Economic and financial performance: An analysis of companies listed in the retail trade segment of B3

Abstract

The research aimed to analyze the Financial Statements (FS) of the 18 companies listed on the B3 in the cyclical consumption sector, commerce subsector, grouping the segments of home appliances, various products, fabrics, clothing and footwear in the years 2017 to 2021, the in order to identify whether there is a correlation between the Liquidity, Indebtedness and Profitability indicators and whether the variations in a group influence the others. In methodological terms, the research adopted a descriptive approach, with a quantitative focus and regarding the procedures, a multi-case study. The research sample includes 19 companies listed on B3, 18 of which were analyzed and one excluded due to the incomplete FS. Data collection was initially carried out on the B3 website, where the FS including the Audit Opinion were collected, and additional information was found on the websites of the companies themselves. To arrive at the expected results, Pearson's correlation, long-term correlation with time series and panel regression analysis with Gretl software were used. In the correlation analysis, between different groups of indicators, a positive correlation was found between General Liquidity and Asset Turnover, as well as between the Quantity of Indebtedness and the Rate of Return on Investments (ROI). In the regression analysis, it was found that indebtedness (Amount) negatively affects the ROI, where an increase of 0.12% in indebtedness decreases the ROI by 1%. The Net Margin has an inverse influence, an increase of 1% alters the increase in ROI by 0.40%.