How the capital structure affects business performance and value creation: a case study of a Brazilian slaughterhouse from 2008 to 2015

Authors

DOI:

https://doi.org/10.33448/rsd-v10i1.11987

Keywords:

Value creation; Business performance; Analysis of financial statements; Capital structure.

Abstract

The study aims to verify how the Capital Structure affects the Business Performance and Value Creation of a Brazilian company, in the meat and meat sector, operating globally, publicly traded and with its shares traded on the Stock Exchange Brazilian company B3, through Analysis of Financial Statements, in the period from 2008 to 2015. The research was carried out based on the data collected in Economática, deflation adjustments were made and later the main financial indexes and indicators of the company were calculated, with based on its Balance Sheet, Income Statement and Cash Flow. Horizontal Analysis, Vertical Analysis and the calculation of the indices were used: Liquidity, Profitability, Profitability, Indebtedness; being focused to understand how the Capital Structure affects Business Performance and Value Creation. The study allows to conclude that the inadequate form in the capital structure of the company in the period of analysis, carried out with a great debt in 2010 and 2011, only guarantees the company a good liquidity and capacity of payment in the short term; and fails to add economic value or business performance.

Author Biographies

Téucle Mannarelli Filho, Universidade Estadual Paulista

Professor Universitário de Economia e Administração Financeira, administrador de empresas pela FEA-USP-SP, Pós graduado, Mestrado pela UNESP, e Doutorando pela UNESP. Atuação profissional como empresário do agronegócio, consultor de empresas e conselheiro da Sicoob Paulista.

Lívia Barbosa Mannarelli, Centro Universitário Toledo

Graduated in Business Administration from Unitoledo-Araçatuba-SP, Brazil; works professionally in a family agribusiness company, working in livestock, sugar cane and eucalyptus forestry.

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Published

21/01/2021

How to Cite

MANNARELLI FILHO, T.; MANNARELLI, L. B. How the capital structure affects business performance and value creation: a case study of a Brazilian slaughterhouse from 2008 to 2015. Research, Society and Development, [S. l.], v. 10, n. 1, p. e42410111987, 2021. DOI: 10.33448/rsd-v10i1.11987. Disponível em: https://rsdjournal.org/index.php/rsd/article/view/11987. Acesso em: 6 mar. 2021.

Issue

Section

Human and Social Sciences