Analysis of financial ratios of an intensive dairy enterprise: a case study in the mexican high plateau.
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| Title: | Analysis of financial ratios of an intensive dairy enterprise: a case study in the mexican high plateau. |
|---|---|
| Alternate Title: | Análisis de razones financieras en la empresa lechera intensiva: un estudio de caso en el altiplano mexicano. |
| Authors: | Valladares, Enrique Villegas1, Dávalos Flores, José Luis2 |
| Source: | Veterinaria México. ene-mar2005, Vol. 36 Issue 1, p25-40. 16p. 6 Charts, 9 Graphs. |
| Subjects: | DAIRY industry, DAIRY farms, FINANCIAL statements, CORPORATE profits, CORPORATE debt, AGRICULTURAL industries, BANKING industry |
| Abstract (English): | In a competitive environment intensified by globalization, profit margins tend to decrease. Therefore analyzing financial information becomes an important issue to make strategic decisions. The purpose of this research is, to contribute to build new references to compare and evaluate the performance of dairy firms. To achieve that purpose, and using a case study method, eight years of financial information of a dairy farm were analyzed. The farm selected is a company located in central Mexico that is vertically and horizontally integrated, and uses an intensive production system. There are 1,000 cows under milking production and the farm produces 40% of the forage they consume. Financial position and income statements were used to construct 22 financial ratios, and they were organized in four categories: liquidity, leverage, assets administration and profitability. This dairy agro-enterprise has short and long term solvency, which allows financing the farm's operations mostly with their own resources. The farm was forced to reduce its debt because of the 1994 Mexican crisis and a contraction of the banking system. The financial ratios of assets administration show that the firm finances its customers, but its suppliers do not finance the firm. The profitability indicators show very low ratios with a decreasing tendency that coincides with the implementation of the North American Free Trade Agreement. There is a need to generate historical financial information that could allow sector and size comparisons to make stronger conclusions. [ABSTRACT FROM AUTHOR] |
| Abstract (Spanish): | En un ambiente de competitividad intensificado por la globalización, los márgenes de utilidad tienden a decrecer. Esta circunstancia hace que el análisis de la información financiera tenga especial importancia para la toma de decisiones estratégicas. El propósito de esta investigación es contribuir a la construcción de nuevas referencias para comparar y evaluar el desempeño de empresas lecheras. Con el fin de alcanzar este propósito se utilizó el método de estudio de caso, a partir del análisis de ocho años de información financiera de una empresa lechera localizada en el centro de México, que está integrada vertical y horizontalmente, con un sistema de producción estabulado, mil vacas en línea y autosuficiencia forrajera de 40%. Se emplearon los estados financieros: Posición financiera y de resultados, y se construyeron 22 razones, agrupadas en cuatro categorías: liquidez, apalancamiento, administración de los activos y rentabilidad. Entre los principales resultados destacan que la empresa cuenta con capacidad de pago a corto y largo plazos, financia su operación principalmente con recursos propios, debido a que fue forzada a reducir su deuda como consecuencia de la crisis económica de México posterior a la devaluación del peso en 1994. Las razones que miden la administración de activos muestran que la empresa financia a sus clientes, pero sus proveedores no lo hacen con ella. Los indicadores de rentabilidad presentan razones bajas con tendencia decreciente, lo cual coincide con la implantación del Tratado de Libre Comercio para América del Norte. Al realizar el trabajo se detectó la necesidad de generar información histórica financiera, que permita hacer comparaciones por sector y tamaño para llegar a conclusiones contundentes. [ABSTRACT FROM AUTHOR] |
| Copyright of Veterinaria México is the property of Facultad de Medicina Veterinaria y Zootecnia UNAM and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.) | |
| Database: | MedicLatina |
| FullText | Links: – Type: pdflink Text: Availability: 0 |
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| Header | DbId: lth DbLabel: MedicLatina An: 16305379 AccessLevel: 6 PubType: Academic Journal PubTypeId: academicJournal PreciseRelevancyScore: 0 |
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| Items | – Name: Title Label: Title Group: Ti Data: Analysis of financial ratios of an intensive dairy enterprise: a case study in the mexican high plateau. – Name: TitleAlt Label: Alternate Title Group: TiAlt Data: Análisis de razones financieras en la empresa lechera intensiva: un estudio de caso en el altiplano mexicano. – Name: Author Label: Authors Group: Au Data: <searchLink fieldCode="AR" term="%22Valladares%2C+Enrique+Villegas%22">Valladares, Enrique Villegas</searchLink><relatesTo>1</relatesTo><br /><searchLink fieldCode="AR" term="%22Dávalos+Flores%2C+José+Luis%22">Dávalos Flores, José Luis</searchLink><relatesTo>2</relatesTo> – Name: TitleSource Label: Source Group: Src Data: <searchLink fieldCode="JN" term="%22Veterinaria+México%22">Veterinaria México</searchLink>. ene-mar2005, Vol. 36 Issue 1, p25-40. 16p. 6 Charts, 9 Graphs. – Name: Subject Label: Subjects Group: Su Data: <searchLink fieldCode="DE" term="%22DAIRY+industry%22">DAIRY industry</searchLink><br /><searchLink fieldCode="DE" term="%22DAIRY+farms%22">DAIRY farms</searchLink><br /><searchLink fieldCode="DE" term="%22FINANCIAL+statements%22">FINANCIAL statements</searchLink><br /><searchLink fieldCode="DE" term="%22CORPORATE+profits%22">CORPORATE profits</searchLink><br /><searchLink fieldCode="DE" term="%22CORPORATE+debt%22">CORPORATE debt</searchLink><br /><searchLink fieldCode="DE" term="%22AGRICULTURAL+industries%22">AGRICULTURAL industries</searchLink><br /><searchLink fieldCode="DE" term="%22BANKING+industry%22">BANKING industry</searchLink> – Name: Abstract Label: Abstract (English) Group: Ab Data: In a competitive environment intensified by globalization, profit margins tend to decrease. Therefore analyzing financial information becomes an important issue to make strategic decisions. The purpose of this research is, to contribute to build new references to compare and evaluate the performance of dairy firms. To achieve that purpose, and using a case study method, eight years of financial information of a dairy farm were analyzed. The farm selected is a company located in central Mexico that is vertically and horizontally integrated, and uses an intensive production system. There are 1,000 cows under milking production and the farm produces 40% of the forage they consume. Financial position and income statements were used to construct 22 financial ratios, and they were organized in four categories: liquidity, leverage, assets administration and profitability. This dairy agro-enterprise has short and long term solvency, which allows financing the farm's operations mostly with their own resources. The farm was forced to reduce its debt because of the 1994 Mexican crisis and a contraction of the banking system. The financial ratios of assets administration show that the firm finances its customers, but its suppliers do not finance the firm. The profitability indicators show very low ratios with a decreasing tendency that coincides with the implementation of the North American Free Trade Agreement. There is a need to generate historical financial information that could allow sector and size comparisons to make stronger conclusions. [ABSTRACT FROM AUTHOR] – Name: Abstract Label: Abstract (Spanish) Group: Ab Data: En un ambiente de competitividad intensificado por la globalización, los márgenes de utilidad tienden a decrecer. Esta circunstancia hace que el análisis de la información financiera tenga especial importancia para la toma de decisiones estratégicas. El propósito de esta investigación es contribuir a la construcción de nuevas referencias para comparar y evaluar el desempeño de empresas lecheras. Con el fin de alcanzar este propósito se utilizó el método de estudio de caso, a partir del análisis de ocho años de información financiera de una empresa lechera localizada en el centro de México, que está integrada vertical y horizontalmente, con un sistema de producción estabulado, mil vacas en línea y autosuficiencia forrajera de 40%. Se emplearon los estados financieros: Posición financiera y de resultados, y se construyeron 22 razones, agrupadas en cuatro categorías: liquidez, apalancamiento, administración de los activos y rentabilidad. Entre los principales resultados destacan que la empresa cuenta con capacidad de pago a corto y largo plazos, financia su operación principalmente con recursos propios, debido a que fue forzada a reducir su deuda como consecuencia de la crisis económica de México posterior a la devaluación del peso en 1994. Las razones que miden la administración de activos muestran que la empresa financia a sus clientes, pero sus proveedores no lo hacen con ella. Los indicadores de rentabilidad presentan razones bajas con tendencia decreciente, lo cual coincide con la implantación del Tratado de Libre Comercio para América del Norte. Al realizar el trabajo se detectó la necesidad de generar información histórica financiera, que permita hacer comparaciones por sector y tamaño para llegar a conclusiones contundentes. [ABSTRACT FROM AUTHOR] – Name: AbstractSuppliedCopyright Label: Group: Ab Data: <i>Copyright of Veterinaria México is the property of Facultad de Medicina Veterinaria y Zootecnia UNAM and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract.</i> (Copyright applies to all Abstracts.) |
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| RecordInfo | BibRecord: BibEntity: Languages: – Code: eng Text: English PhysicalDescription: Pagination: PageCount: 16 StartPage: 25 Subjects: – SubjectFull: DAIRY industry Type: general – SubjectFull: DAIRY farms Type: general – SubjectFull: FINANCIAL statements Type: general – SubjectFull: CORPORATE profits Type: general – SubjectFull: CORPORATE debt Type: general – SubjectFull: AGRICULTURAL industries Type: general – SubjectFull: BANKING industry Type: general Titles: – TitleFull: Analysis of financial ratios of an intensive dairy enterprise: a case study in the mexican high plateau. Type: main BibRelationships: HasContributorRelationships: – PersonEntity: Name: NameFull: Valladares, Enrique Villegas – PersonEntity: Name: NameFull: Dávalos Flores, José Luis IsPartOfRelationships: – BibEntity: Dates: – D: 01 M: 01 Text: ene-mar2005 Type: published Y: 2005 Identifiers: – Type: issn-print Value: 03015092 Numbering: – Type: volume Value: 36 – Type: issue Value: 1 Titles: – TitleFull: Veterinaria México Type: main |
| ResultId | 1 |
