Enterprise and Entrepreneurship

Quarterly report. Global and Spanish economy Q1-2017- Circulo de Empresarios de Círculo de Empresarios

Financing sources Between 2010 and 2015, the non-financial companies on the IBEX 35 reduced their debts with credit institutions by 39.8%, from 138 billion euros to 83 billion euros. In terms of balance sheet structure, bank financing (% financial liabilities) for these companies went from 53 to 36.5%. Likewise, fixed income financing (corporate debt) increased … Continued

Spanish banking sector Profits During the first quarter of 2016, amidst low interest rates, the consolidated results of Spanish credit institutions dropped 23.6%. By contrast, the improvement in economic activity has made it possible to continue to lower the volume of troubled assets (down 40% since December of 2013). At the same time, according to … Continued

The Barometer of the Círculos, in this third edition, seeks to contribute to collectively solving the big problems that affect Spain. On this occasion, in addition to presenting the shared vision of the Círculo de Empresarios, the Círculo de Economía and the Círculo de Empresarios Vascos, it has enjoyed the participation –begun in 2015– of … Continued

Barometer of the companies Corporate trends According to the Deloitte Barometer, of the 294 Spanish companies surveyed, 61% report that their billing improved in the second half of 2015 (although it was some 2 decimal points lower than in the first half of the year) a figure slightly higher than their expectations for the first half of 2016. In addition, … Continued

According to the Association of Alternative Stock Market Companies (AEMAB), at the end of 2014 this market had 28 companies. By size, 29% are large (+250 employees), some 32% are mediumsized (50-249 workers) and the rest are micro (0-9) and small firms (10-49).

Private sector financing New company credit Since February of 2015, in year-on-year terms, there has been a gradual recovery in the flow of new credit to non-financial companies. In August, lending by credit institutions to companies was 23,650 million euros, or 16.3% more than in the same period of the previous year. While this was a more moderate increase than in July … Continued

Moderation in global growth China continues desacelerating Further weakness in Brazil in 2015.

Recent improvements in GDP and employment confirm that Spain’s recovery and economic dynamism continue to be strengthened. Internally, the reforms that have been carried out and the efforts in the private sector have corrected some of our macroeconomic imbalances. This has led to improvements in the labor market, the external sector, investment and access to … Continued

Financial accounts Capacity and need for financing Increases in excess profits of non-financial corporations has strenghtened internal financing, reducing the debt burden. In 2014, they had a financing capacity of 11,335 million euros in contrast to the more than 90,000 million euros in necessary financing in 2007. Banking disintermediation has helped to reduce company debt … Continued

Industry Industrial fabric The small size of companies is one of the principal structural problems of Spanish industry. Only 17% of the industrial companies have 10 or more workers, as against 44% in Switzerland or 38% in Germany (Deloitte). Our companies have an average size of 10 workers, whereas the average for Europe is 17.

Installment payment of Corporation Tax In 2014, total installment payment of corporation tax increased 6.9% over 2013, to 17,425 million euros. Installment payment by the large companies and consolidated groups totaled 15,905 million euros in 2014, some 8.3% more than in 2013 and double the figure of 2011 (7,626 million).

Reindustrialization in Spain There has been a slight improvement in the industrial sector in Spain: Industrial production in January increased 0.4% year-on-year (adjusted for seasonal effects and calendar), mainly thanks to the energy sector (+3.9%) and capital goods production (+1.1%) (Index of Industrial Production, INE). Investment in capital goods increased 10.3% year-on-year in the 4Q … Continued

The project of the Círculo de Empresarios for the Spanish medium-sized company1 seeks to evaluate and make these firms more visible by providing an accurate diagnosis. While they are essential for the growth of the Spanish economy, they have not received systematic analysis in the economic debate. The aim is to provide a platform and … Continued

METROSCOPIA The conclusions of this poll can be summarized as follows: • Spaniards have a more positive than negative opinion of Spanish businessmen. • In general, Spaniards have more confidence in companies than in the State, and feel there should be more businessmen than there are now. That same confidence in companies is expressed when … Continued