Annals of the University of Oradea: Economic Science (Dec 2018)
EARLY WARNING INDICATORS - EVOLUTION FOR THE MEDICAL COMPANIES REGISTERED AT BSE
Abstract
Setting up and analysis of financial early warning indicators for public or private companies is a much-debated scientific and practical subject. Theories and experiments, which led to the establishment of a common set of early warning indicators, are quite old, starting from the 1950's. These indicators came aggressively back into academic study and practice after the current world crisis. In the last years, several methods were tested by academic researchers and also by Banks and Audit agencies. The results seem to be different from one case study to another and seems to be linked with the financial data at the disposal of the researchers. The financial results of the medical companies are influenced by a large number of factors both internal and external: starting from state regulation, fierce international competition, innovation, so on. In this context, the current paper is proposing a brief analysis in the evolution of the financial early warning indicators for several medical and pharmaceutical companies registered in the Bucharest Stock Exchange. These elements are important since the selected companies are having a powerful national and regional influence over the economy and in the same time, these companies constitute primary contributors to Romania's GDP.
