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Selected Bankruptcy Models of Sugar Companies in Czech Republic

Listy cukrovarnické a řepařské, 2022-01, Vol.138 (1), p.25 [Peer Reviewed Journal]

Copyright VUC Praha, a.s. Jan 2022 ;ISSN: 1210-3306 ;EISSN: 1805-9708

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  • Title:
    Selected Bankruptcy Models of Sugar Companies in Czech Republic
  • Author: SVATOŠOVÁ Veronika
  • Subjects: Annual reports ; Bankruptcy ; Data analysis ; Economic analysis ; Economic models ; Economics ; Factories ; Financial analysis ; Indicators ; Management reports ; Profitability ; Sugar ; Sugar industry
  • Is Part Of: Listy cukrovarnické a řepařské, 2022-01, Vol.138 (1), p.25
  • Description: The paper aims to evaluate the financial health of 5 sugar companies in the Czech Republic that own a total of 7 sugar factories, over the last 5 years (2015–2019) using selected bankruptcy and creditworthiness models. The selected financial analysis used data from the financial statements and annual reports of the monitored companies published in the Commercial Register. At the time of the financial analysis, data for 2020 had not been published yet. The paper is based on previous research activities that assessed the financial situation of the monitored businesses using selected financial analysis indicators. The following bankruptcy models were selected for the economic analysis of the monitored companies: Index IN05, Altman’s Z-Score, Taffler’s model Springate’s model. These models were selected with regard to the suitability of model processing for Czech companies, the availability of monitored input data for financial analysis and the possibility of comparing the monitored input and output data. In the long run, all the monitored companies are not at risk of bankruptcy; however, the last two monitored years, when all the economic results of sugar factories deteriorated due to the sugar crisis, may be a warning. If the monitored companies focus mainly on improving their economic performance and other profitability indicators in the coming years, they should not at risk of bankruptcy even in the long term.
  • Publisher: Prague: VUC Praha, a.s
  • Language: Czech
  • Identifier: ISSN: 1210-3306
    EISSN: 1805-9708
  • Source: ProQuest Central

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