The Serbian Business Registers Agency has published today the “Annual Report on the Performance of Consolidated Groups in the Economy in 2019”.
The Annual Report is based on data from the consolidated annual financial statements for 2019 and 2018 which were submitted to the Agency by the parent companies in accordance with the accounting regulations.
The report analyzes the financial performance of 653 consolidated groups in which the parent companies had control over 2,005 dependent and associated legal entities. The number of groups of legal entities decreased by 29, and the number of dependent and associated legal entities decreased by 23 compared to the previous year. At the same time, the total number of employees in consolidated groups increased from 312,899 to 314,981 workers.
As per the previous year, the group DELTA HOLDING DOO BELGRADE operated with the most legal entities in its composition, including 56 legal entities, 17 of which had their headquarters abroad. According to the volume of consolidation, the two groups KOEFIK DOO BELGRADE and MPZ AGRAR DVA DOO NOVI SAD (founded in 2019) encompassed 43 legal entities each. Subsequently, there were 36 related legal entities within MK GROUP DOO BELGRADE, five of which are abroad. A significantly higher number of legal entities with foreign headquarters (25) was within the I&F GROUP DOO BELGRADE, which operated with 33 legal entities. Twenty-seven legal entities were grouped in the economic unit MPZ-AGRAR DOO NOVI SAD, and there was one less in MK HOLDING DOO BELGRADE (26).
During 2019, consolidated groups in the Republic of Serbia increased the volume of total business activity by 2.5% and generated total income of 3,774,667 million dinars, while total expenses were increased by 2.7% and amounted to 3,602,406 million dinars. Overall, they performed profitably, recording a positive net result of 137,764 million dinars, which is 3.5% less than the previous year. Five hundred and fifty-three units operated with a net profit, 1,713 of which were dependent and associated legal entities. One hundred consolidated groups performed negatively, with 292 dependent and associated legal entities in the scope of consolidation.
Consolidated groups increased their financial capacities in 2019 and held total assets valued at 5,453,221 million dinars, higher by 3.5%, and with the equity of 2,864,381 million dinars, which constitutes an increase of 8.9% compared to last year's amount. After a long period of time, the consolidated groups’ own resources have become their predominant source of financing, with an equity ratio of 50.3%. Moreover, the amount of total liabilities (2,711,609 million dinars) was reduced by 4.6% and the accumulated loss amounted to 704,208 million dinars, which is lower by 24.3%.
Although the consolidated groups are not numerous, they have a significant impact on the overall economic trends in the Republic of Serbia. In 2019, they contributed to more than a quarter of the financial performance of the entire economy, specifically, 31.2% of total income and 31.0% of total expenses of the domestic economy, as well as 26.1% of net profit and 13.7% of net loss. Additionally, they held 34.6% of total assets and 38.2% of equity, while they participated in the total economic loss with 20.2%. They employed 26.9% of workers in the entire economy.
The report outlines 20 units with the largest operating income and net profit, those with the largest total assets and equity, as well as those with the largest net loss and total loss. Additionally, a brief analysis of the business and the specifics of the leading consolidated groups according to the values of these performances is given.
The complete ‘’Annual Report on the Performance of Consolidated Groups in the Economy in 2019’’ was published in the section Financial Statements - Publications/Macroeconomic Analysis.