Empirical Evaluation Of The Overall Impact And By Industries Of Comprehensive Income On European Groups Listed On NYSE And NASDAQ

The purpose of this article is to assess the Overall Impact, and by Industries, of Comprehensive Income on Net Income for a sampling of 136 European groups listed on NYSE and NASDAQ from 1999 to 2004. To this end we took as reference the consolidated information disclosed pursuant to SFAS 130 issued by FASB in the reconciliations to the US GAAP when they presented their Annual Reports to the SEC with form 20-F and Industry Classification Benchmark -ICB- (Dow Jones Indexes and FTSE). In order to contrast the corresponding hypotheses, a set of non-parametric tools were used, as the data was far from normality. The results of our paper, which are ground-breaking at an international level, show a statistically significant impact of Comprehensive Income on Net Income for the sample group in most of the years that were analyzed. However, when this impact is itemized by Industries we find that there are hardly any statistically significant differences between them, which allows us to affirm that by adopting Comprehensive Income, within the context that we have studied, we are witness to a phenomenon which, along general lines, affects corporate groups in a similar fashion, independently of the nature of the activities that they carry out

Comprehensive income in times of crisis: evidence from spanish companies.

Given the increasing importance of comprehensive income as an indicator of corporate performance internationally, especially since the revision of International Accounting Standard 1 (IAS 1) by the International Accounting Standards Board (IASB) in 2007, in this paper we intend to assess its impact on the more traditional net income during the period 2004-2008 for the select group of the Spanish IBEX-35 listed companies, pursuant to the information disclosed in accordance with said IAS. This will allow us to verify the importance of comprehensive income for the corporate groups at a time of serious financial and economic crisis as was 2008. The non-parametric Wilcoxon Signed-Rank Test was used to perform the corresponding statistic comparisons, as the variables did not conform to normalcy. The results showed a statistically significant impact of comprehensive income on net income for three of the five years that were studied, especially for 2008, when there was a spectacular decline in corporate performance when considering the impact of the first on the second. This confers more informational relevance to comprehensive income, being much more in tune with market reality than traditional net income

Empirical Analysis Of The Impact Of Comprehensive Income On Basic Earnings Per Share For Spanish Companies Listed On Madrid Stock Exchange

In this study we will empirically evaluate the overall impact, and by industries, of Basic Earnings per Share calculated according to Comprehensive Income against the same ratio determined in accordance with Net Income, for a sample of ninety-two Spanish groups listed on the Madrid Stock Exchange during 20042007, in agreement with the information contained in their Consolidated Financial Statements pursuant to IASB GAAP and industry classification adopted in this market.In order to contrast the corresponding hypotheses, a set of non-parametric tools were used, as the data was far from normalcy. The results of our paper, which are ground-breaking at an international level, show a statistically significant impact of Basic Earnings per Share calculated according to Comprehensive Income against the same ratio determined pursuant to Net Income for the sample group in all of the years that were analyzed. On the other hand, when approaching the study by industries, we have observed quite uniform behavior between them in the sense that we found a remarkable impact on listed companies in all industries, which is why in general terms we are witnessing a phenomenon that affects the listed companies regardless of the nature of their business activities.These evidences, apart from suggesting a new dimension in the fundamental analysis, of particular interest to analysts and investors, justifies the disclosure of Basic Earnings per Share determined according to Comprehensive Income, not only in the notes, but also in the main body of the Statement of Comprehensive Income

Effects Of Comprehensive Income On ROE In A Context Of Crisis: Empirical Evidence For IBEX-35 Listed Companies (2004-2008)

Comprehensive income is becoming increasingly important as an indicator of corporate performance at an international level [SFAS 130 by the FASB (1997) and NIC 1 by the IASB, revised in 2007, among others]. Given this importance, this paper intends to assess its impact on the Return on Equity (ROE), as opposed to the more traditional net income, for the period 2004-2008 for the select group of the Spanish IBEX-35 listed companies. Moreover, working on this period will also allow us to verify the incidence of comprehensive income on the ROE within a context of economic crisis, especially for the year 2008, with a large recession and steep drops in the stock markets. For this empirical study, we took as reference the pertinent information disclosed in the Consolidated Annual Reports of these listed companies, formulated pursuant to the IFRS by the IASB, especially pursuant to IAS 1.The non-parametric Wilcoxon Signed-Rank Test was used to perform the corresponding statistic comparisons, as the variables in certain years did not conform to normalcy. The results of our paper show a statistically significant impact of the ROE calculated pursuant to comprehensive income as opposed to the ROE determined pursuant to the net income. This was evidenced for three of the five years that were studied, especially for 2008, when there was a spectacular decline in the ROE calculated pursuant to the comprehensive income as opposed to that calculated pursuant to the net income. We consider this could be a contribution to the international debate regarding the need to include other measurements of corporate performance that are broader than the traditional net income in certain ratios of the fundamental analysis. This could represent the basis for adopting financial decisions that are much more in tune with the reality of the market

EPS differences using different earnings measurement methods evidence from Spain.

This paper examines how EPS differs when calculated using two different measures of income: net income and comprehensive income. To examine how the measures differ in practice Spanish companies listed on the IBEX-35, during the period 2004-2008 are examined. This period covers a time of serious financial crisis. The Wilcoxon Signed-Rank Test was used to identify differences. The results show statistically significant differences in EPS depending upon calculation method for three of the years studied. Results in 2008 are specifically noteworthy. The evidence suggests a new dimension in fundamental analysis

The new challenges of economic consultancy: an empiric investigation.

RESUMEN. El objetivo de este trabajo ha consistido en analizar los nuevos retos que plantea el campo de la consultoría económica, ante la evolución de su demanda tanto en España como en la Unión Europea. Se estudia la adecuación que debe darse en las consultorías para satisfacer las necesidades externalizadas por las empresas en relación a sus funciones administrativas y de gestión. Se realiza una revisión crítica de las necesidades de asesoramiento empresarial y un doble estudio empírico, basado en dos encuestas: una captando la percepción de los empresarios y la otra, de los profesionales. El estudio evidencia la dependencia que tienen las empresas de las consultorías. La necesidad de mejorar la formación de los profesionales y su estructura organizativa, así como de cuidar la ética, la calidad y responsabilidad asumida. Se muestran también las ventajas de crear despachos multidisciplinares que puedan ofrecer servicios integrales, destacándose la conveniencia de ofrecer servicios más especializados, resaltándose los de tecnología de la información e integración de sistemas.ABSTRACT. The objective of this paper is to analyse the new challenges required by economic consultancy area, due to the evolution of its demand both in Spain and in the European Union. The adequation that should be done to the consultancies to satisfy the necessities of the companies for the administrative and management functions is studied. This paper carries out a critical revision of the necessities of managerial advice and a double empiric investigation, based on two surveys: one capturing the perception of the managers and the other one, of the business professionals. The study evidences the dependence that companies have on economic consultancy entities. The necessity to improve the professionals qualification and their organizational structure, as well as taking care of the ethics, the quality and assumed responsibility. Also, the advantages of creating consultancy that can offer integral services (business, financial, accounting, tax, labor...) are presented, outlining the convenience of offering specialized services, especially those of information technology and systems integration

Los acuerdos de refinanciación en empresas con riesgo de insolvencia en el marco de los procedimientos concursales

Our main aim in this paper is to analyse the problems arising from the refinancing agreements with creditors in viable companies with insolvency problems, in particular, the changes introduced by the Royal Decree-Law 3/2009 of 27 March, on Bankruptcy Law. Furthermore, we want to emphasize other aspects of the refinancing agreements during the meeting of creditors, in particular, negotiation of the agreement, which in our opinion, should have also been contemplated in the royal decree, so that implementation of the Bankruptcy Law may help to achieve a successful restructuring of companies and thereby satisfy creditors in cases of compositions of viable companies in a context of crisis.Con este trabajo nos planteamos como objetivo esencial analizar los problemas derivados de los acuerdos de refinanciación preconcursales en las empresas viables con problemas de insolvencia, en concreto, los cambios introducidos por el Real Decreto-Ley 3/2009, de 27 de marzo, en la Ley Concursal. Además, también queremos poner de relieve otros aspectos relativos a los acuerdos de refinanciación durante el concurso de acreedores, en particular, ante la negociación del convenio, que, en nuestra opinión, debiera haber contemplado también dicho real decreto, para que así al aplicar la Ley Concursal se pueda contribuir a alcanzar con éxito la reestructuración de las empresas y, con ello, la satisfacción de acreedores en los supuestos de concurso de empresas viables en un contexto de crisis

Impact of Comprehensive income against Net income on BSCH and BBVA earnings stability according to US GAAP (1998-2007)

RESUMEN. El resultado global –comprehensive income–, más conectado con la realidad de los mercados que el tradicional resultado neto –net income–, está irrumpiendo con fuerza como indicador del performance empresarial. Con este trabajo queremos evaluar empíricamente la volatilidad del primero frente al segundo para el BSCH y BBVA a lo largo de los años del 1998-2007, determinados según US GAAP en los 20-F de la SEC, lo que nos va a aportar evidencia sobre el impacto del comprehensive income en la estabilidad del beneficio a lo largo de los diez años considerados para las dos grandes corporaciones españolas del sector financiero.ABSTRACT. Comprehensive income, more linked to the reality of the markets than the traditional net income, is becoming more relevant as an indicator of companies performance. The aim of this paper is to test empirically the volatility of the former as opposed to the second for BSCH and BBVA through the years of the period 1998-2007, determined according to US GAAP in the SEC 20-F Form, what contributes to evidence of the impact of comprehensive income on earnings stability through the ten years considered for the two Spanish big corporations in the financial sector

La práctica empresarial del outsourcing: revisión conceptual y aproximación empírica

Profundizar en el concepto actual de “outsourcing”, analizar las razones de su resurgimiento entre las modas gerenciales, así como los efectos potenciales -directos e indirectos, positivos y negativos- de su puesta en práctica en las organizaciones, constituye una interesante tarea de reflexión por cuanto tiene de conexión con otros elementos de las organizaciones y sugiere algunas tendencias futuras en las mismas. Este trabajo tiene como objetivo obtener un mayor conocimiento sobre la práctica actual de outsourcing en las organizaciones. Para ello, se presenta una revisión teórica de esta práctica mediante un análisis de sus causas y sus efectos, de la decisión misma de externalización y de su implantación en las empresas. Complementariamente, se ofrece un análisis empírico cuyos datos se han recogido a través de una encuesta a empresas de Cantabria. De todo ello, se obtienen las conclusiones expuestas en el último apartado.To deep in the concept of outsourcing, to analyze the reasons of their resurgence among the management fashions, as well as the potential effects of their setting in the organizations, it is an interesting reflection task because it connect with diverse components of the organizations and it suggests some future trends in the same ones. The purpose of this paper is to examine the “outsourcing” with a causal analysis to study the theorical potentialities and the practical aplicability of this option. The paper is divided into three parts. The first part offers a review of the literature in the matter. The second part includes the aims, the research methodology and the results of our empirical study. In the third part we present some conclusions in connection with the topic

Revisión crítica del proyecto nueva empresa en el marco regulador de creación y fomento de las PYME en España: utilidad del modelo simplificado de contabilidad

En este trabajo se analiza el modelo de contabilidad simplificada aprobado recientemente en España (2004), especialmente para las empresas de pequeña y mediana dimensión dentro del nuevo marco regulador denominado “Proyecto Nueva Empresa” que tiene por objeto promover e impulsar la creación y desarrollo de las PYME. El documento hace un estudio critico de los elementos principales del Proyecto y en particular del modelo de contabilidad simplificada desde un punto de vista funcional y contable, a fin de poder enjuiciar el mismo en su etapa temprana de implantación en las empresas.The aim of this paper is to analyse the new model of Simplified Accounting approved recently in Spain (2004), especially for the companies of small and medium dimension inside the new mark regulator denominated “Project New Company” that has for object to promote and to impel the creation and development of the SME. The document makes a study I criticize of the main elements of the Project and in particular of the accounting pattern simplified from a functional and countable point of view, in order to be able to prosecute the same one in its early stage of installation in the companies