3rd ICAI 2024

International Conference on Automotive Industry 2024

Mladá Boleslav, Czech Republic

Table 1: Number of identified companies with negative equity based on financial statements from 2011 to 2014

Number of financial statements with negative equity in selected years

Number of companies with negative equity

Period

2011

2012

2013

2014

2011 – 2014 2011 – 2013 2012 – 2014 2011 – 2012 2012 – 2013 2013 – 2014 2011 & 2014 2011 & 2013

8 2 2 5 0 1 1 1 2 2 4 3

8 2 0 5 0 0 1 1 2 0 0 0

8 2 2 5 0 0 0 0 0 2 0 0

8 2 2 0 0 1 0 1 0 0 4 0

8 0 2 0 0 1 1 0 0 0 0 3

2011 2012 2013 2014 Total

31

19

19

18

15

Source: own elaboration These 31 companies were included in our research sample for the next analysis based on verification, if these problematic accounting entities entered into the insolvency proceeding or went to bankruptcy no later than February 15, 2024. For our research, we used online public data available in the Insolvency Register and the Business Register as well. 3. Research results During the analysis we found that 14 of 31 companies still exist, however, the vast majority of these companies continue to present significant issues regarding their negative equity. On the other hand, 14 of 31 companies that went to bankruptcy are inactive nowadays. 2 of 31 entities are in the bankruptcy process with unknown results and one company faces its current liquidation process. Unfortunately, we were able to identify only 1 accounting entity that increased its performance and financial soundness in comparison with presented data from 2011 to 2014, and it does not report significant problems with its equity nowadays. For more detailed information see Table 2.

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