Business financing In 2017, bank financing for non-financial companies listed on the IBEX 35 reached €69.1 billion (5.9% of GDP), accounting for 32.9% of total financial liabilities (39.1% less than in 2010). At the same time, a structural change in its financing model was confirmed by increasing corporate debt issues by 27.8% since 2010 (55.3% of … Continued
Business… at a glance June 2018 Círculo de Empresarios de Círculo de Empresarios
Corporate tax receipts 2017 Corporate tax receipts in 2017 increased by 6.8%, from €21.6 billion in FY2016 to €23.1 billion in FY2017, mainly due to the improvement in corporate profits. The tax base widened to 106.3 billion, 11.7% more than in 2016. By company size, the large enterprises1 and the consolidated groups accounted for 86% … Continued
The MAB & the MARF The Alternative Equity Market (MAB) In 2017, the financing obtained through the MAB by the segment of growth companies reached €112 million (-40% yearly) in 11 operations, with 42 companies already making up this market. The Alternative Fixed-Income Market (MARF) During 2017, 29 MARF companies leveraged €3.9 billion in corporate … Continued
Business Confidence In January 2018, Eurozone PMI Composite Output Index rose to 58.8 (58.1 in December), its highest level since June 2006. France leads the growth ranking at 59.6, followed closely by Germany, Italy, and Ireland at 59. The February 2018 estimate is that of a slip to 57.5, a three-month low, although it remains … Continued
Asi está the economy January 2018 Circulo de Empresarios from Círculo de Empresarios
Corporate Tax In Spain, between January and October 2017, tax revenues from Corporate Tax amounted to €20.094 billion, 9.6% more than in the same period of the previous year. The Government expects to collect €24.399 billion (2.1% of GDP) at the end of the year, 12.5% more than in 2016. Dividends Spanish public listed companies … Continued
Independence challenge This year in Catalonia, the number of companies starting up has fallen by 54.5% from its annual peak in March 2017 to September. Specifically, since January 2017 the year-on-year average stands at -14.5%. Thus, Catalonia’s ability to create new businesses with regard to all of Spain, has fallen by more than 10 percentage … Continued
Business demography Structural business statistics According to the Central Business Directory (DIRCE) in 2016 and for the third consecutive year, the number of active companies increased by 1.4%, reaching 3.282.346. Reduced business size By number of employees, 55.5% of all Spanish companies had no employees and 27.2% had just one or two employees. Altogether, in … Continued
Investment (Bank of Spain) Productive private investment in Spain has had a key role in our economic recovery, contributing to more than 20% of GDP growth between 2014 and 2016. By components, the greatest investment was in capital goods and transport material. This investment dynamism was greater than that in the Eurozone, and has been … Continued
M&A Spain During the first quarter of 2017, there were 524 mergers and acquisitions for a total of 23.681 billion euros, some 48% greater in year-on-year terms. This is partly due to more high market operations worth more than 500 million euros. By sectors, the real state attracted the the highest number of operations with 124, … Continued
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
Risk Capital in Spain 2016 balance After six months of political uncertainty, investment activity was more vigorous in the second half of 2016, something explained in part by seven large operations that accounted for 47% of the year’s total investments. According to the initial estimates by Ascri, risk capital in Spain finished 2016 with total … 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
Payment performance Average payment time (INFORMA) In the 2Q of 2016 the average payment period continued to drop, reaching 91.48 days, its lowest level since the 2Q of 2014, and 3.37 days lower in year-on year terms. For its part, the proportion of punctual payments by companies (47.52%) increased 4 percentage points in comparison with the same quarter of the previous year. … Continued
Foreign companies in Spain According to the most recent report Foreign Multinationals in Spain, in 2013 the number of foreign affiliates was 10,722 (34.4% of Spanish large-sized companies). Taxes A Spanish worker dedicates an average of 180 days of salary each year to pay direct and indirect taxes, principally through Social Security contributions*(102 days) and … Continued
Middle Market Spain Business expectations According to a study by Ernst & Young, 65% of the companies in this sector will apply organic growth strategies (new products and sectors), in 13% they will be inorganic (M&A), while the remaining 22% will combine both models of growth.
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
Risk Capital 2015 Principal indicators 2015 confirmed the recovery of risk capital activity, though without reaching the levels of 2014. The volume of investment was 2,790 million euros, or 19.5% less than the previous year, due to the scarcity of investments of more than 100 million euros.
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
Barometer of the companies Investment The Barometer of Deloitte shows that of the 280 companies that were surveyed, 66% claim to have increased investment during the first half of 2015 –the greatest increase since 2008– as against the 58% of the same period in 2014. The principal reasons for these investment decisions were expanding business and technological changes. By intervals, 48% of … Continued
Portfolio At the end of 2014, the risk capital sector had 2,134 companies with assets of more than 20,000 million euros. This was 1,300 million euros less than in 2013 due to international disinvestments. In aggregate terms, in 2014 these companies invested an average of 8.6 million euros and provided jobs for 585,000 workers (up … 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.
