Sustainability of Belgorod Region Enterprises of Building Materials and Building Structures Industry under Sanctions

Abstract

The paper features the analysis of sustainability of Belgorod Region enterprises dealing with production of construction materials and building structures exemplified by five largest and well-known enterprises of this industry: JSC Melstrom, JSC Stroymaterialy, OJSC Plant ZhBK-1, OJSC Belgorodasbestotsement and OJSC Belgorodstroydetal. Sustainability of an enterprise is understood as its functional performance within an indeterminate amount of time and ability to achieve its objectives under the influence of negative factors. An integrated comparative assessment of enterprises’ sustainability in 2016 alongside with their ranking was carried out according to twelve performance indicators (financial stability index, stable working capital-to-production ratio, current liquidity ratio, growth rate ratio in respect of revenue, sales profit, net profit and equity capital, as well as return on sales, total and equity assets). The same indicators were used to analyze sustainability dynamics and to make dynamic complex sustainability assessments for every enterprise during 2013-2016. The paper lists conclusions on negative impact of sanctions with regard to the majority of enterprises under study and on their ability to maintain this sustainability and adequate financial status.