1.
PART III. FINANCIAL AND ECONOMIC ANALYSIS
SECTION 9 ANALYSIS OF FINANCIAL RESULTS OF THE ENTERPRISE
1. The essence and sources of analysis of financial results
2. Analysis of the composition and dynamics of balance sheet profit
3. Factor analysis of profit from sales of products (works, services)
4. Analysis of profit growth reserves
5. Analysis of profitability indicators

2.
1
• The financial results of the enterprise are characterized by indicators
of profit and level of profitability.
• Profit - is part of the net income of the enterprise, created in the
production process and sold in circulation.
• The purpose of the analysis is to determine the real value of net
profit, the stability of the main elements of balance sheet profit,
trends and changes in their ability to use profit forecast.

3.
• Sources of information for financial analysis can be:
• 1) general financial statements;
• 2) information of management accounting;
• 3) special reporting;
• 4) information from independent agencies;
• 5) public databases;
• 6) print, television and other mass media;
• 7) information on currency and financial markets;
• 8) corporate databases.

4.
• The general financial statements include: balance sheet, income
statement, statement of capital movements, statement of cash flows,
explanations and additions to the statements, specialized forms
established by regulations.
• (переклад: До загальної фінансової звітності належать:
баланс, звіт про прибуток та збут, звіт про рух капіталу, звіт
про рух грошових коштів, пояснення та доповнення до
звітності, спеціалізовані форми, встановлені нормативами.)

5.
2
• The following profit indicators are used in economic practice:
• - per unit of output;
• - balance sheet profit from sales;
• - profit from other sales;
• - income and expenses from non-operating activities;
• - taxable;
• - preferential;
• - which remains at the disposal of the enterprise

6.
• The indicator "balance sheet profit" is studied in the analysis of the
financial result of all activities of the enterprise, and the other
indicators - in the analysis of tax formation and profit distribution.

7.
3
• Profit from the sale of marketable products in the general case is
influenced by the following factors:
• - sales volume;
• - implementation structures;
• - cost due to structural changes in products;
• - cost of production due to the cost of individual products;
• - prices for materials and tariffs for services;
• - selling prices for sold products;
• - savings associated with the violation of economic discipline.

8.
4
• To ensure stable profit growth, it is necessary to constantly look for
reserves to increase it. Profit growth reserves are identified both at
the planning stage and in the process of implementing plans.
• The amount of profit growth reserves (Pп.о) due to the increase in
production (works, services) is calculated by the formula
𝑃п. о =
і=1
𝑛
Рпл.од.і ⋅ пдод.од
𝑃пп.од.і – the planned amount of profit per unit of the i-th product
- quantity of additionally sold products in natural units of
measurement
.
.дод
од
п

9.
• If the profit is calculated on hryvnia of production, the sum of a
reserve of its growth at the expense of increase in volume of
realization is defined by the formula
• 𝑃п. о = 𝑁в ⋅
Р1
𝑁1
,
• Nв – possible increase in the volume (growth reserve) of sold
products;
• P1 – actual profit from sales;
• N1 – the actual volume of sold products.

10.
• An important area of use of profit growth reserves is the reduction of
costs for production and sale of products, such as raw materials, fuel,
energy, depreciation of fixed assets and other costs.

11.
5
To assess profitability (profitability), two types of indicators are calculated:
* profitability indicators of the enterprise;
* indicators of product profitability.
• Estimation of profitability of the enterprise can be carried out by means of
such indicators.
• 1. Indicators of return on capital:
𝑅𝑐.к =
Рч
Кс
⋅ 100%
• where - the average value of capital;
• - the amount of net profit
с
К
ч
Р

12.
2. Return on assets:
𝑅а =
Рч
А
⋅ 100%
• - the amount of net profit
• A - the average value of the assets
Factor analysis of product profitability in the process of financial analysis is based
on the "Income Statement". This analysis is based on the model
• 𝑅𝑠 =
Р
𝑆
=
𝑁−𝑆
𝑆
• where P - profit from sales;
• S - total cost of goods sold;
• N - sales volume at selling prices (excluding VAT-ПДВ and other indirect taxes).
ч
Р

13.
6
After paying all taxes, the profit is divided into:
• - expansion of production (accumulation fund);
• - capital investments in the social sphere (social accumulation fund);
• - material incentives (consumption fund);
• - reserve fund of the enterprise.
In the process of analysis study the dynamics of distributed parts of profits:
• - the amount of self-financing;
• - the amount of capital investment per worker;
• - the amount of wages and benefits per worker.

14.
• The main factors that determine (the amount) of contributions to
accumulation and consumption funds are the change in the amount
of net profit and the coefficient of deduction of profit to the relevant
funds (Ki).
• Amount of contributions to the funds:
• Фі = Пч ⋅ Кі