Archive of Journal - Financing

Financing – scientific journal for economy

ISSUE 2019, No. 3, Article 2, Year of publication: 10, September, 2019

Determinants of Company Growth


Bojana Vuković, PhD*

*PhD Associate Professor, University in Novi Sad, Faculty of Economics Subotica, Department of Finance and Accountancy



AbstractThe paper analyzes the growth of companies listed on the Banja Luka Stock Exchange in the period 2017-2018. For the purposes of the survey, a sample of 591 observations of the financial statements of the company over the total period 2016-2018 was used. Company growth was measured on the basis of absolute and relative growth indicators based on reference positions of income, operating assets and capital. The results of the growth of the company, measured on the basis of the primary activity of the company, that is, the sale of products and services, show that the companies in 2017 achieve an average growth of 5.58%, and in 2018 the average growth of 10.38%. An analysis of company growth indicates that there is no correlation between company growth measured on the basis of revenue from the sale of products and services and other growth indicators. Companies are more likely to increase their sales and services revenue from the growth of operating assets, share and total capital.

Keywords: company growth, revenue from the sale of products and services, operating assets, capital

DOI: DOI: 10.7251/FIN1903017V

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