Bobruisk Leather Plant
OJSC Bobruisk Leather Plant
UNP: 700068923 · 142a Minskaya St., Bobruisk
Identification
Financial statements
k BYN
| Line item | Reporting year | Prior year |
|---|---|---|
| Fixed assets | 21 429 | 21 660 |
| Investments in long-term assets | 197 | 197 |
| Long-term financial investments | 345 | 345 |
| Deferred tax assets | 134 | 134 |
| Long-term receivables | 344 | 335 |
| Total Section I (long-term assets) | 22 449 | 22 671 |
| Inventories | 11 561 | 9 127 |
| — materials | 3 149 | 4 144 |
| — work in progress | 4 395 | 2 506 |
| — finished goods and merchandise | 4 017 | 2 477 |
| Deferred expenses | 29 | 402 |
| Short-term receivables | 5 759 | 6 197 |
| Short-term financial investments | — | 10 |
| Cash and cash equivalents | 60 | 662 |
| Total Section II (short-term assets) | 17 409 | 16 398 |
| BALANCE (assets) | 39 858 | 39 069 |
| Charter capital | 11 530 | 11 530 |
| Additional capital | 9 553 | 7 878 |
| Retained earnings (uncovered loss) | -3 815 | -3 862 |
| Total Section III (equity) | 17 268 | 15 546 |
| Long-term loans and borrowings | 5 708 | 7 150 |
| Total Section IV (long-term liabilities) | 5 708 | 7 150 |
| Short-term loans and borrowings | — | — |
| Current portion of long-term liabilities | 1 865 | 1 567 |
| Short-term payables | 15 017 | 14 806 |
| — to suppliers, contractors, providers | 11 346 | 11 020 |
| — on advances received | 1 762 | 1 921 |
| — on taxes and duties | 150 | 231 |
| — on social insurance and security | 130 | 116 |
| — on payroll | 365 | 371 |
| — to other creditors | 1 264 | 1 147 |
| Total Section V (short-term liabilities) | 16 882 | 16 373 |
| BALANCE (equity and liabilities) | 39 858 | 39 069 |
Computed metrics
Integrity checks
Checks passed: 6 of 6
Signals
- No own working capital: provision ratio −0.30 — long-term assets of 22,449k BYN exceed equity of 17,268; part of the non-current assets is financed by liabilities.F1.490 · F1.190 · F1.290
- An accumulated uncovered loss of −3,815k BYN, persisting for a second consecutive year (−3,862 a year earlier).F1.460
- Net profit collapsed by 91% (551 → 47k BYN); profitability is holding at the edge of zero.F2.210
- Revenue declined by 6.5% (25,272 → 23,627k BYN).F2.010
- Sales margin fell from 4.3% to 2.5%; net margin from 2.2% to 0.2%.F2.060 · F2.210 · F2.010
- Finished-goods inventories grew 62% (2,477 → 4,017k BYN), work in progress by 75% (2,506 → 4,395): a sign of overstocking on falling revenue.F1.214 · F1.213 · F2.010
- Cash shrank from 662 to 60k BYN; the liquidity buffer is minimal.F1.270
- Current ratio of 1.03 — around one, the margin is minimal.F1.290 · F1.690
- Positive cash flow from operating activities: +822k BYN (a 3.5% margin), despite the weak accounting result.F4.040 · F2.010
- Operations are profitable: profit from sales of +594k BYN, profit from current activities of +629k BYN.F2.060 · F2.090
- The credit load is declining: loans and borrowings cut by 20% (7,150 → 5,708k BYN); 1,057 repaid with no new borrowing.F1.510 · F4.091
- Real equity is positive: +7,715k BYN excluding revaluation (17,268 minus additional capital of 9,553) — nominal equity does not rest solely on revaluation.F1.490 · F1.450
Recommendation
The Bobruisk Leather Plant is a town-forming light-industry enterprise within a state concern, specializing in tanning and dressing of leather. As of 2025 the enterprise is operationally viable but financially weakened: it generates positive cash flow from current activity (+822k BYN) and profit on sales (+594k BYN), but profitability has compressed almost to zero (net margin 0.2%), and net profit collapsed from 551 to 47k BYN.
Recommendation: Restructuring — restoration of own working capital, work on overstocking and cost of sales, and review of the terms of the foreign-currency loan portfolio. As a town-forming enterprise, the plant requires a socially oriented remediation scenario; ownership-structure decisions should follow stabilization of operating indicators.
Why restructuring. The balance-sheet structure carries chronic weaknesses. Own working capital is negative (ratio −0.30): long-term assets exceed equity, i.e. part of non-current assets is financed by borrowed and payable funds. Accumulated uncovered loss (−3,815k BYN) has held for a second year. Current liquidity is around one (1.03), and the cash buffer is minimal (60k BYN). At the same time, finished-goods inventories (+62%) and work-in-progress (+75%) are growing while revenue falls 6.5% — a sign of overstocking and weakening demand. Total comprehensive income (1,722k BYN) is formed mainly by revaluation of long-term assets (1,675k BYN) rather than the operating result. In favour of stability are positive operating cash flow, a reduced credit load (−20%, with no new loans drawn), positive real capital, and stable employment with rising physical output. This is not a profile for privatization (the asset is too weak to be attractive without remediation) nor for liquidation (the business is alive and generates cash).
Confidence: HIGH. The source is the 2025 annual reporting, a complete F1–F4 set; all 6 cross-form consistency checks pass.