Financial and management assessment of the building materials sector

In order to evaluate the performance of a company, its financial performance in different periods and its managerial characteristics should be evaluated together and compared with its competitors. For this purpose, the financial and managerial status of the construction material companies which are producers or suppliers were examined. In this study, firstly, 7-year financial performances of 33 construction material companies were evaluated by using the financial ratios between 2012-2018. Factor analysis, MOORA method and economic indicators in the country/sector were used for the evaluation of the financial performances. To identify the positive/negative course of the financial factors used in the evaluation of the financial performance of the companies, comparisons were made with the general MOORA factor scores. The results show significant relationship that MOORA scores are correlated with return on assets and return on equity, known as financial performance indicators. By this way, the status of the financial ratios that constitute the yearly based financial structure of the companies were analysed, and their ranking in the industry and the financial factors that requires more attention were determined. In order to evaluate the managerial performance of the companies, annual activity reports and web-based survey results were used. As a result of the study findings, in order to evaluate the financial and managerial performances of the companies; the importance of the techniques that are based on quantitative data, analysis of the economic data of a relevant year on country, sector and company basis, examining the activity report of the relevant year and examining the survey results together were emphasized. Besides, the factors that caused or did not cause financial and managerial distress in the companies in the relevant periods were determined. Finally, potential solutions are proposed together with the criteria that are effective in the success of the companies.