Analysis of Building Sector Performance
2019
Economic performance of a company depends on many factors. They
can include factors easy to influence by the company (internal
factors) or factors that are very difficult to influence
(external factors). An example of an external factor is e.g.
the development of the economy. Internal factors include e.g.
assets structure and liabilities. Other factors which might be
influenced by a company are income structure and
diversification.The contribution analyses a structure of these
parameters for building companies in the Czech Republic between
2012 and 2017. For the analysis, statements of the Czech
Statistical Office for the companies with more than 500
employees were used. The statistical survey was conducted 4
times a year; obligatory participation of the companies in the
survey resulted from the obligations related to the legislation
in force. Company performance assessment is based on the
Economic Value Added (EVA) considering not only the performance
as such (profit) but also the risk that the company or owner
takes in the market. For the analysis, especially financial
analysis tools are used, when financial statements of building
companies in the given economy are analysed. Furthermore,
statistical methods for assessing categories of companies are
used with the aim to describe clearly the significant
differences between the individual categories. In total, 4
categories were determined (ranging from the best-performing
companies to the companies where a collapse is very likely).
The objective of the analysis is to identify an optimal
structure of a building company (machines, inventory, or
material), a method of its financing, and a suitable
diversification of income sources from the perspective of
financial statement. The results show that significant
differences in these structures can be identified and that the
individual structures have a great impact on the overall
company performance. In practice, the results of the analysis
create a benchmark for building company management in the given
economy. The analyses took into account seasonality typical for
the given sector.
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