PROSPECTIVE MODELING OF PROFITABILITY OF IT COMPANY

Abstract

With the increase in the pace of development of the IT industry, in large companies of this field of activity there is a need to carry out qualitative analysis and forecasting of financial indicators in order to obtain a higher level of gross profit while minimizing the level of expenses. The set goal depends on the company's timely control and analysis of costs and revenues. Control consists precisely in compliance with reporting on financial results in accordance with international financial reporting standards. Such control greatly facilitates the development and application of models to financial performance data. The relevance of the chosen topic is due to the constant and rapid development of information technologies on the development of the industry in general. Whereas the analysis of the performance of each individual company has an impact on the entire industry. The methodological basis of the chosen research topic is the analysis of time series, the use of autoregression models, trend analysis and general analysis of the company's profitability. In this article, consider such indicators as Income from the sale of services and Cost of services provided. These indicators are included in the "Report on financial results". The data of these indicators were collected and processed for the period from July 2018 to August 2022. Forecasting models were chosen for selected financial indicators, which in turn were tested for adequacy. Using forecasting models, the values of the considered indicators were found for the last 4 months of the considered period. As a result of the analysis, an indicator of gross profit was found, which made it possible to assess the financial condition of the IT company at the end of the reporting period. As a result, a decrease in the growth rate of profitability compared to previous reporting periods was revealed. A more detailed analysis of profitability by groups of provided services highlighted several groups of services, which include the reasons for the deterioration of the company's profitability indicator. The results of this study and the step-by-step process can be used as a method for effective analysis of financial indicators of other independent enterprises.