Evaluation of the structure and dynamics of the organization's net profit. The essence of net profit and its correct calculation

Encyclopedia of Plants 14.10.2019

Encyclopedia of Plants

Directions for the use of net profit are determined by the organization independently. At the expense of net profit, a reserve fund is created (5% of the UK ≤ reserve fund ≤ 25% of the UK), consumption and accumulation funds are formed. In the event that the enterprise is created in the organizational and legal form joint-stock company, income on shares is paid out of net profit - dividends (first on preferred, then on ordinary); owners of enterprises operating in other organizational and legal forms are paid profit on their contribution to the total amount equity enterprises (similar to dividends).

Analysis of the use of net profit is carried out using horizontal and vertical methods of economic analysis. Horizontal at the same time allows you to evaluate the change in the indicators of the same name over time (the absolute deviation of the value of the indicator from that prevailing in the base period is determined, the rate of growth or growth - depending on the goals of the analysis - as a relative deviation). Vertical analysis of the use of net profit involves the calculation of the percentage of deductions for each of the areas of use of profit, while 100% is taken as the value of net profit in the period under review.

As the initial information for the analysis, information from the form No. 3 of the financial statements "Statement on the movement of capital" and section 8 "Social indicators" of the form No. 5 "Appendix to the balance sheet" can be used. It is advisable to carry out the analysis in the following table (Table 9):

Indicators	Reporting period	Same period last year	Deviations
absolute	relative
Net profit	480,6		136,6	39,7%
	100%	100%
Including sent to:
to the reserve fund				41,1%
	5%	5%
to the accumulation fund				154%
	19,6%	10,8%
to the consumption fund				8,6%
	7,9%	10,2%
to the social sphere fund				15%
	19,1%	23,2%
dividends				7,1%
	31,2%	40,6%
Charitable and other purposes	82,6		47,6	136%
	17,2%	10,2%
Equity

Table 9. Horizontal and vertical analysis of the use of net profit (conditional data).

During the analysis, 3 coefficients are calculated for the reporting and base (with which they compare) periods:

1) capitalization ratio (Kkapit):

kcapit= , where

P res.f. – deductions to the reserve fund from the net profit of the reporting year;

P f.accum. – deductions to the accumulation fund from the net profit of the reporting year;

P net - the value of the net profit of the reporting year;

P capital - capitalized profit of the reporting year.

2) Consumption factor (Kcons.): K consumption=100% - Kcapit.;

3) The rate of sustainable growth of equity capital (Tust.r).:

T set=

For the considered example:

1. Capitalization ratio:

For the reporting year (24 + 94)/480.6 = 24.6%;

For the year preceding the reporting year (17 + 37)/344 = 15.7%

2. Consumption ratio:

For the reporting year - 75.4%;

For the year preceding the reporting one - 84.3%.

Including dividends:

For the reporting year - 31.2%;

For the year preceding the reporting year - 40.6%.

3. The rate of sustainable growth is determined by the formula:

For the reporting year - T UR1 =

For the year preceding the reporting year - Т UR2 =

Thus, despite the growth of net profit by almost 40%, the growth rate of equity capital decreased from 7 to 3%. This is due to the fact that the consumption factor occupies too high a share in the net profit of the organization. At the same time, only half of the consumed profit falls on the payment of dividends, and the rest is cash and social payments to employees. The share of capitalized profit for the analyzed period decreased from 24.6% to 15.7%.

A more detailed assessment of the current situation can be carried out using the method chain substitution(factorial analysis).

The growth (decrease) of the listed coefficients cannot be interpreted unambiguously. The growth of the value of capitalized profit (and, accordingly, the capitalization ratio) means an increase in the possibilities of expanded reproduction, i.e. financing of the main activity of the enterprise on an ever-increasing scale at the end of each financial cycle. Other things being equal, this is assessed positively, because:

a) the expansion of the scope of activities implies an increase in the amount of profit received, satisfaction of a greater number of customer needs (or an increase in the level of satisfaction of needs, in any case, a possible increase in the utility delivered to consumers of products) and an increase in the amount of tax deductions to the budget and extra-budgetary funds due to an increase in the tax base ( what the state is interested in);

b) scaling up activities will be financed from own, not borrowed sources. For use own funds the company will not have to pay interest, as under a bank loan agreement or loan agreements with organizations in the non-banking sector.

c) financing of expanded reproduction precisely at the expense of net profit allows the enterprise not to increase the number of shareholders as co-owners of its property, most of which (holders of ordinary shares) have the opportunity to manage the activities of the enterprise.

However, an increase in capitalized (accumulated) profit with a fixed amount of profit at the disposal of the enterprise cannot but mean a decrease in possible deductions to the consumption fund, through which the social needs of the enterprise's employees are met and income is paid on shares, shares, etc. The stability of dividend payments increases the level of attractiveness of the enterprise from the point of view of current and potential shareholders and creditors, leads to an increase in demand for shares and an increase in their price in accordance with the law of demand.

The solution to the question of the direction of use of net profit and the specific amounts of deductions, therefore, is the dilemma of "profit consumed or profit capitalized". Options for its solution are reduced to three types of dividend policy of the enterprise, which in a broad sense should be understood as the mechanism for forming the share of profit paid to the owner in accordance with the share of his contribution to the total amount of the enterprise's own capital.

dividend policy.

There are three main approaches to the formation of dividend policy - "conservative", "moderate" ("compromise") and "aggressive". Each of these approaches corresponds to a certain type of dividend policy (Table 10):

Table 10. Main types of dividend policy of a joint-stock company

1. Residual dividend policy assumes that the dividend payment fund is formed after the need for the formation of its own financial resources is satisfied at the expense of profit, ensuring the full realization of the investment opportunities of the enterprise. If for existing investment projects the level of the internal rate of return exceeds the financial profitability ratio, then the main part of the profit should be directed to the implementation of such projects, since it will ensure a high growth rate of the owners' capital. The advantage of this type of policy is to ensure high rates of development of the enterprise, increase its financial stability. The disadvantage of this policy is the instability of the size of dividend payments, the complete unpredictability of their size in the coming period, and even the refusal to pay them during a period of high investment opportunities, which negatively affects the formation of the level of the market price of shares. Such a dividend policy is usually used only in the early stages. life cycle enterprises associated with a high level of its investment activity.

2. Policy of stable dividend payments involves the payment of a constant amount of them over a long period (at high inflation rates, the amount of dividend payments is adjusted for the inflation index). The advantage of this policy is its reliability, which creates a sense of confidence among shareholders in the invariability of the amount of current income, regardless of various circumstances, determines the stability of the share price on the stock market. The disadvantage of this policy is its weak connection with the financial performance of the enterprise, and therefore, during periods of unfavorable market conditions and low profits, investment activities can be reduced to zero. In order to avoid these negative consequences, a stable amount of dividend payments is usually set at a relatively low level, which classifies this type of dividend policy as a conservative one, minimizing the risk of a decrease in the financial stability of an enterprise due to insufficient equity growth rates.

3. The policy of the minimum stable amount of dividends with a premium in certain periods(or the policy of "extra-dividend") is widely believed to be the most balanced type of it. Its advantage is a stable guaranteed payment of dividends in the minimum prescribed amount (as in the previous case) in close connection with the financial results of the enterprise, which allows increasing the amount of dividends during periods of favorable economic conditions without reducing the level of investment activity. This dividend policy greatest effect at enterprises with unstable profit margins. The main disadvantage of this policy is that with the continued payment of the minimum dividend, the investment attractiveness of the company's shares decreases and, accordingly, their market value falls.

4. Policy of a stable level of dividends provides for the establishment of a long-term normative ratio of dividend payments in relation to the amount of profit (or the norm for the distribution of profit for consumed and capitalized parts). The advantage of this policy is the simplicity of its formation and close connection with the amount of generated profit. Its main disadvantage is the instability of the size of dividend payments per share, determined by the instability of the amount of generated profit. This instability causes sharp fluctuations in the market value of shares for certain periods, which prevents the maximization of the market value of the enterprise in the process of implementing such a policy (because it indicates a high level of risk economic activity given enterprise). Even with high dividend payouts, such a policy does not usually attract risk-averse shareholders. Only mature companies with stable profits can afford to implement this type of dividend policy; if the size of profit varies significantly in dynamics, this policy generates a high risk of bankruptcy.

5. Policy of constant increase in the amount of dividends(carried out under the motto "never reduce the annual dividend") provides for a steady increase in the level of dividend payments per share. The increase in dividends in the implementation of such a policy occurs, as a rule, in a firmly established percentage of growth in relation to their size in the previous period. The advantage of such a policy is to ensure a high market value of the company's shares and the formation of its positive image among potential investors in case of additional issues. The disadvantage of the policy is the lack of flexibility in its implementation and the constant increase in financial tension - if the dividend payout fund grows faster than the amount of profit, then the investment activity of the enterprise is reduced, and the financial stability ratios are reduced (ceteris paribus). Therefore, only really prosperous joint-stock companies can afford the implementation of such a dividend policy - if this policy is not supported by a constant increase in the company's profit, then it is a sure way to bankruptcy.

Taking into account the considered principles, the dividend policy of a joint-stock company is formed according to the following main stages (Fig. 13).

Fig.13. The sequence of formation of the dividend policy of the joint-stock company.

1. Assessment of the main factors that determine the formation of the dividend policy. In the process of such an assessment in the practice of financial management, all factors are usually divided into four groups:

A. Factors characterizing the investment opportunities of the enterprise

· the stage of the life cycle of the company (in the early stages of the life cycle, the joint-stock company is forced to invest more in its development, limiting the payment of dividends);

· the need for a joint-stock company to expand its investment programs (during periods of increased investment activity aimed at expanding the reproduction of fixed assets and intangible assets, the need for profit capitalization increases);

The degree of readiness of individual investment projects with a high level of efficiency (certain prepared projects require accelerated implementation in order to ensure their efficient operation under favorable market conditions, which necessitates the concentration of own financial resources during these periods).

B. Factors characterizing the possibilities of generating financial resources from alternative sources . The main factors in this group are:

· sufficiency of own capital reserves formed in the previous period;

the cost of raising additional equity capital;

the cost of attracting additional borrowed capital;

availability of loans in the financial market;

The level of creditworthiness of a joint-stock company, determined by its current financial condition

B. Factors related to objective limitations. The main factors in this group include:

level of taxation of dividends;

the level of taxation of property of enterprises;

· the achieved effect of financial leverage, due to the prevailing ratio of used own and borrowed capital;

· the actual amount of profit received and the return on equity.

D. Other factors. These factors can include:

The opportunistic cycle commodity market, in which the joint-stock company is a participant (during the period of rising market conditions, the efficiency of profit capitalization increases significantly);

the level of dividend payments by competing companies;

· urgency of payments on previously received loans (maintenance of solvency is a higher priority in comparison with the growth of dividend payments);

· the possibility of losing control over the management of the company (a low level of dividend payments can lead to a decrease in the market value of the company's shares and their massive “dumping” by shareholders, which increases the risk of financial capture of the joint-stock company by competitors).

2. Choosing the type of dividend policy is carried out in accordance with the financial strategy of the joint-stock company, taking into account the assessment of individual factors.

3. Profit distribution mechanism joint-stock company in accordance with the chosen type of dividend policy provides for the following sequence of actions:

At the first stage the amount of net profit shall be deducted from the mandatory contributions to the reserve and other mandatory special-purpose funds provided for by the charter of the company. The "cleaned" amount of net profit is the so-called "dividend corridor" within which the appropriate type of dividend policy is implemented.

At the second stage the remaining part of the net profit is distributed to the capitalized and consumed parts. If a joint-stock company adheres to the residual type of dividend policy, then in the process of this stage of calculations, the priority task is the formation of a production development fund, and vice versa.

At the third stage the consumption fund formed at the expense of profit is distributed to the dividend payments fund and the consumption fund of the personnel of the joint-stock company (providing for additional material incentives for employees and satisfaction of their social needs). The basis of such distribution is the chosen type of dividend policy and the obligations of the joint-stock company under a collective labor agreement.

4. Determining the level of dividend payments for one simple the action is carried out according to the formula:

where UDV PA - the level of dividend payments per share;

FDV - dividend payout fund, formed in accordance with the chosen type of dividend policy;

VP - dividend payment fund to holders of preferred shares (according to their envisaged level), K PA - the number of ordinary shares issued by the joint-stock company.

5. Evaluation of the effectiveness of the dividend policy joint-stock company is based on the use of the following indicators:

a) the dividend payout ratio. It is calculated according to the formulas:

K DV = or K DV =

where K DV - dividend payout ratio

FDV - dividend payout fund, formed in accordance with the chosen type of dividend policy;

PE - the amount of net profit of the joint-stock company;

Yes - the amount of dividends paid per share

PE a - the amount of net profit attributable to one share

b) price-to-earnings ratio per share. It is determined by the formula:

where K c / d - the ratio of price and income per share;

РЦ a - market price of one share;

D a - the amount of dividends paid per share.

In assessing the effectiveness of the dividend policy, indicators of the dynamics of the market value of shares can also be used.

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Introduction
Chapter 2
2.1 Organizational and economic characteristics of the enterprise
2.2 Profit generation analysis

2.3 Management and efficiency in the use of enterprise profits

Chapter 3 Ways to increase the efficiency of using profits in OOO Lukoil-Tsentrnefteprodukt

3.1 Reserves for increasing the profit of the enterprise
3.2 Optimizing the use of enterprise profits
3.3 Ways to improve the formation, distribution and use of profits

Conclusion
List of sources used

Introduction

The activity of any organization is cyclical, within which the necessary resources are attracted, used in the production process, the production product, works, services are sold and financial results are obtained. Various aspects of production, marketing, supply and financial activities receive monetary value in the system of indicators of financial results.

The financial result is the most important indicator of the economic activity of any enterprise and organization. The financial result of the economic activity of the enterprise is determined by the indicator of profits and losses generated during the reporting year.

The most important indicators of financial results are profit indicators, which in a market economy form the basis economic development enterprises and organizations. Profit growth creates a financial basis for self-financing, expanded reproduction, and solving the problems of social and material needs of labor collectives.

Improving financial relations involves the involvement in the economic circulation of free financial resources of enterprises, the population and increasing the efficiency of their use.

The profit of the enterprise acts as a criterion for the effectiveness of a particular production (operational) activity. The individual level of profit of an enterprise in comparison with the industry level characterizes the degree of ability (preparedness, experience, initiative) of managers to successfully carry out economic activities in a market economy. The industry average profit level of enterprises characterizes market and other external factors, which determine the efficiency of production activity, and is the main regulator of the flow of capital in the industry with its more efficient use. At the same time, capital moves to those market segments that are characterized by a significant amount of unsatisfied demand, which contributes to a more complete satisfaction of social and personal needs.

The profit of the enterprise is the main internal source of formation of the financial resources of the enterprise, ensuring its development. The higher the level of profit generation of an enterprise in the course of its economic activity, the less its need to attract financial resources from external sources and the higher the level of self-financing of its development, the implementation of strategic goals, and the increase in competitive positions in the market. Unlike other internal sources of formation of financial resources of an enterprise, profit is a constantly reproducible resource and its reproduction in the conditions of successful management is carried out on an expanded basis.

All this determines the relevance of the analysis of the mechanisms of formation, distribution and use of profit in the enterprise.

This paper deals with the formation, distribution and use of enterprise profits.

To achieve this goal, the following tasks will be solved in the course of the work:

the analysis of the essence and classification of the enterprise's profit was carried out;

the sources of formation and directions of use of the profit of the enterprise are revealed;

the efficiency of using the profits of the Branch of LLC "Lukoil - Tsentrnefteprodukt" was studied;

ways to improve the efficiency of using the profits of the Branch of LLC "Lukoil - Tsentrnefteprodukt" were identified.

The object of the study is the Branch of LLC "Lukoil - Tsentrnefteprodukt" in Lipetsk and the Lipetsk region.

The subject of the study is the formation, distribution and use of profit in the analyzed enterprise.

The theoretical and methodological basis of the study is a set of methods for analyzing financial statements, the method of coefficients, the analysis of time series, general scientific and special methods of understanding economic phenomena and processes.

The empirical basis of the study are:

1. regulatory acts of the Russian Federation

2. materials of the periodical press (in particular, journal articles)

3. accounting data of the Branch of OOO Lukoil - Tsentrnefteprodukt in the city of Lipetsk and the Lipetsk region.

The structure of the work corresponds to the set goals and objectives. The work consists of an introduction, three interrelated chapters, a conclusion, a list of references and applications.

The first chapter considers the essence, classifications, sources of formation, the efficiency of distribution of profits of the enterprise.

The second chapter contains organizational characteristic the object of study - the Branch of LLC "LUKOIL - Tsentrnefteprodukt", analysis of the formation of profit and the efficiency of its use.

The third part discusses ways to improve the efficiency of the use of enterprise profits, as well as optimize its structure.

The work is presented on 86 printed pages, contains 14 tables and 7 figures.

Chapter 1. Theoretical basis evaluating the efficiency of using profits at the enterprise

1.1 Essence and classification of profit

The basis of the market mechanism is the economic indicators necessary for planning and objective assessment of the production and economic activities of the enterprise, the formation and use of special funds, the comparison of costs and results at individual stages of the reproduction process. In the transition to a market economy leading role in system economic indicators plays profit.

Making a profit plays a big role in stimulating the development of production. But due to certain circumstances or omissions in work (failure to fulfill contractual obligations, ignorance of the regulatory documents governing the financial activities of the enterprise), the enterprise may incur losses. Profit is a generalizing indicator, the presence of which indicates the efficiency of production, a favorable financial condition.

The financial condition of an enterprise is a characteristic of its competitiveness (ie, solvency, creditworthiness), the use of financial resources and capital, and the fulfillment of obligations to the state and other organizations. The growth of profits creates a financial basis for the implementation of expanded reproduction of the enterprise and the satisfaction of the social and material needs of the founders and employees.

The basis for the procedure for the formation of profits is adopted for all enterprises, regardless of ownership, a single model. (Fig.1.)

Profit, which takes into account all the results of the production and economic activities of the enterprise, is called balance sheet profit. . It includes - profit from the sale of products (works, services), profit from other sales, income from non-sales operations, reduced by the amount of expenses on these operations.

Rice. 1. Scheme of formation of profit of an economic entity.

In addition, a distinction is made between taxable income and non-taxable income. After the formation of profit, the enterprise pays taxes, and the rest of the profit is at the disposal of the enterprise, i.e. after income tax is paid, is called net income. Net profit is the difference between balance sheet profit and tax payments due to it. The enterprise can dispose of this profit at its own discretion, for production development, social development, incentives for employees and dividends on shares, the rest of the retained earnings, remaining at the disposal of the enterprise, is directed to increase the company's own capital and can be redistributed to the reserve fund - the fund for unforeseen losses, losses, accumulative fund - the formation of funds for production development, the consumption fund - funds for bonuses to employees, the provision of material assistance, the social fund. development - for various festive events.

Various aspects of the production, marketing, supply and financial activities of the enterprise receive a complete monetary value in the system of indicators of financial results. Summarized, the most important indicators of the financial performance of the enterprise are presented in the profit and loss statement.

Profit is the final financial results characterizing the production and economic activities of the entire enterprise, that is, it forms the basis of the economic development of the enterprise.

Due to it, part of the obligations to the budget, banks and other enterprises are fulfilled. Thus, profit becomes the most important for assessing the production and financial activities of the enterprise. It characterizes the estimates of his business activity and financial well-being.

Due to deductions from profits to the budget, the bulk of the financial resources of the state, regional and local authorities are formed, and the rate of economic development of the country, individual regions, the increase in social wealth and, ultimately, the improvement of the living standards of the population largely depend on their increase. Profit is the difference between the sum of income and losses received from different business operations. That is why it characterizes the final financial result of the activities of enterprises.

The main indicator of profit used to evaluate production and economic activities is: balance sheet profit, profit from the sale of products, gross profit, taxable profit, profit remaining at the disposal of the enterprise or net profit.

Since the main part of the profit of the enterprise is received from the sale of manufactured products, the amount of profit is under the interaction of numerous factors: changes in the volume, assortment, quality, structure of manufactured and sold products, the cost of individual products, the price level, and the efficiency of the use of production resources.

In addition, it is influenced by compliance with contractual obligations, the state of settlements between suppliers and buyers, etc. Deductions are made from profits to the budget, and interest on bank loans is paid.

The main purpose of profit in modern conditions management - a reflection of the efficiency of production and marketing activities of the enterprise. This is due to the fact that the amount of profit should reflect the correspondence of the individual costs of the enterprise associated with the production and sale of its products and acting in the form of cost, socially necessary costs, indirect expression of which should be the price of the product. The increase in profits in the conditions of stable wholesale prices indicates a decrease in the individual costs of the enterprise for the production and sale of products.

In modern conditions, the importance of profit as an object of distribution, created in the field of material production of net income between enterprises and the state, is increasing. various industries national economy and enterprises of the same industry, between the sphere of material production and the non-productive sphere, between enterprises and its employees.

The work of the enterprise in the transition to a market economy is associated with an increase in the stimulating role of profit. The use of profit as the main estimated indicator contributes to the growth of the volume of production and sales of products, improving its quality, and improving the use of available production resources. The strengthening of the role of profit is also due to the current system of its distribution, in accordance with which the interest of enterprises in increasing not only the total amount of profit, but especially that part of it that remains at the disposal of the enterprise and is used as the main source of funds allocated for production and social development, as well as material incentives for employees in accordance with the quality of the labor expended.

Thus, profit plays a decisive role in stimulating a further increase in production efficiency, strengthening the material interest of workers in achieving high performance results of their enterprise. Further strengthening of the distributive and stimulating role of profit is associated with the improvement of the mechanism for its distribution.

However, profit cannot be considered as the only and universal indicator of production efficiency.

If the growth rate of cost indicators exceeds the growth rate of production of specific types of products in physical terms, there is a decrease in the efficiency of the use of production resources per unit of its useful effect. This finds expression in the increase in material intensity, labor intensity, wage intensity, capital intensity and, ultimately, the unit cost of specific types of products in natural terms. The size and growth rate of profits do not fully reflect the change in the volume and efficiency of the use of fixed assets and working capital.

The change in economic indicators for any time period occurs under the influence of many different factors. The variety of factors affecting profits requires their classification, which at the same time is important for determining the main directions, searching for reserves to improve the efficiency of management.

Factors affecting profit can be classified according to different features. So distinguish external and internal factors. Internal factors include factors that depend on the activities of the enterprise itself and characterize various aspects of the work of this team. External factors include factors that do not depend on the activities of the enterprise itself, but some of them can have a significant impact on the growth rate of profits and profitability of production.

In turn, internal factors are divided into production and non-production. Non-production factors are mainly related to commercial, environmental, claims and other similar activities of the enterprise, and production factors reflect the presence and use of the main elements of the production process involved in the formation of profit - these are means of labor, objects of labor and labor itself.

For each of these elements, groups of extensive and intensive factors are distinguished.

Extensive factors include factors that reflect the volume of production resources (for example, changes in the number of employees, the cost of fixed assets), their use over time (changes in the length of the working day, equipment shift ratio, etc.), as well as non-productive use of resources (the cost of materials for marriage , losses due to waste).

Intensive factors include factors that reflect the efficiency of resource use or contribute to this (for example, advanced training of workers, equipment productivity, the introduction of advanced technologies).

In the process of carrying out the production activities of an enterprise related to the production, sale of products and profit, these factors are closely interconnected and dependent.

Primary factors of production affect profit through a system of generalizing factor indicators of a higher order. These indicators reflect, on the one hand, the volume and efficiency of the use of their consumed part involved in the formation of the cost.

Thus, we can conclude that the same elements of the production process, namely the means of labor, objects of labor and labor, are considered, on the one hand, as the main primary factors for increasing the volume industrial products, and on the other - as the main primary factors that determine production costs.

Since profit is the difference between the volume of production and its cost, its value and growth rate depend on the same three primary factors of production that affect profit through the system of indicators of industrial output and production costs.

The financial result of the enterprise is expressed in the change in the value of its own capital for the reporting period. The ability of an enterprise to ensure the growth of its own capital can be assessed by a system of indicators of financial results.

These include:

profit (loss) from sales;

profit (loss) from financial and economic activities;

profit (loss) of the reporting period;

retained earnings (loss) of the reporting period;

profit (loss) from other sales (fixed assets and other property);

profit (loss) from non-sales activities;

profit remaining at the disposal of the organization after paying income tax and other obligatory payments (net profit);

gross profit from the sale of goods, products, works and services.

Indicators of financial results (profit) characterize the absolute efficiency of the management of the enterprise in all areas of its activity: production, marketing, supply, financial and investment. They form the basis of the economic development of the enterprise and the strengthening of its financial relations with all participants in this business.

Profit growth creates a financial base for self-financing, expanded reproduction, solving the problems of social and material incentives for personnel. Profit is also the most important source of budget revenues (Federal, Republican, local) and repayment of the organization's debt obligations to banks, other creditors and investors. Thus, profit indicators are the most important in the performance evaluation system and business qualities enterprise, the degree of its reliability and financial well-being.

The amount of profit is influenced by a significant number of external (independent of the activities of the enterprise) and internal factors.

External factors include:

political stability;

the state of the economy;

demographic situation;

market conditions, including the consumer goods market;

inflation rates;

loan interest rate.

To internal factors relate:

the volume of gross income (and, accordingly, the factors that determine it);

the size of distribution costs;

labor productivity of employees;

goods turnover rate;

availability of own working capital;

efficiency of use of fixed assets.

Profit as a financial category performs the following three functions:

distribution, as a tool for the distribution of monetary and financial resources in the process of expanded reproduction. On the one hand, profit is the result of distribution relations / proceeds from the sale of products, goods, works and services, minus production and sales costs, and on the other hand, the profit itself is distributed according to its intended purpose (payment of taxes, dividends to shareholders and shareholders, and also various trust funds);

estimated - by the amount of profit and the level of profitability, they judge the efficiency of the economic activity of the enterprise and organization.

stimulating - lies in the fact that, on the one hand, part of the profit is directed to finance measures to improve production, strengthen financial condition enterprises (organizations), and on the other hand, funds for economic incentives for employees of the enterprise are created at the expense of profit.

The profit of consumer cooperation as a diversified economic system consists of the profit of a number of industries: trade, public catering, procurement, industry, transport, construction, etc.

At the same time, the sources and procedure for generating profits have industry-specific features. So, in trade - the leading branch of consumer cooperation - the main source of gross income and profits are trade allowances for goods purchased from suppliers; in public catering - margin on purchased goods and products own production; in blanks - the difference between the proceeds from the sale of purchased products and its value at purchased prices; in industry - the difference between the proceeds from the sale of products and the costs of its production and sale.

Considering the essence of profit, some of its characteristics should be noted.

1. Profit is a form of income in a certain type of activity, but it is not sufficient to fully characterize it, since in some cases active activity in any area may not be related to making a profit (for example, political, charitable, etc.). P.).

2. The category of profit is inextricably linked with the category of capital - a special factor of production - and in an average form characterizes the price of functioning capital.

3. Profit is not a guaranteed income, but the result of the skillful and successful implementation of activities. To a certain extent, profit is a payment for the risk of carrying out activities. The level of profit and the level of risk is directly proportional.

4. Profit characterizes not all income received in the course of activity, but only that part of it, which is cleared of the costs of carrying out this activity. In quantitative terms, profit is a residual indicator representing the difference between total income and total costs in the process of doing business.

5. Profit is a value indicator expressed in monetary terms. This form of profit assessment is associated with the practice of generalized cost accounting of all the main indicators related to it - invested capital, income received, costs incurred, etc., as well as with current procedure tax regulation.

Taking into account the considered main characteristics of profit, its concept in the most generalized form can be formed as follows. Profit is a net return on invested capital, expressed in cash, characterizing the reward for the risk of carrying out activities and representing the difference between total income and total costs in the process of carrying out this activity.

Rice. 2. The role of profit in a market economy

Profit is the simplest and at the same time the most complex category of the market economy. Its simplicity is determined by the fact that it is the core and main driving force economy of the market type, and complexity - the variety of essential aspects and guises in which it appears.

The profit of the enterprise is main goal his activities. The main motive for the implementation of any type of activity is the growth of the welfare of the owners of the enterprise. A characteristic of this growth is the amount of current and deferred income on invested capital, the source of which is the profit received.

If for the owners of the enterprise, obtaining high level profit is a quite obvious motive for activity, then does it remain an equally motivating motive for the activity of hired managers of the enterprise and the rest of its personnel?

For managers who are not owners of the enterprise, profit is the main measure of the success of their activities. An increase in the level of profits of the enterprise raises the market price of these managers and affects the level of their personal wages.

For the rest of the staff, the level of profit of the enterprise is also a fairly high incentive for activity, especially if there is a program for the participation of employees in profits. The profitability of the enterprise is not only a guarantee of their employment, but to a certain extent provides additional material remuneration and satisfaction of social needs.

The profit of the enterprise creates the basis for the economic development of the state as a whole. The mechanism of redistribution of enterprise profits through the tax system makes it possible to fill the revenue side of state budgets at all levels and enables the state to successfully fulfill its functions of developing the economy.

The profit of an enterprise is a criterion for the effectiveness of a particular production (operational) activity. The individual level of profit of an enterprise in comparison with the industry level characterizes the degree of ability (preparedness, experience, initiative) of managers to successfully carry out economic activities in a market economy. The industry average level of profit of enterprises characterizes market and other external factors that determine the efficiency of production activities, and is the main regulator of the flow of capital into the industry with its more efficient use. At the same time, capital moves to those market segments that are characterized by a significant amount of unsatisfied demand, which contributes to a more complete satisfaction of social and personal needs.

Profit is the main source of increasing the market value of the enterprise. The ability to self-increase the cost of capital is ensured by capitalizing a part of the profit received by the enterprise, its direction for the growth of assets. The higher the level of capitalization of the received profit, the greater the increase in the value of net assets formed at the expense of equity capital, and, accordingly, the market value of the enterprise as a whole, determined during its sale, merger, absorption and in other cases.

The profit of the enterprise is the most important source of meeting the social needs of society. Funds transferred to budgets different levels in the process of taxation of profits, serve as a source of support for a variety of national and local social programs aimed at providing assistance to socially vulnerable members of society. At the expense of the received profit of the enterprise, part of the social needs of its personnel is financed ( social programs are integral integral part collective or individual labor agreements). The social role of profit is also manifested in the fact that it serves as a source of charitable activities of the enterprise, aimed at financing individual non-profit organizations and institutions in the social sphere.

Profit is the main protective mechanism that protects the enterprise from the threat of bankruptcy. The company is much more successful out of the crisis with a high potential for generating profits. Due to the capitalization of the received profit, it is possible to quickly increase the share of highly liquid assets (restore solvency), increase the share of equity while reducing the amount of borrowed funds, and form reserve financial funds.

Representing the final financial result, profit is the main indicator in the system of enterprise goals. At the same time, profit is a very complex economic category and, therefore, its various definitions, interpretations, and representations are possible. Several approaches to determining profit have been described in the literature. Two of them - with conditional names: economic and accounting - can be considered as basic.

The essence of the economic approach is as follows: profit (loss) is an increase (decrease) in the capital of owners that took place in the reporting period. Economic profit can be calculated either on the basis of the dynamics of market valuations of capital, or on the basis of liquidation balance sheets at the beginning and end of the reporting period.

It turns out that in any case, the value of the profit calculated in this way will be exclusively conditional. The conditionality of the quantitative assessment of profit in this approach is manifested not only in the subjectivity of the quantification of the initial base for calculation, but in the fact that not all changes in equity can be considered elements of profit.

That is why the accounting approach to determining profit seems to be much more reasonable and realistic, according to which profit (loss) is a positive (negative) difference between income commercial organization, understood as an increase in the aggregate valuation of its assets, accompanied by an increase in the owners' capital, and its expenses, understood as a decrease in the aggregate valuation of assets, accompanied by a decrease in the owners' capital, with the exception of the results of operations related to the deliberate change of this capital. Note that both considered approaches do not contradict each other in principle, moreover, the economic approach is useful for understanding the essence of profit, the accounting approach is useful for understanding the logic and order of its practical calculation.

There are two main differences between economic and accounting approaches. The first is that, unlike the economic approach, the elements of profit are clearly identified in the accounting approach, i.e. types of income and expenses, and their separate accounting is kept. Thus, there is always a verifiable and objective information base for calculating the final financial result. The second difference lies in the unequal interpretation of the so-called realized and unrealized income. The economic approach does not distinguish between realized and unrealized income: on the contrary, the accounting approach is guided by the principle of caution, according to which "expenses are always obvious, and incomes are always doubtful" or it is better to recognize expenses earlier than later, and it is better to recognize revenues later than earlier "not is in a hurry to recognize unrealized income, more precisely, this income will be called up as profit only after its realization.

Note that both considered approaches do not contradict each other in principle; Moreover, the economic approach is useful for understanding the essence of profit, the accounting approach is useful for understanding the logic and order of its practical calculation.

1.2 Sources of formation and directions of use of profit

The financial result is an increase (or decrease) in the value of the organization's own capital, formed in the course of its entrepreneurial activity.

The theoretical basis for the economic analysis of the financial performance of an enterprise is the unified model of the economic mechanism of an enterprise in market conditions, based on the formation of profit, adopted for all enterprises, regardless of the form of ownership. financial performance, the unity of the processes of formation and distribution of profits, the unity of the taxation system. Indicators of financial results characterize the absolute efficiency of the management of the enterprise. The most important among them is the indicator of profit. The end financial result of the production and economic activities of the enterprise is the balance sheet profit.

The overall financial result of economic activity in accounting is determined in the profit and loss account by calculating and balancing all profits and losses for the reporting period. Business transactions in the profit and loss account are reflected on an accumulative basis, i.e. cumulative total since the beginning of the reporting period.

Another principle for determining financial results is the use of the accrual method. For this reason, the profit (loss) shown in the income statement does not reflect the real cash inflow of the enterprise as a result of its economic activities. To restore the real picture of the value of the financial result of the enterprise as an increase (or decrease) in the value of its capital formed in the course of its economic activity during the reporting period, additional corrective calculations are needed.

On the profit and loss account, the financial results of the enterprise are reflected in two forms:

As results (profit or loss) from the sale of products, works, services, materials and other property, with their preliminary identification in separate sales accounts;

As results not directly related to the implementation process, the so-called non-operating income (profits) and losses (losses).

The main indicators of profit are:

total profit (loss) of the reporting period - gross profit (loss);

profit (loss) from the sale of products (works, services);

profit from financial activities;

profit (loss) from other operations;

taxable income;

net profit.

All indicators are contained in the form No. 2 of the quarterly and annual financial statements of the enterprise - "Profit and Loss Statement".

Balance sheet profit (loss) is the sum of profit (loss) from the sale of products, financial activities and income from other non-sales operations, reduced by the amount of expenses on these operations.

Profit (loss) from the sale of products (works, services) is defined as the difference between the proceeds from the sale of products in current prices, excluding VAT, special taxes and excises, and the costs of its production and sale.

Profit (loss) from financial activities and from other non-sales transactions is determined as a result of operations, as well as the difference between the total amount received and paid:

fines, penalties and forfeits and other economic sanctions;

interest received on the amounts of funds on the accounts of the enterprise;

exchange rate differences on currency accounts and transactions in foreign currency;

profits and losses of previous years identified in the reporting year;

losses from natural disasters;

losses from writing off debts and receivables;

receipts of debts previously written off as uncollectible;

other income, losses and expenses attributed in accordance with the current legislation to the profit and loss account. At the same time, the amounts contributed to the budget in the form of sanctions in accordance with the legislation of the Russian Federation are not included in the expenses from non-sales operations, but are attributed to the decrease in net profit, i.e. profit remaining at the disposal of the enterprise after paying income tax.

Taxable income is determined by a special calculation. It is equal to the balance sheet profit, reduced by the amount:

contributions to the reserve and other similar funds, the creation of which is provided for by law (until the size of these funds reaches no more than 25% of the statutory fund, but not more than 50% of profit subject to taxation);

rent payments to the budget;

income from securities and from equity participation in the activities of other enterprises;

income from casinos, video salons, etc.;

income from insurance activities;

profits from individual banking operations and transactions;

the exchange rate difference formed as a result of changes in the exchange rate of the ruble against foreign currencies quoted by the Central Bank of the Russian Federation;

profits from the production and sale of industrial agricultural and hunting products.

Net profit of the enterprise, i.e. the profit remaining at his disposal is determined as the difference between the balance sheet profit and the sum of profit taxes, rent payments, export and import taxes.

Net profit is directed to production development, social development, material incentives for employees, the creation of a reserve fund, the payment to the budget of economic sanctions related to the violation of the current legislation by the enterprise, for charitable and other purposes.

An integral feature of a market economy is the emergence of consolidated profits.

Consolidated profit is the profit consolidated according to the financial statements on the activities and financial results of parent and subsidiaries. Consolidated financial statements are a combination of the statements of two or more business entities that are in certain legal and financial and economic relationships. The need for consolidation is determined by economic feasibility. It is beneficial for entrepreneurs to create several smaller enterprises, legally independent, but economically interconnected, instead of one large company. in this case, savings on tax payments can be obtained. In addition, due to the fragmentation and limitation of legal liability for obligations, the degree of risk in doing business is reduced, greater mobility in the development of new forms of capital investment and markets.

Profit from the sale of products (goods, works, services) is the difference between the proceeds from the sale of products without VAT, special taxes, excises, export tariffs, and production and sales costs included in the cost of production.

The proceeds from the sale of products is determined either as it is paid for or as the goods (products, works, services) are shipped and the payment documents are presented to the buyer. The method for determining the proceeds from the sale of products is established by the enterprise for a long time based on the conditions of management and the conclusion of contracts. In the sectors of the sphere of commodity circulation (trade, public catering), instead of the category "revenue from the sale of products", the category "turnover" is used. The essence of trade is economic relations associated with the exchange of cash income for goods in the order of sale. In foreign practice, instead of the term "revenue", the term "gross income" is often used. Gross income as an economic category expresses the newly created value, or the net output of an economic entity. In the practice of planning and accounting in trade, gross income is understood as the sum of trade allowances (discounts); in public catering - the sum of trade allowances (discounts) and margins. Scheme of formation and distribution of gross profit:

Balance sheet profit is the basis for determining the amount of taxable profit.

For the purposes of taxation of profits of enterprises in accordance with the law of the Russian Federation “On the tax on profits of enterprises and organizations”, the gross profit indicator is calculated, which is determined on the basis of balance sheet profit, but taking into account two circumstances: when determining profit from the sale of fixed assets and other property for the purposes of taxation, the gross profit includes the difference between the selling price and the original or residual value these funds and property, and this value is increased by the inflation index, officially approved in in due course for this period.

For the purposes of calculating taxable profit, gross profit is adjusted:

increases by the amount of the excess of the cost of wages for the personnel of the enterprise engaged in the main activity, as part of the cost of goods sold in comparison with their normalized value;

is reduced by:

1) rent payments made to the budget in the prescribed manner;

2) income received from shares, bonds and other securities owned by the enterprise;

3) income from equity participation in the activities of other enterprises;

4) profits from the production and sale of agricultural products produced;

5) profits from insurance activities and banking operations and transactions;

6) income from video salons, holding concert events, from intermediary activities.

When determining taxable profit, the amount of deductions to reserve and other similar funds formed by enterprises is excluded from gross profit.

As the profit is received, the enterprise uses it in accordance with the current legislation of the state and the constituent documents of the enterprise. Currently, the profit (income) of the enterprise is used in the following order:

1) profit (income) tax is paid to the budget;

2) deductions are made to the reserve fund;

3) funds and reserves are formed, provided for by the constituent documents of the enterprise.

Profit is a complex calculated indicator, the value of which is influenced by many factors: types of income and expenses, their assessment, the moment of recognition of a specific income and a specific expense, the degree of centralized controllability of the moment of recognition and the amount of income or expense, etc.

There are quite a lot of types of income and expenses, however, from the standpoint of current activities, the structure and significance of their individual types differ significantly.

Accounting for financial results is organized on the basis of PBU 9/99 "Income of the organization" and PBU 10/99 "Expenses of the organization". These provisions are developed in pursuance of the Accounting Reform Program in accordance with international standards financial reporting.

The income of the organization is divided into:

income from ordinary activities;

operating income;

Other income;

Income from ordinary activities includes:

proceeds from the sale of products and goods;

income related to the performance of work, services rendered.

Operating income includes:

income from the provision for a fee for temporary use of their assets;

income from participation in authorized capitals other organizations;

interest received on loans.

Sales proceeds are determined on the basis of all receipts related to settlements for goods sold (works, services), other property or property rights (clause 2, article 259 of the Tax Code of the Russian Federation). Receipts must be expressed in cash and (or) in kind. When determining the proceeds received, the code prescribes the use of one of two methods for determining the date of receipt of income - accrual or cash.

The use of these methods is regulated by articles 271 and 273 of the Tax Code of the Russian Federation. In accordance with Article 271, most organizations must determine the proceeds from the sale of products (works, services) as they are shipped. Only organizations whose revenue does not exceed 1 million rubles. per quarter, will be able to determine it on a cash basis. Among their incomes included in the tax base, receipts in the order of advance payment for goods (works, services) should be taken into account, which follows from Art. 251 of the Tax Code of the Russian Federation. According to paragraph 1 of this article, property, property rights, works and services received from other persons in the order of advance payment for goods (works, services) are not taken into account when determining the tax base only for taxpayers who determine income and expenses on an accrual basis. Organizations that will be able to apply the cash method of accounting for income will also have to take into account expenses at the time of actual payment, and not accrual.

Income from non-sales operations is reduced by the amount of expenses on these operations (Appendix 1).

The expenses of the organization are recognized as a decrease in economic benefits as a result of the disposal of assets / cash, other property and (or) the emergence of liabilities, leading to a decrease in contributions by decision of the participants (property owners).

They are not recognized as expenses and therefore do not affect the amount of asset disposal capital due to:

acquisition (creation) of non-current assets;

contributions to the authorized (reserve) capitals of other organizations and the acquisition of shares and other securities not for the purpose of resale;

transfer of funds within the framework of charitable activities, organization of recreation, sports, cultural and educational events;

commission agreements;

transfer of advances and deposits;

repayment of previously received loans and borrowings.

Ordinary business expenses include expenses associated with the manufacture (or acquisition) and sale of products, as well as the recovery of the cost of depreciable assets (for example, property, plant and equipment and intangible assets) in the form of depreciation charges. Expenses for ordinary activities are reflected in the accounting system in an amount calculated in monetary terms, equal to the amount of payment (or) the amount of accounts payable.

Expenses, depending on the nature, as well as the conditions for implementation and direction of activity, are divided into expenses related to production and sale, and non-operating expenses.

The costs associated with the production and sale are divided into:

material expenses (Article 254 of the Tax Code of the Russian Federation);

labor costs (Article 255 of the Tax Code of the Russian Federation);

the amount of calculated depreciation (Articles 256-259 of the Tax Code of the Russian Federation);

other expenses (Articles 260-264 of the Tax Code of the Russian Federation).

The composition of non-operating expenses not related to production and sale includes the justification of the costs of carrying out activities not directly related to production and (or) sale. These expenses include:

fines, penalties, forfeits for violation of the terms of the contract paid;

compensation for damages caused to third parties;

losses of previous years recognized in the reporting year;

the amount of receivables for which the limitation period has expired, and other debts that are not real for collection;

the amount of depreciation of assets (excluding non-current assets);

losses from the write-off of previously awarded debts for shortages and theft, for which writs of execution were returned with a court-approved act of insolvency of the defendant.

The most important source of profit formation is the gross income from sales. In industry, it is equal to revenue minus material costs for production. Gross trade income is an indicator that characterizes the financial result of trading activity and is defined as the excess of proceeds from the sale of goods and services over the costs of their acquisition. According to the Goskomstat of Russia, gross income from sales trade organizations is defined as the difference between the sale and purchase value of goods sold, excluding VAT and sales tax.

In the accounting of organizations, gross income from sales is also calculated according to a special method as the sum of the trade allowance (margin, cape) attributable to goods sold. In the profit and loss statement (form 2), the gross income of trade organizations is reflected in line 029 "Gross profit". It is equal to the difference between the proceeds (net) from the sale of goods, products, works, services (minus mandatory payments from the proceeds) and the purchase price (cost) of the goods sold.

Mandatory payments that are excluded from revenue when determining the financial plan from sales include the amount of value added tax (VAT), excises, sales tax, export duties and other mandatory deductions from revenue.

Profit or loss is the main indicator that reflects the financial result, the sum of the totality of income and expenses arising from the implementation of business operations.

The scheme for the formation and use of profits is reflected in Appendix 1. The accounting regulation "Accounting statements of the organization"

Rice. 3. Scheme of interconnection of income and expenses of the enterprise

(PBU 4/99), five main indicators of profit are provided: gross profit, profit from sales, profit before tax, profit from ordinary activities, retained earnings.

If we subtract distribution costs from gross income (gross profit), we get the financial result (profit or loss) from sales. Operating income is added to it and operating expenses are subtracted. Non-operating income is added to the result obtained and non-operating expenses are subtracted.

Thus, they receive profit before tax. Income tax and other similar obligatory payments are deducted from it (fee for the use of the names "Russia", " Russian Federation”, excess deductions for pollution environment sanctions for violation of tax laws). After that, profit (loss) from ordinary activities will be obtained.

Organizations can make deductions from it for charitable purposes; direct to the formation reserve capital, social funds and other purposes at the discretion of management. Organizations have the right to spend funds for various purposes of an industrial or non-productive nature directly from retained earnings. But in any case, costs related and not related to production activities should be analyzed in order to economically justify their distribution.

Accounting for profit and loss is carried out on a synthetic account 99 "Profit and Loss". It is designed to identify the financial result of the organization's activities for the reporting year. Recordings are kept cumulatively throughout the year. On the first day of the new year, there should be no balance on this account.

1.3 Profit distribution efficiency

The efficiency of the functioning of the enterprise depends not only on the amount of profit received, but also on the nature of its distribution. The order of its distribution is shown in fig. 3. It shows that one part of the profit in the form of taxes and fees goes to the state budget and is used for the needs of society, and the second part remains at the disposal of the enterprise and is used to pay dividends to the shareholders of the enterprise, to expand production, create reserve funds, etc. d.

To increase the efficiency of production, it is very important that the distribution of profits be optimal in satisfying the interests of the state, enterprises and workers. The state is interested in getting as much profit as possible in the budget. The management of the enterprise seeks to direct a large amount of profit to expanded reproduction. Employees are interested in increasing their share in the use of profits.

However, if the state imposes very high taxes on enterprises, this does not stimulate the development of production, in connection with which the volume of output and sales of products is reduced, and as a result, the flow of funds to the budget. The same can happen if the entire amount of profit is used to pay dividends to the shareholders of the enterprise. In this case, in the future, production will decrease, since the main production assets, will reduce its own working capital which could eventually lead to the bankruptcy of the company. If the share of dividend payments in the use of profits decreases, then this, in turn, will lead to a decrease in the investment attractiveness of the enterprise. Therefore, each enterprise must find the optimal variant of profit distribution. An important role in this should be played by the analysis of economic activity.

In the process of analysis, it is necessary to study the factors of changes in the amount of taxable profit, the amount of dividends paid, interest, taxes from profits, the amount of net profit, deductions to the funds of the enterprise, the methodology of which is most fully developed by N.A. Hare.

Fig.5. General profit distribution scheme

For analysis, the Law on Taxes and Fees levied to the budget, instructive and methodological instructions of the Ministry of Finance, the Charter of the enterprise, as well as data from the profit and loss statement, appendix to the balance sheet, statement of changes in capital, calculations of income tax, income, etc. .

Types of net profit analysis

Net profit analysis carried out in a variety of ways. Among the most common are horizontal, vertical and factor analysis. In addition, an important stage in the study of the financial results of the company, a component of which is net profit, is the analysis of the quality of net profit and its use.

All of the above types of analysis have one important common element - a single preliminary stage. It includes studying the structure of the company's income and expenses. Such a study allows you to get a general picture of the impact of the full set of income and expenses of the enterprise on its net profit.

General indicators of income and expenses act as integrated factors in the formation of net profit, and their change - as a factor in the change in net profit.

The basis is a simple model of factor analysis of changes in net profit:

∆CHP = ∆D - ∆R,

where ∆NP, ∆D and ∆Р are the change in net profit, income and expenses, respectively.

For example, if in the current period the company's income increased by 5,000,000 rubles, and expenses - by 3,000,000 rubles, then the change in net profit compared to the previous period will be 2,000,000 rubles. (∆CHP = 5,000,000 - 3,000,000).

This analysis model can be detailed by deciphering income and expenses in the formula as income and expenses from core activities (OD and OR) and other income and expenses (PD and PR). As a result, we get the 2nd analysis model:

∆CHP = (∆OD + ∆PD) - (∆OR + ∆PR) = (∆OD - ∆OR) + (∆PD - ∆PR).

From this formula, you can determine what contributed to the change in the company's net profit to a greater extent - its main activity or others.

The preliminary stage allows you to identify the overall ratio of income and expenses, and all subsequent analytical operations are aimed at a detailed study of the factors affecting the formation of net profit.

We will discuss these types of analysis in more detail in the following sections.

Horizontal and vertical analysis of net profit

For horizontal and vertical analysis, it is necessary to know the indicators that form the net profit. All of them are presented in one of the most important accounting reports - on financial results. By studying it, you can analyze the impact of each indicator on net profit over time.

The name "horizontal analysis" characterizes the process of its implementation. The study is carried out horizontally: the indicators of each component of net profit in the current period are compared with the corresponding indicators for the same period of time last year. The result is expressed as a percentage.

For example, the proceeds from the sale for 9 months of 2015 amounted to 100,000,000 rubles, and for 9 months of 2014 - 170,000,000 rubles. Horizontal analysis will reveal that in the current year, revenue has decreased by 41% from the level of the previous period:

(100,000,000 - 170,000,000) / 170 × 100.

Similarly, all indicators affecting net profit are considered: the cost of production;

gross profit;
administrative and commercial expenses;
revenue from sales;
other income and expenses.

For more information about the gross income of the company, see the article .

Vertical analysis involves the study of indicators from top to bottom in the lines of the income statement. It allows you to determine the structure of the formation of net profit indicators.

Analyzing net profit, the company's specialists evaluate the level and dynamics of indicators that form net profit and identify possible profit margins based on optimization of sales volumes and production and distribution costs.

Factor analysis of net profit

Factor analysis of net profit begins with a grouping of all the factors influencing its magnitude. They form 2 large groups: external and internal factors.

External factors are those that do not depend on the company itself and cannot be controlled by it. Such influences include force majeure circumstances, natural (climatic) features, etc. This also includes, for example, a change in state tariffs, an inflationary impact on prices (for raw materials, fuel, etc.) or a violation by counterparties of the terms of business contracts.

Internal factors are those that depend on the firm itself and determine the results of its work (accounting methods, cost structure, etc.).

In general, net profit is determined according to the following algorithm:

PE \u003d B - SS - KR - UR + PD - PR - NP,

B - proceeds from sales;

SS - the cost of production;

UR and CR - management and commercial expenses;

PD and PR - other income and expenses;

NP - income tax.

On the income statement lines, it looks like this:

Page 2400 = page 2110 - page 2120 - page 2210 - page 2220 + page 2310 + page 2320 - page 2330 + page 2340 - page 2350 - page 2410 ± page 2430 ± page 2450 ± page 2460.

Factor analysis of changes in net profit (∆NP) in the reporting period in comparison with the same segment of the previous year is carried out according to the following formula:

∆CHP = ∆V + ∆SS + ∆CR + ∆UR + ∆PD + ∆PR - ∆SNP,

∆В — change in revenue;

∆СС - change in cost, etc. (change in other factors affecting profit);

∆SIT is the change in the current income tax adjusted for deferred tax assets (IT) and liabilities (IT).

For more information about SHE and IT, see the article .

Factor analysis based on this formula gives a generalized idea of the impact of the financial results of various activities of the company on its net profit.

Analysis of the quality and use of net profit

The quality of profit is considered to be a generalized structure of the sources of formation of net profit. The analysis of the quality of net profit is aimed at reducing the gap between the amounts of net profit reflected in the accounting statements and its real value, supported by the actual inflow of money into the company.

Merchants themselves are able to influence the amount of profit through the formation of a rational accounting policy. For example, a company has the right to determine and fix in its accounting policy such methods of accounting for assets as depreciation of fixed assets ( linear method, reducing balance method, etc.), the procedure for writing off the cost of inventories (FIFO, at average cost, etc.), the procedure for creating reserves, etc. All these factors can have a significant impact on the amount of net profit.

Another important task for the company is to analyze the use of net profit. Net profit is involved in the calculation of profit per share - a characteristic of the company's market activity, indicating the net profit earned in the reporting period per share:

PR A \u003d (PE - D PA) / K A,

PR A - earnings per share;

DPA - dividends on preferred shares;

K A - the number of ordinary shares in circulation.

Any user of reporting can analyze the use of net profit of joint-stock companies. Public joint stock companies are required to disclose 2 indicators in their reporting: basic earnings (loss) per share and diluted earnings (loss) per share.

At the same time, the basic profit is determined on the basis of actual data, and the diluted profit indicator is of a predictive nature and shows the possible degree of decrease in profit or increase in loss attributable to 1 ordinary share in the event of:

conversion of preferred shares and other securities of the joint-stock company into ordinary shares;
execution of contracts for the sale and purchase of ordinary shares from the issuer at a price below their market value.

Thus, dilution represents a decrease in profit (or an increase in loss) per 1 ordinary share due to the possible issue of additional ordinary shares in the future without a corresponding increase in the assets of the JSC.

Results

Analysis of the formation of net profit It is subdivided into several types: horizontal, vertical, factorial analysis. Separately, the quality of net profit, its dependence on the accounting policy of the company and the use of net profit by owners are analyzed.

The study of all factors and indicators that affect profit allows you to identify potential profit margins based on optimization of sales volumes and production and distribution costs.

Economic analysis Klimova Natalia Vladimirovna

Question 50 Analysis of the use of net profit

Analysis of the use of net profit

Control over the distribution of profits in practice is carried out through the submission of appropriate reports. However calendar year, for which the reporting is presented, is part of the overall period of development of the organization. That's why outward manifestation indicators can distort reality. Financial statements due to the lack of completeness of reflection do not allow to make detailed analysis profit distribution. Meanwhile, the following areas of profit use can be distinguished: deductions to the budget in the form of taxes, to reserve or similar funds, payment of income to members of the organization and for business development. The latter includes the expansion of production, the renewal of fixed assets, technical re-equipment, the introduction of innovations, material incentives for employees of the organization, social development of the team, etc.

In the process of analyzing the use of profit, it is necessary to establish the validity of the structure of its distribution in each direction in conjunction with the indicators: profitability of production and sales, the amount of profit and investment per employee and per ruble of fixed assets, the coefficient of financial stability and the provision of own working capital. Financial performance management involves an economically justified impact on factors that contribute to increasing profits. For example, an increase in selling expenses is justified under the condition of an increase in turnover and active promotion of goods to markets.

Distribution of net profit in joint-stock companies main question dividend policy of the company.

Dividend policy - element corporate culture, which increases the confidence in the joint-stock company on the part of potential shareholders; it has a positive effect on the investment attractiveness of the company, contributing to the growth of market prices for its shares.

The validity of the dividend policy, its openness is evidence of the observance by the management of the joint-stock company of the interests of shareholders, owners of both large and small blocks of shares.

Dividend policy is developed and approved general meeting shareholders in accordance with the Law "On Joint Stock Companies" and describes in detail the rules for declaring dividends, as well as the forms and terms of their payments. So, the dividend policy, as a rule, contains provisions on the share of net profit directed to the payment of dividends (in percentage terms), on the regularity of payments, on the dependence of dividends on the amount of net profit, etc.

One of the most important indicators is earnings per ordinary share, which indicates how much net profit earned in the reporting period falls on one ordinary share.

Joint-stock companies whose shares are traded on the securities market disclose information on earnings per share in the form of two indicators: basic earnings (loss) per share and diluted earnings (loss) per share.

Basic profit (loss) per share is the ratio of the basic profit (loss) of the reporting period to the weighted average number of ordinary shares outstanding during the reporting period.

The basic profit (loss) of the reporting period is the amount of net profit reduced by the amount of dividends on preferred shares accrued for the reporting period.

Basic earnings per share are determined on the basis of actual data, while diluted earnings (loss) per share are forecast and show the maximum possible degree of decrease in profit or increase in loss attributable to one ordinary share in the following cases:

Conversion of all convertible securities (preferred shares and other securities) of a joint-stock company into ordinary shares;

Execution of contracts for the sale and purchase of ordinary shares from the issuer at a price below their market value.

Profit dilution is understood as its decrease or increase in loss per one ordinary share due to the possible issue of additional ordinary shares in the future without a corresponding increase in the company's assets.

The analysis of earnings per share is based primarily on the results of the analysis of the net profit of the reporting period, during which the main factors that influenced the financial result are evaluated. When using earnings per share to evaluate the attractiveness of an issuer's shares, an investor must first assess the stability of future earnings per common share. Interested in assessing the "quality" of the profit received, he must analyze the components of the financial result obtained.

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50. Audit of the use of profits of a credit institution. The final financial result is determined based on the results of the quarter and year. Every quarter on the last business day of the quarter, the accounts of income and expenses are closed. Balance sheet profit is defined as the difference

From the book Enterprise Economics: Lecture Notes author Dushenkina Elena Alekseevna

6. Sources of formation and directions of use of profit Under the distribution of profit is understood as the direction of profit to the budget and according to the articles of use in the enterprise. Legislatively, the distribution of profits is regulated only in that part of it that goes to

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4.5. Assessment of the impact of income tax on net income in accordance with the Russian deferred tax accounting methodology In accordance with the Accounting Regulation "Accounting for income tax settlements" PBU 18/02, approved by order of the Ministry of Finance of Russia dated November 19, 2002

From the book Accounting author Melnikov Ilya

ACCOUNTING FOR THE USE OF PROFIT In accordance with the legislation, enterprises pay income tax and certain types of income from gross profit to the budget, the rest (net profit) is used by the enterprise. The distribution of taxable income is reflected in

From the book Formation of financial results in accounting author Berdyshev Sergey Nikolaevich

3.1. Formation of net profit (loss) The main financial result, as it is understood in economics, there is a profit or its " mirror reflection» - loss received as a result of capital turnover for the reporting period. Profit from time immemorial (since the 15th century,

From the book Financial Analysis author Bocharov Vladimir Vladimirovich

5.5. Analysis of the use of foreign exchange funds Analysis of the effectiveness of foreign exchange operations is associated with the concepts of "currency self-financing" and "currency self-sufficiency."

From the book Economic Analysis. cheat sheets author Olshevskaya Natalya

106. Analysis of the use of fixed assets of the organization. Analysis of the use of material resources Fixed assets (OS), often referred to in the economic literature and in practice as fixed assets, are one of the most important factors of production.

From the book Economic Analysis author Klimova Natalia Vladimirovna

107. Factor analysis of capital productivity. Analysis of the use of equipment Factorial analysis of capital productivity. It is necessary to build a factorial model of capital productivity: FD = FD a · UD a, where UD a is the share of the active part of funds in the cost of all fixed assets; FD a - return on assets of the active part of the OS. Factor

From the book Comprehensive Economic Analysis of the Enterprise. Short course author Team of authors

Question 21 Factor analysis of the use of fixed assets

From the author's book

Question 22 Analysis of the effectiveness of the use of intangible assets Intangible assets include purchased patents, licenses, trademark rights, land and mineral rights, know-how, software and other assets that do not have

From the author's book

Question 26 Analysis of the use of working time An analysis of the level of use of the fund of working time is carried out in the context of each category of employees, production unit and the whole enterprise. To ensure data comparability (due to annual

From the author's book

Question 28 Analysis of the formation and use of the payroll In accordance with IAS 19 Employee Benefits, wages are included in the first category of short-term various forms employee benefits in exchange for

From the author's book

Question 46 Analysis of the formation of retained earnings It is advisable to start the analysis of retained earnings by studying its composition and the dynamics of changes in individual items. The composition of retained earnings should include the following items of form No. 2 “Report on

From the author's book

Question 61 Factor analysis of the use of material resources The efficiency of the use of material resources is characterized by a system of generalizing and particular indicators. It is advisable to start the analysis with the study of generalizing indicators. Generalizing

From the author's book

Question 71 Analysis of the level of use of economic potential and business assessment The level of use of economic potential is characterized by indicators of economic efficiency and criteria of business (market) activity of the company, including efficiency

From the author's book

9.5. Analysis of the formation of net profit Net profit is a part of accounting profit remaining at the disposal of a commercial organization after the accrual of current income tax, as well as taking into account deferred tax assets and deferred tax liabilities,

In this article, we will consider net profit, the calculation formula, definition and its role in financial analysis enterprises. Knowing the value of net profit allows business leaders to assess the effectiveness of activities for the reporting period. Net profit has a great influence on the future development of the enterprise, its competitiveness, investment attractiveness, solvency and financial reliability.

Net profit. Definition

Net profit(EnglishNetIncome,Netprofit,Netearnings) - is the most important indicator of financial analysis and represents the final rate of return, which remains after deducting all costs, including taxes.

The formula for calculating the net profit of an enterprise

To calculate the net profit, all costs and taxes of the enterprise must be deducted. The formula has a single economic meaning, but can be reflected in different ways:

Net profit = Revenue – Cost of goods – Administrative and selling expenses – Other expenses – Taxes;

Net profit= Financial Profit + Gross Profit + Operating Profit - Amount of Taxes;

Net profit= Profit before tax - Taxes;

Net Income= Total Revenue – Total Expenses.

Net profit is also called “the bottom line” (bottom line), because it is reflected in the balance sheet as the last line. In the balance sheet until 2011, net profit was reflected in line 190 of Form No. 2 (Profit and Loss Statement), after 2011, the net profit indicator is reflected in line 2400.

The formula for calculating net profit on the balance sheet

Let's write in more detail the formula for calculating net profit through the balance lines.

Net income (line 2400)= Revenue (line 2110) - Cost of sales (line 2120) - Selling expenses (line 2210) - Administrative expenses (line 2220) - Income from participation in other organizations (line 2310) - Interest receivable (line 2320) – Interest payable (line 2330) – Other income (line 2340) – Other expenses (line 2350) – Current income tax (line 2410)

The figure below shows a part of the balance sheet of the enterprise OJSC “Surgutneftekhim” and its reporting for 5 years. As you can see from the balance sheet in Excel, in order to get net profit, you must first calculate: gross profit (marginal profit), profit from sales and profit before tax.

The place of net profit in the enterprise income system

Net profit occupies a key position in the income system of the enterprise. In order to understand, consider its relationship with other types of income. The figure below shows the types of profit and their relationship. Each type of profit allows you to evaluate the effectiveness. So marginal profit shows the effectiveness of sales and sales of products. (You can learn more about this type of profit in the article: ““) Operating profit reflects the efficiency of production or another type of core activity of the enterprise Profit before tax is profit without taking into account other costs / income from non-core activities. As a result, net profit, cleared of all costs and expenses, shows the integral result of the functioning of the enterprise.

Purposes and directions of using the net profit indicator

The amount of net profit characterizes the performance of the entire company/enterprise and is used in various purposes various external and internal stakeholders (persons, users).

User/stakeholder	Purpose and directions of use
Investors	Purpose: assessment of investment attractiveness Assessment of the size and dynamics of changes in the net profit of the enterprise to analyze its investment attractiveness. How more venture can generate net income at the end of the reporting period, the higher its profitability.
Lenders	Purpose: creditworthiness assessment Assessment of the size and dynamics of changes in net profit to analyze the solvency and creditworthiness of the enterprise. Money is the fastest liquid asset, and the more cash a business has left after paying all tax deductions, the greater its ability to meet its obligations in the short and long term.
Owner/Shareholders	Purpose: assessment of the effectiveness of activities in general The analysis of net profit is an integral indicator of the activity of an enterprise / organization and characterizes the effectiveness of all management decisions during the reporting period. The larger the net profit, the more effective was the management of the organization. Growth in net income increases the size of dividend payments and allows attracting additional buyers/shareholders.
Suppliers	Purpose: assessment of the sustainability of functioning The net profit of an enterprise serves as an indicator of its sustainable development. The higher the net profit for the reporting period, the higher the ability to pay suppliers and contractors for raw materials on time.
Top managers	Purpose: assessing the sustainability of financial development The size of net profit and the dynamics of its change serve as a guideline for developing strategies and plans to increase it at the operational level. Planning of deductions to reserve funds, payroll funds and production funds.

Methods for analyzing the net profit of an enterprise

Let's consider various methods of the analysis of net profit of the enterprise. The purpose of this analysis is to determine the factors, causal relationships between indicators that affect the formation of net profit as the final performance indicators of the enterprise.

Can be distinguished following methods analysis, which are most often used in practice:

Factor analysis;
Statistical analysis.

These types of analysis are opposite in nature. So factor analysis focuses on determining the significant factors that affect the formation of the net profit of the enterprise. Statistical analysis focuses on the use of time series forecasting methods and is based on an analysis of the nature of changes in net profit by years (or other reporting periods).

Factor analysis of the net profit of the enterprise

The main factors in the formation of net profit are presented in the formula described earlier. To assess the influence of factors, it is necessary to evaluate their relative change for 2013-2014 and absolute. This will allow the following conclusions to be drawn:

How did the factors change during the year?;
What factor had the maximum change in net income?

In financial analysis, these approaches are called "Horizontal" and "Vertical analysis", respectively. The factors that form the amount of net profit and their relative and absolute changes during the year are shown below. The analysis was made for the enterprise OJSC "Surgutneftekhim".

As we can see, during 2013-2014, other expenses and other income changed to the maximum. The figure below shows the change in the factors that form the net profit for 2013-2014 at OJSC “Surgutneftekhim”.

Consider the second method of evaluation and analysis of the net profit of the enterprise.

Statistical method for analyzing the net profit of an enterprise

To estimate the future size of net profit, various forecasting methods can be used: linear, exponential, logarithmic regression, neural networks etc. The figure below shows the forecast of net profit based on the analysis of changes in the indicator for 10 years. Forecasting was carried out using linear regression, which showed a downward trend in 2011. Prediction Accuracy economic processes using linear models has an extremely low degree of certainty, so the use of linear regression can serve more as a guide to the direction of change in earnings.

Comparison of net profit with other performance indicators of the enterprise

In addition to evaluating and calculating the net profit of an enterprise, it is useful to conduct a comparative analysis with other integral indicators that characterize the efficiency and effectiveness of the enterprise. These indicators include: sales revenue (net of VAT) and net assets. Net assets show the financial stability of the enterprise and its solvency, revenue reflects its production and sales performance. The figure below shows a graph of a large Russian enterprise OJSC ALROSA and the ratio of its three most important indicators. As can be seen, there is a close relationship between them, in addition, it can be noted that the growth of the net assets of the enterprise is positive, which indicates that the funds are directed to expand production capacities, which in the future should increase the amount of net profit received.

Is a company's credit rating and net income related?

In my study, I analyzed the relationship between the amount of net profit for the Rosneft enterprise and the credit rating of the international agency Standard & Poor's. There is a close relationship and correlation shown in the figure below - this proves the importance of such an indicator as net profit as a criterion for investment attractiveness not only in the national space, but also in the international arena.

Summary

Net profit is the most important indicator of the effectiveness and efficiency of the enterprise. Net profit reflects investment attractiveness for investors, solvency for creditors, sustainable development for suppliers and partners, efficiency/performance for shareholders and owners. For the analysis of net profit, two methods are used: factorial and statistical. Based on the factor analysis method, the absolute and relative impact of various indicators on the formation of net profit is estimated. The statistical method is based on forecasting time series of changes in net profit. The study of the tightness of the relationship between the credit rating of the international rating agency Standard & Poor's proves the importance of the net profit indicator in assessing an enterprise in the international financial arena.

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