potential of Russian enterprises can be characterized as having a satisfactory level of development of production potential, in particular, the growth of the material and technical equipment of the enterprise; growth in industrial production volumes and increased demand for products of Russian enterprises; increased activity of enterprises in the securities market and direct increase in value Russian shares; decrease in the efficiency of management of the enterprise’s activities, which is revealed in the values of indicators characterizing the financial position of enterprises; sufficient volume and qualifications of the workforce; uneven development of enterprises in different industries. It can be said about the activity of Russian investors that it is falling, while the interest of foreign investors in Russian industrial enterprises is increasing.
One of the most important factors in the investment attractiveness of an enterprise is investment risk.
Investment risk includes the following subtypes of risk: lost profits, decreased profitability, direct financial losses.
The risk of lost profits is associated with the occurrence of indirect (collateral) financial damage (lost profit) if some activity is not implemented.
The risk of a decrease in profitability arises when the amount of interest and dividends on portfolio investments, deposit and loan.
The risk of decreased profitability includes the following subtypes: interest rate risk and credit risk.
There are many classifications of factors that determine investment attractiveness. They are divided into:
· production and technological;
· resource;
· institutional;
· regulatory and legal;
· infrastructural;
· export potential;
· business reputation and others.
Each of these factors can be characterized by different indicators, often having the same economic nature.
Other factors that help determine the investment attractiveness of an enterprise are divided into:
· formal (calculation is carried out on the basis of financial reporting data);
· informal (competence of management, commercial reputation).
Investment attractiveness from the point of view of an individual investor can be determined by a different set of factors that are of greatest importance in choosing a particular investment object.
1.2 Methodological approaches to analyzing the investment attractiveness of an enterprise
In the current economic conditions, several approaches to assessing the investment attractiveness of enterprises have emerged. The first is based on indicators for assessing the financial and economic activities and competitiveness of enterprises. The second approach operates with the concept of investment potential, investment risk and methods for evaluating investment projects. The third approach estimates the value of enterprises. Each of the approaches and methods has its own advantages, disadvantages and scope of use. It should be noted that the use of various approaches and methods in assessment provides the greatest likelihood of an objective reflection of the investment attractiveness of the enterprise.
The investment attractiveness of an enterprise includes the following components:
General characteristics of the technical base of the enterprise;
Product range;
Productive capacity;
The position of the enterprise in the industry, on the market, the level of its monopoly;
Characteristics of the control system;
Authorized capital, owners of the enterprise;
Production cost structure;
The volume of profit and directions of its use;
Assessment of the financial position of the enterprise.
The control system for various processes must be based on objective assessments of the state of their progress. The main characteristic of the investment process is the state of investment attractiveness of the system. That is why it is necessary to assess the investment attractiveness of the economic system. The main tasks of assessing investment attractiveness economic systems are as follows:
Determining the socio-economic development of the system from the perspective of investment issues;
Determining the impact of investment attractiveness on the influx of capital-forming investments and socio-economic development of the economic system;
Development of measures to regulate the investment attractiveness of economic systems.
Additional tasks include:
Finding out the reasons that influence the investment attractiveness of economic systems;
Monitoring investment attractiveness.
One of the fundamental factors of the investment attractiveness of an enterprise is the presence required capital or investment resources. The capital structure allows you to determine its price, but this is not a necessary and sufficient condition for the effective functioning of the enterprise. At the same time, a lower cost of capital makes the enterprise more attractive. The price (cost) of capital reflects the rate of profitability (profitability threshold) or the rate of profit that the enterprise needs to ensure to prevent a decrease in its market value.
The profitability of invested funds is determined by the ratio of profit or income to invested funds. At the micro level, the indicator of income can be the indicator of net profit, which remains at the disposal of the enterprise (formula 1).
Formula 1
Thus:
K1 = Pr / V (1)
where K1 is the economic component of the investment attractiveness of the enterprise, in fractions of one;
Pr is the volume of profit for the period under review.
In situations where there is no information on investments in fixed capital, it is recommended to use the return on fixed capital indicator as an economic component, since this indicator reveals the efficiency of using funds previously invested in fixed capital.
The indicator of investment attractiveness of an investment object is calculated using the following formula:
Formula 2
Si = H / Ri (2)
where Si is an indicator of investment attractiveness (cost) of the i-th object;
Ri - resources of the i-th object participating in the competition;
N is the value of the consumer order.
IN in this case The role of the key parameter of the entire rating system belongs to the consumer order. Depending on the extent to which it is correctly formed, the degree of reliability of the calculated indicators is determined Guskova, T.N. Assessing the investment attractiveness of objects using statistical methods [Text]/T.N. Guskova//Investments.-1999.-p.278.
Within the enterprise, the attraction of additional technological, material, financial, and other resources is necessary to solve a specific problem - the introduction of new foreign technology in the form of a license and know-how, the acquisition of new imported equipment, the attraction of foreign management experience in order to improve product quality and improve methods of entering the market, expanding the output of those types of products that the market, including the global one, needs. Attraction material resources from abroad is also necessary in order to introduce our own technical developments, the use of which is hampered due to the lack of the required equipment.
Investments in Russian enterprises are determined by the presence of interrelated conditions: low competitive level on the part of enterprises receiving investments; high level of information asymmetry and frequent situations of use of essential, proprietary information; low level information transparency of companies; high level of conflict between the investor and the management of the enterprise; the lack of tools that protect the interests of investors from dishonest behavior of enterprise managers.
Table 1.1. A comparison of some techniques that are used in domestic and world practice is provided. As you can see, in many methods one of important factors assessing and predicting the future state of the company in question - assessing its management system. This trend goes in the same direction with theoretical studies that directly link the state of the company, the effectiveness of its management and control by shareholders regarding management decision-making.
Table 1.1 Comparative analysis methods for assessing the investment attractiveness of an enterprise
|
Name of the technique |
Aspects of the enterprise's activities analyzed using quantitative indicators |
Aspects of the enterprise's activities analyzed using qualitative indicators |
Purpose of the analysis |
|
|
System of comprehensive economic analysis of Moscow State University. M.V. Lomonosov (KEA) |
Analysis of the use of production facilities; Analysis of the use of material resources; Analysis of labor use and wages; Analysis of the amount and structure of advanced capital; Product cost analysis; Analysis of turnover of production assets; Analysis of volume, structure and quality of products; Analysis of profit and profitability of products; Analysis of profitability of economic activities; analysis of financial condition and solvency |
Analysis of the organizational and technical level, social, natural, foreign economic conditions of production |
Assessing the efficiency of an enterprise |
|
|
Bank of France methodology |
Performance assessment; Credit case assessment; Solvency assessment |
Manager Assessment |
||
|
Bundesbank methodology |
Cost-benefit assessment; Liquidity assessment |
Assessing the reliability of the enterprise as a borrower |
||
|
Bank of England methodology |
Market risk; |
Market risk; Control; Organization; Control |
||
|
Methodology of the Federal reserve system USA |
Capital, assets, profitability, liquidity |
Management |
Assessing the reliability of a commercial bank |
However, as can be seen from the above analysis of methods, none of the methods is completely capable of covering the possible field of factors that influence investment attractiveness, determined on the basis of the theoretical model of the company chosen for the purposes of this study.
Analyzing the FEA methodology, it should be noted that its strength lies in the presentation of the most complete and detailed recommendations for analyzing the financial position based on the company’s financial statements, as well as the most complete set of financial indicators focused on assessing the financial condition and business efficiency of the company in question.
When assessing investment attractiveness, the effectiveness of investments is assessed.
The effectiveness of investments is determined using a system of methods that reflect the ratio of investment-related costs and results. Using these methods, one can judge the economic attractiveness of investment projects and the economic advantages of one project over another. Krylov E.N., Vlasova V.M., Egorova M.G. Analysis of the financial condition and investment attractiveness of the enterprise [Text]/ Krylov E.N., Vlasova V.M., Egorova M.G.//Finance and Statistics.-2003.-p.130 11.
Depending on the type of business entity, the methods may reflect:
Economic (national) efficiency from the point of view of the interests of the national economy as a whole, as well as regions, industries and organizations participating in the implementation of projects;
Commercial effectiveness (financial justification) of projects, which is defined as the ratio of financial costs and results for projects as a whole or for individual participants, taking into account their contributions;
Budget efficiency, which reveals the impact of the project on the income and expenditure of the relevant federal, regional and local budgets.
An enterprise with an average degree of investment attractiveness is distinguished by the fact that it has an active marketing policy aimed at effectively using its existing potential. Moreover, those enterprises in which the management system is aimed at increasing value successfully position themselves in the market, while those in which they do not pay due attention to the factors of value formation suffer a loss of their competitive advantages. Enterprises with investment attractiveness below average have characteristics of low capital growth opportunities, which is associated, of course, with the ineffective use of existing production potential and market opportunities.
Enterprises with low investment attractiveness can be considered unattractive, since the invested capital does not provide an increase, only acting as a temporary source of maintaining viability, without determining the economic growth enterprises. For such enterprises, an increase in investment attractiveness is possible only through a qualitative change in the management and production system, in particular in the reorientation of the production process to meet market needs, which will increase the image of the enterprise in the market and form new or develop existing competitive advantages.
Potential investors, directly the management of the enterprise, are interested not only in the dynamics of changes in the investment attractiveness of the enterprise over the past period of time, but also in trends in its changes in the future. Knowledge of the trend of changes in this indicator, on the one hand, prepares for difficulties and the adoption of measures aimed at stabilizing production, or, on the other hand, to use the moment of growth of the investment attractiveness indicator in order to attract a new investor. This also allows you to enter timely Newest technologies and improve outdated ones, expand production and sales markets, improve the efficiency of the enterprise in weak areas, and so on.
1.3 Algorithm for monitoring the investment attractiveness of an enterprise
Construction of a system for monitoring controlled indicators covers the following main stages:
1. The construction of a system of informative reporting indicators is based on financial and management accounting data.
2. The development of a system of generalizing (analytical) indicators that reflect the actual results of achieving the specified quantitative control standards is carried out in strict accordance with the system of financial indicators.
3. Determining the structure and indicators of the forms of control reports (reports) of performers is intended to form a system of control information carriers.
4. Determination of control periods for each type, each group of controlled indicators. The specification of the control period for groups of indicators is determined by the “urgency of response” necessary for effective management of the investment attractiveness of the enterprise.
5. Establishing the size of deviations of the actual results of controlled indicators from established standards is carried out both in absolute and in relative terms. Moreover, according to relative indicators, all deviations are divided into three groups:
Positive deviation;
Negative “tolerable” deviation;
Negative “unacceptable” deviation.
6. Identification of the main reasons for deviations of the actual results of controlled indicators from established standards is carried out for the enterprise as a whole and for individual “responsibility centers”.
The introduction of a monitoring system at an enterprise can significantly increase the efficiency of the entire process of managing investment processes, and not only in terms of creating investment attractiveness.
The basis for the formation of a monitoring system is the development of a system of indicative indicators that make it possible to identify the occurrence and complexity of the problem. In terms of content, the system of indicators is focused on studying the signs that characterize the dependence of managing the investment attractiveness of an enterprise on the external and internal environment, assessing their quality and forecasting.
It is advisable to divide the entire system of indicators for monitoring investment attractiveness into the following groups:
1. Indicators of the external environment. The external environment of enterprises operating in market conditions is characterized by a number of distinctive features: firstly, all factors are taken into account simultaneously; secondly, enterprises need to take into account the multidimensional nature of management; thirdly, it is characterized by an aggressive pricing policy; fourthly, the environment is determined by the dynamics of market development, when the positions of competitors and the balance of power change at increasing speeds.
2. Indicators that characterize the manifestation of the social efficiency of an enterprise at the public level. Social efficiency draws attention from the entire group of socio-economic indicators, because it is its side that reflects the impact of economic measures on the fullest satisfaction of the needs of society.
3. Indicators revealing the level of professional training of personnel; indicators characterizing the level of labor organization; socio-psychological characteristics.
4. Indicators that reflect the effectiveness of the development of investment processes at enterprises. In assessing the investment attractiveness of enterprises, the group of indicators that directly reflect the effectiveness of investment process management is of greatest interest.
Taking into account the above, when forming a system for monitoring investment attractiveness, one should, firstly, take into account the factors of formation investment value, secondly, the potential capabilities of the enterprise regarding the formation of its investment resources, the personnel, production, technical potential of the enterprise, the possibility of attracting external resources, thirdly, the efficiency of the development of investment processes, which determines the economic growth of the enterprise.
The proposed algorithm is based on tracking changes in market value. In conditions of awareness and automation of enterprise functioning processes, the implementation of this algorithm does not require organizational and economic transformations at enterprises.
Monitoring investment attractiveness carried out in this way allows not only to identify problematic issues in the formation of conditions for intensifying investment processes at enterprises, but also to identify probable changes in economic potential enterprises and minimize the likelihood of destruction of company value. Sergeev, N.V., Veretennikova, I.N., Yanovsky V.V. Organizations and investment financing[Text]/ Sergeev, N.V., Veretennikova, I.N., Yanovsky V.V.//Finance and Statistics.-2003.-p.225
liquidity solvency investment algorithm
2. ORGANIZATIONAL AND ECONOMIC CHARACTERISTICS OF THE ENTERPRISE (BY THE EXAMPLE OF OJSC LUKOIL)
2.1 General characteristics of OJSC Lukoil
OAO LUKOIL is one of the largest international vertically integrated oil and gas companies, which was created in 1991. The main activities of the company are as follows: exploration and production of oil and gas, production of petroleum products and petrochemical products, sales of manufactured products. The main part of the company's activities in the exploration and production sector is carried out on the territory of the Russian Federation, the main resource base is Western Siberia. OJSC LUKOIL owns modern oil refining, gas processing and petrochemical plants located in Russia, Eastern and Western Europe, and neighboring countries. The company sells the bulk of its products on the international market. The company markets petroleum products in Russia, Eastern and Western Europe, neighboring countries and the USA.
The joint stock company in question is the second largest private oil and gas company in the world relative to the size of its hydrocarbon reserves. The company's share in global oil reserves is about 1.1%, in global oil production - about 2.3%. The company plays a key role in the Russian energy sector, accounting for 18% of all-Russian oil production and 19% of all-Russian oil refining.
The indicators are given from the profit and loss report (Appendix 2).
The main performance indicators of OAO LUKOIL for 3 years are shown in Table 2.1.
Table 2.1 Key performance indicators of OJSC LUKOIL
|
Indicators |
Absolute deviation |
|||||
|
Volume of products, works, services (revenue), million rubles |
||||||
|
Cost of products, works, services, million rubles. |
||||||
|
Average annual cost of fixed assets, million rubles. |
||||||
|
Average annual cost of working capital, million rubles. |
||||||
|
Gross profit, million rubles. |
||||||
|
Net profit, million rubles. |
||||||
|
Basic earnings per share, RUB |
||||||
|
Capital productivity |
||||||
|
Capital intensity |
||||||
|
Working capital turnover ratio |
||||||
|
Product profitability, % |
||||||
|
Return on sales, % |
As can be seen from the table, basically all indicators have had an upward trend in recent years. Revenue decreased by 6.58% and amounted to 242,880 million rubles in 2014, gross profit decreased by 15,330 million rubles. (by 6.37%) compared to 2013. Net profit increased in 2014 compared to 20013 by 77% and amounted to 371,881 million rubles, compared to 2012 - by 12%. Basic earnings per share increased significantly compared to 2013 and 2012, by 77.19% (RUB 190.48) and 70.74% (RUB 181.15), respectively. Despite the fact that the capital productivity indicator in 2014 compared to 2012 increased by 22.8%, it decreased slightly compared to 2013, therefore, we can talk about a decrease in the efficiency of using fixed assets at the enterprise. The turnover ratio fluctuates as its value rose sharply compared to 2012, but then fell sharply. Here we can conclude that the assets of the enterprise are used inefficiently and irrationally. Since current assets occupy one of the main places in the production cycle and the influx of cash largely depends on their turnover, the resulting deviation cannot be considered as positive. Product and sales profitability indicators tend to grow, despite the crisis situation in the country.
The cost structure of OAO LUKOIL for 2014 is presented in diagram 2.1.
Diagram 2.1 Cost structure of OJSC LUKOIL for 2014
This diagram shows that the largest share of costs falls on the cost of purchased oil, gas and their products (40.3%), as well as excise taxes and transport duties (22.7%).
The table data allows us to conclude that the total value of assets during the period under review increased by 48.1% (compared to 2013). The share of non-working capital decreased by 8.8% and in 2014 amounted to 66.26% of total assets, and the share of working capital accordingly increased from 24% to 33%.
Outside current assets a significant share belongs to long-term financial investments (98%), since the company actively directs funds to purchase securities of other enterprises, and also issues long-term loans. In current assets, the predominant share is occupied by short-term financial investments (57%), this is due to deposits in credit organizations, issuing loans, government securities. Accounts receivable account for about 30% of current assets. The remaining items constitute an insignificant share of total current assets.
The total volume of liabilities for 2012-2014. on average increased by 513,365 million rubles. In the structure of liabilities, the largest share is occupied by capital and reserves (64.6%). For such a capital-intensive enterprise this is very good indicator, since it indicates the financial stability of the enterprise and the ability to function mainly at the expense of its own resources. For the period 2013-2014. One can trace a trend towards a significant increase in the amount of capital and reserves (by 31%). The values of long-term and short-term liabilities differ and in 2014 they accounted for 13.01% and 22.4%, respectively. This situation is due to the fact that the company has a sufficiently stable position to have short-term debt, despite the company’s large production cycle, which implies the priority of long-term liabilities. It should be noted that long-term liabilities in 2014 relative to 2013 increased by 208.08% and amounted to 228,448 million rubles, and as for short-term liabilities, their value also increased, but not so significantly: by 9%. In general, we can talk about a trend towards a gradual increase in the amount of borrowed capital and an increase in the amount of equity capital.
In the structure of capital and reserves, the largest share falls on retained earnings(98.8% of total capital). This means that the company has available funds, which it can use for development, purchase of physical assets, companies.
Retained earnings are one of the main sources of finance for new investments in the economy. In the structure of short-term debt, the largest share is occupied by borrowed funds, as well as accounts payable, in particular debt to other creditors, which amounts to 72.4% of the total accounts payable of the enterprise. The amounts of lease obligations and debt to special funds are reflected here. In order to more clearly trace the dynamics of changes in the value of the balance sheet currency, we will construct the following diagram (diagram 2.2.).
This diagram shows that the value of assets and liabilities in 2014 increased by 47.771% compared to 2012 and by 35.426% compared to 2013. There is a fairly uniform increase in the balance sheet currency every year.
Diagram 2.2. Dynamics of changes in the value of the balance sheet currency for 2012-2014 (million rubles)
2.2 Analysis of liquidity and solvency of OJSC Lukoil
A company's liquidity lies in its ability to convert its assets into cash in order to cover all necessary payments as they become due.
Balance sheet liquidity is determined by the degree to which liabilities are covered by assets, the timing of which is converted into cash corresponds to the timing of repayment of liabilities.
There are several ways to analyze balance sheet liquidity.
· Construction of a compacted (aggregated) balance sheet.
To do this, all assets are grouped according to their degree of liquidity (Table 2.2).
A large share in the structure of assets is occupied by hard-to-sell assets: 56.8% for 2012, 75.1% for 2013, 66.3% for 2014, although the spread in deviations of this indicator over the years is not so large. Non-current assets are growing due to the growth of long-term financial investments. The most liquid assets in 2013 it decreased by approximately 2.56 times, and in 214 it increased by 1.9 times, which, of course, is a positive thing, since cash allows you to immediately pay off current obligations in case of urgent need, and are also resources that provide continuous production.
Table 2.2 Grouping of assets by degree of liquidity
The indicator of the most sold assets decreased slightly, and the value of slowly sold assets changes unevenly, and their share in the total assets is the smallest (about 0.175%), that is, the company does not have many balances of inventories and receivables, the maturity of which is more than a year, and this indicates an effective policy for the formation and storage of inventories and a policy for managing payments to customers. Balance sheet liabilities are grouped according to the degree of urgency of their payment (Table 2.3.).
Table 2.3 Grouping of liabilities according to the degree of urgency of their payment
In the structure of liabilities, a significant share falls on permanent liabilities (on average 64.5%), the value of which over a given period of time increased only in 2013 by 4%, in 2014 it returned to its original value for 2012. Accounts payable remains unchanged for three years, and short-term liabilities tend to decrease relative to all liabilities, but long-term liabilities tend to increase.
Next, it is necessary to draw a relationship between the assets and liabilities of the enterprise’s balance sheet. The balance is absolutely liquid if the following condition is met: A1>P1, A2>P2, A3>P3, A4<П4. Рассмотрим данное соотношение применимо к нашему предприятию (таблица 2.4).
Table 2.4 Relationship between assets and liabilities of the balance sheet
Based on the results obtained, we can say that the company’s balance sheet is not absolutely liquid. But all individual relationships are correct. A1>P1 for all three years, and this indicates the solvency of the organization at the time of drawing up the balance sheet. The organization has enough funds to cover the most urgent obligations absolutely and the most liquid assets. The inequality A2 > P2 is impossible, that is, quickly realizable assets do not exceed short-term liabilities and the organization cannot be solvent in the near future, taking into account untimely settlements with creditors and receipt of funds from the sale of products on credit. The inequality A3 > P3 is impossible, this means that in the future, if funds from sales and payments are not received on time, the organization may be insolvent for a period equal to average duration one turnover of working capital after the balance sheet date. Only in 2012 were stable liabilities greater than hard-to-sell assets; in all other cases, the correct ratio did not appear, which means that in an unstable situation, when liquidity and solvency come to the fore, the company may become insolvent, since equity capital does not cover non-current assets .
· Calculation of absolute indicators of enterprise liquidity.
The calculation data is given in Table 2.5.
Table 2.5 Absolute indicators liquidity
P*-indicators, T-current liquidity, P-prospective liquidity
The current liquidity indicator should be positive, but in the case under consideration it is negative in 2013, therefore, this indicates that the company could not pay its obligations on time in 2013. But this figure returned to normal by 2014, which is a plus. The indicator of prospective liquidity is also negative, and it decreased in 2014 by 2,835,152624504 thousand rubles. compared to 2013. Prospective liquidity necessarily presupposes the continuous effective operation of the enterprise throughout the entire planning period, which is called into question in the company OJSC Lukoil, based on the data obtained.
· Calculation of relative liquidity indicators (Table 2.6).
Table 2.6 Relative indicators liquidity
|
Indicators |
Absolute deviation |
|||||
|
2014 compared to 2012 |
2014 compared to 2013 |
|||||
|
Kabsolute liquidity |
||||||
|
Kquick liquidity |
||||||
|
Current liquidity |
||||||
|
Restoring solvency |
||||||
|
Solvency fees |
The absolute liquidity ratio shows that in 2014 short-term debt can be repaid in full in the near future using cash and short-term financial investments. This indicator changed quite significantly over the analyzed period.
The critical liquidity ratio shows that in 2014 the company is also able to fully repay short-term debt for 2014 as a whole, which is 61% more than in 2013 and 35% more than in 2012.
Current ratio for 2012-2014 is in 2014 at the level of normal value, which is 1.5-2, in 2014 it is equal to 1.51, and there was a growth trend, which indicates some improvement in the situation at the enterprise. This means that the company can repay the amount of current obligations on loans and settlements by mobilizing all working capital.
The equity ratio was positive for the period of 2012, but could not maintain its norm by 2014, which indicates financial fluctuations in enterprises and insufficient own funds.
The solvency recovery coefficient for the period under review was less than the normal value during 2012-2013. and in 2014 it began to recover and reached a value of 2.05, so we can say that the enterprise is capable of not regaining solvency within 6 months.
In 2012, 2014 the coefficient of loss of solvency is greater than 1, so we can conclude that the enterprise has a real opportunity not to lose its solvency.
2.3 Analysis of the investment attractiveness of OJSC Lukoil
The investment attractiveness of an enterprise is determined differently by each specific investor, since each of them takes into account various factors influencing the investment attractiveness.
OJSC LUKOIL is one of the largest international oil and gas companies with a huge sales network (25 countries around the world). In recent years, LUKOIL has been a leader in the rating of long-term investment attractiveness of oil and gas companies.
The investment potential of Russian enterprises is quite high. But recently, the activity of Russian investors has been decreasing, while the interest of foreign investors has been increasing, especially in industrial enterprises.
There are several approaches to assessing the investment attractiveness of an enterprise. The first of them, formal, is an analysis of the indicators of the financial and economic activity of the enterprise. Tryasitsina, N.Yu. Comprehensive assessment investment attractiveness of enterprises[Text]/N.Yu. Tryasitsina//Economic analysis.-2006.-№18.-p.40
According to the analysis of the financial activities of OAO LUKOIL, the following points can be highlighted.
Sales revenue is increasing every year (in 2014 it amounted to 242,882 million rubles. Net profit is also increasing; only in 2014, compared to 2013, it increased by 154,073 million rubles. Earnings per share are the same trend of change, as well as net profit, that is, there was an increase in 2013, in 2014.
Table 2.7
Cash flow from investing activities
|
2012 (million rubles) |
2013 (million rubles) |
2014 (million rubles) |
||
|
Sale of non-current assets |
||||
|
From loan repayment |
||||
|
Dividends, % on debt financial investments |
||||
|
Acquisition of non-current assets |
||||
|
Purchase of shares |
||||
|
Purchase of debt securities |
||||
|
Other payments |
||||
The table shows that net cash used in investment activities decreases every year and in 2014 the difference between payments and receipts amounted to 133,649 million rubles in favor of payments. This indicates that the company is actively investing: OJSC Lukoil is taking actions to acquire shares and debt securities in order to generate income in the future. The positive point is that the proceeds mainly come from loan repayments, which indicates an effective policy for managing the company’s counterparties.
To analyze investment attractiveness, it is necessary to determine the return on investment using the following formula given in the first chapter:
Where K1 is the economic component of the investment attractiveness of the enterprise, in fractions of one;
V is the volume of investment in the fixed capital of the enterprise;
Pr is the volume of profit for the analyzed period.
In our case, we take as an indicator of income net profit enterprises. Let's calculate this figure for 2014.
K1 = 371881 / 1187984 = 0.31,
Shows how effectively the funds invested in the enterprise are used.
You can also use the return on fixed capital indicator instead of the economic component of the investment attractiveness of an enterprise, since this indicator reflects the efficiency of using previously invested funds in fixed capital. Regarding the Lukoil company, the profitability indicator is determined using formula 3.
Formula 3
C- average value capital
Rк = 371881 / 999138 = 0.37.
Consequently, the return on fixed capital for 2014 is 37%.
In many methods for assessing the investment attractiveness of an enterprise, one of the main assessment factors is the management system.
To support the activities of OAO LUKOIL, the following management and control bodies have been created:
· Controls:
The meeting of shareholders is the highest management body of the Company;
Board of Directors;
Sole executive body - President (General Director);
The collegial executive body is the Management Board.
· Control body:
Audit committee.
Also, in determining the high investment attractiveness of OAO LUKOIL, the following factors play a decisive role:
Production and technological (in oil and gas production, as well as in the production of products, it is used modern equipment, are continuously being implemented scientific developments, which make it possible to increase the efficiency of the work being carried out);
Resource;
Infrastructure;
Export potential
Business reputation and some others.
2.4 Ways to increase the investment attractiveness of an enterprise
The enterprise can carry out activities to increase its investment attractiveness (to better meet investor requirements). The main activities in this regard can be summarized as follows:
· development long term strategy development;
· business planning;
· legal examination and bringing title documents in accordance with the law;
· creation credit history;
· carrying out reform (restructuring) measures.
In order to determine which measures are required by a particular enterprise to increase investment attractiveness, it is advisable to analyze the existing situation (diagnostics of the state of the enterprise). It is used to determine:
Strengths of the company's activities;
Risks and weaknesses in the current state of the company, including from the investor’s point of view;
During the diagnostic process, various areas of the enterprise’s activities should be considered: sales, production, finance, management. The area of activity of the enterprise that is associated with the greatest risks and has the largest number of weaknesses is identified, and measures are taken to improve the situation in the identified areas.
Separately, it is worth noting the legal examination of the enterprise - the investment object. The areas of examination when assessing the investment attractiveness of an enterprise are:
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IN modern world enterprises operate in a highly competitive environment. For sustainable development, an enterprise needs to constantly develop, quickly adapt to changing environmental conditions, offering a modern, high-quality product that satisfies the consumer on the market. The constant development of the organization requires regular investments both in fixed assets and scientific and technical developments, as well as for other purposes aimed at obtaining a positive effect. To attract these investments, an enterprise needs to monitor investment attractiveness.
The investment attractiveness of an enterprise is a complex indicator characterizing the feasibility of investing in this enterprise. The investment attractiveness of an enterprise depends on many factors such as political, economic situation in the country, region, the perfection of the legislative and judicial authorities, the level of corruption in the region, the economic situation in the industry, the qualifications of personnel, financial indicators etc. .
In recent years, quite a lot of works by foreign authors have appeared on the issues of assessing the attractiveness of investment, including Van Horn, V. Behrens, G. Birman, S. Schmidt, W. Sharp, D. Norcott, P. Havranek. However, the conditions and specifics of the development of the Ukrainian investment market does not yet allow to use with sufficient efficiency Foreign experience investment management.
It should be noted a large number of works of Ukrainian and Russian authors on issues and problems of investment management, the most famous include I.A. Blank, A.B. Idrisov, M.N. Kreinina, Ya.S. Melkumov, A.A. Peresada, V. Savchuk. P. and others . However, they often largely use foreign approaches and methods without properly adapting them to the conditions of the domestic investment market; they lack a sufficient research base and practical experience of individual companies and firms in investment sphere. Insufficient attention is paid in publications to the issues and problems of real investment, which, as we have already noted, modern conditions forms the basis of the investment activities of most domestic investors.
Currently, enterprises use many tools to attract financing. The most common ways to attract investment are:
Loans from credit institutions;
Attracting investments for stock market: bond issue, IPO and SPO;
Attracting a strategic investor.
The first option is the simplest, but at the same time one of the most expensive. In this case, raising funds by registering bank loan the main terms of the loan (volume, term, interest rate, etc.) are determined by the lender, that is, the bank, based on the credit policy established in this particular bank. Therefore, such financing is provided only to companies that have confirmed their solvency and provided the necessary collateral, the value of which more credit. If an innovative project fails, the company repays the loan using its own funds, authorized capital, sales of fixed assets.
Attracting investments in the stock market and searching for a strategic investor require open reporting and control over financial flows, business transparency. The higher the investment attractiveness of an enterprise, the greater the likelihood of receiving investment.
Each investor pursues his own goals when investing in an enterprise. Depending on their goals, investors can be divided into two groups: financial and strategic.
Financial type investor:
Strives to maximize the value of the company, has only a financial interest - to receive the greatest profit mainly at the time of exit from the project;
Does not seek to acquire a controlling stake;
Does not seek to change the company's management.
In Ukraine financial investors represented by investment companies and funds, funds venture investments. Most of the transactions of such investors take place on the secondary market and do not directly bring additional investments to the company, but the purchase of the company’s securities leads to an increase in the company’s market capitalization. These investors receive profit from dividends or coupons paid by the company and from the increase in the price of the company's securities.
Strategic type investor:
Seeks to get additional benefits for its main activity;
Strives for complete control, sometimes at the cost of destroying the company;
Actively participates in the management of the company;
Mainly seeks to invest in companies from related industries;
Takes part in investing, often not limited to specific terms.
In Ukraine, the specificity of strategic investment is that the investor seeks to gain full control over the financed business. Typically, a company whose activities are related to the business of the acquired company acts as a strategic investor.
The entire PPI analysis can be divided into the following components:
1) analysis of potential profit - research of alternative investment options, comparison of profitability and risk level;
2) financial analysis - the study of the financial stability of an enterprise; forecasting the development of an enterprise based on available data;
3) technological analysis– study of technical and economic alternatives for the project, various options use of available technologies; searching for the optimal technological solution for a given investment project;
4) management analysis - assessment of the organizational and administrative policies of the enterprise, as well as the development of recommendations in terms of organizational structure, organization of activities, recruitment and training of personnel;
5) environmental analysis - assessment of potential damage to the environment by the project and identification of necessary measures to mitigate and prevent possible consequences.
Thus, if an enterprise needs to attract investment, management must formulate a clear program of measures to increase investment attractiveness. Almost any line of business nowadays is characterized by a high level of competition. Attracting investment to a company gives it additional competitive advantages and is often a powerful means of growth.
Consequently, only those who operate effectively and have prospects investment project is a potential object for investment and a source of profit for the investor.
Literature
1) Tereshchenko O.O. Financial rehabilitation and bankruptcy of enterprises: Head. Pos_bnik. – K.: KNEU, 2000.- 412 p.
2) Investment management: In 2 volumes. T.1. / V.V. Sheremet, V.M. Pavlyuchenko, V.D. Shapiro et al. - M.: Higher School, 2008. - 416 p.
3) Krylov E.I., Vlasova V.M., Egorova M.G., Zhuravkova I.V. Analysis of the financial condition and investment attractiveness of an enterprise: Textbook. manual for universities - M.: Finance and Statistics, 2003. - 190 p.