This work focuses on the situation of plastic manufacturers in Italy. It aims to analyse their financial structure and economic situation, in the period before, during and after the crisis (2008-2015), in relation to economic and financial ratios trend. The study focuses on three research questions: what is the actual situation and which trend there has been in the last decade in Italy? What was the effect of the international crisis on the financial structure of companies in the sector? What changes has the international crisis brought on the financial structure of plastic firms’ industry? How profitability evolved during the period in question?To these aims and starting from AIDA data, the study carries out a trend analysis. The financial structure is assessed using ratios (Leverage, Current ratio, Quick ratio, Financing ratio for non-current assets) and Fixed asset to equity capital margin. By evaluating ROE, ROI and ROS, the profitability was investigated.The study shows that the recent economic crisis has hit different industries in different ways; particularly, it has affected Italian plastic industry in a limited way because of the increasing product demand. Ratios values are highly satisfactory, despite the dominance of the debts on internal sources, which is unjustified given the cheap equity borrowing. Future studies should deepen the issue by comparing Italian and other countries’ situation in order to enrich international literature. In fact, the focus on production and technical aspects and the impact of plastic on environmental pollution have always been the main object of interest.

Economic and financial balance of italian plastic manufacturers during the crisis (2008-2015)

Migliaccio G
;
2017-01-01

Abstract

This work focuses on the situation of plastic manufacturers in Italy. It aims to analyse their financial structure and economic situation, in the period before, during and after the crisis (2008-2015), in relation to economic and financial ratios trend. The study focuses on three research questions: what is the actual situation and which trend there has been in the last decade in Italy? What was the effect of the international crisis on the financial structure of companies in the sector? What changes has the international crisis brought on the financial structure of plastic firms’ industry? How profitability evolved during the period in question?To these aims and starting from AIDA data, the study carries out a trend analysis. The financial structure is assessed using ratios (Leverage, Current ratio, Quick ratio, Financing ratio for non-current assets) and Fixed asset to equity capital margin. By evaluating ROE, ROI and ROS, the profitability was investigated.The study shows that the recent economic crisis has hit different industries in different ways; particularly, it has affected Italian plastic industry in a limited way because of the increasing product demand. Ratios values are highly satisfactory, despite the dominance of the debts on internal sources, which is unjustified given the cheap equity borrowing. Future studies should deepen the issue by comparing Italian and other countries’ situation in order to enrich international literature. In fact, the focus on production and technical aspects and the impact of plastic on environmental pollution have always been the main object of interest.
2017
978-9963-711-56-7
Plastic manufacturers; Global Crisis; Financial ratios; Profitability ratios
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Utilizza questo identificativo per citare o creare un link a questo documento: https://hdl.handle.net/20.500.12070/10731
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