Medium-size businesses in North-Eastern Italy

Transcription

1 Reggio Emilia, 27 January 2006 Fulvio Coltorti - Emanuela Salerno (Mediobanca Research Department)

2 businesses selected in p In all: 3,893 medium-size businesses selected in 2002, 546 of which in Emilia Romagna (91 in Reggio Emilia) p Data classified: p by principal place of operation (macro-areas and regions) p by main activity (Ateco02 s codes by 4 digit) p by location in industrial districts or some other local productive system (LPS) 2

3 % of turnover in 2002 Mechanical engineering 31.0% Goods for home and person 31.9% Made in - Turnover 70.1% - Exports 77.1% Others 5.8% Reggio Emilia - Mechanical engineering 38.9% - Goods for home and person 25.6% - Food and drink 23.1% - Others 12.4% Iron and steel 3.5% Chemicals 8.6% Food and drink 19.2% Made in - Turnover 72.4% - Exports 84.6% 3

4 Growth in value added % change - manufacturing, closed aggregates, nominal prices Italian businesses North-West North-East 35.7 Large firms Italian-owned Non-Italian-owned Value added by manufacturing industry * 11.7 * Factor cost 4

5 Growth in value added % change manufacturing, closed aggregates, nominal prices 35.7 Friuli-Venezia Giulia 37.2 Veneto 37.1 Emilia Romagna 34.8 Trentino-Alto Adige 29.3 Reggio Emilia

6 Sales: medium-size and large manufacturing Italian businesses mediumsized large MSEs in : total sales MSEs in : exports Italian large firms: total sales Expected total sales Expected exports Italian large firm: exports 6

7 Sales: medium-size and Reggio Emilia Reggio Emilia MSEs in : total sales MSEs in : exports MSEs in Reggio Emilia: total sales Expected total sales Expected exports MSEs in Reggio Emilia: exports 7

8 Sales: medium-size and large manufacturing mediumsize large stima MSEs in : total sales MSEs in : exports Large firms in : total sales Expected total sales Expected exports Large firms in : exports 8

9 Margins on sales: medium-size and large businesses MSEs in : net operating margin MSEs in : current profit Large firms in : net operating margin Expected net operating margin Expected current profit Large firms in : current profit 9

10 businesses headquartered in 1,482 companies Source: Unioncamere Research Department 10

11 Growth in Net changes in number of companies Small companies now medium-size companies now large 11

12 firms: where are they growing? Net change in number of period=557 Central/North East ; 53 North-East ; % 9.5% North West ; % Central/Southern, Sicily and Sardinia; % 12

13 firms in : where are they growing? Net change in number of period=239 Emilia-Romagna; % 19 in the province of Reggio Emilia Friuli-Venezia Giulia; 4 1.7% Veneto; % Trentino-Alto Adige; 9 3.7% 13

14 MSEs in : capital invested from 1996 to 2002 % distribution over 30 categories

15 MSEs in : capital invested in 2002 Cumulative % for groups of 6 categories (first category = 8m; last category > 240m) North East

16 MSEs in : capital invested in 2002 Cumulative % for groups of 6 categories (first category = 8m; last category > 240m) Emilia Romagna North East

17 MSEs in : capital invested in 2002 Cumulative % for groups of 6 categories (first category = 8m; last category > 240m) Emilia Romagna Reggio Emilia

18 Technology % of turnover in 2002 (OECD principles) MSEs MSEs in North- Eastern Major Italian groups Italian affiliates of non-italian multinationals German multinationals High Medium-high Medium-low Low 18

19 Changes in Italian medium-size firms technology % of capital invested Low Medium-low Medium-high High 19

20 Growth and technology in North Eastern % of turnover in Small companies now mediumsize 3.5 Current medium-size companies 3.5 companies now large High Medium-high Medium-low Low 20

21 Financial structure in 2002 % of tangible invested capital MSEs in Italian MSEs European multinationals Short-term borrowings M/l term borrowings Net worth Working capital Fixed assets 21

22 Financial strength in 2000 R&S-Unioncamere scoring model (%) All Italian SMEs Italian MSEs MSEs in 7.7 businesses now large major problems intermediate investment grade 22

23 Financial strength in 2000 R&S-Unioncamere scoring model (%) Reggio Emilia Medie imprese del Nord Est major problems intermediate investment grade 23

24 Financial strength in R&S-Unioncamere scoring model (%) nel 1996 nel 2000 nel 2002 major problems intermediate investment grade 24

25 Annual average default rates businesses: National average of Italian North-East 0.13% North-West 0.25% 0.22% manufacturing companies 1.37% 25

26 Italian medium-size business which became large: where are they now? North-East North-West Defaulted 2.2% Defaulted 6.9% Independent 40.6% Independent 33.7% Acquired by Italian groups 38.4% Acquired by Italian Group 38.6% Acquired by non-italian groups 18.8% Annual average default rate in 0.6% Acquired by non-italian group 20.8% Annual average default rate in North-Western 1.7% 26

27 Reggio Emilia MSEs MSEs MSEs in in in Reggio Emilia Number of ,893 1, Average size - turnover per firm ( m) Exports (as % of turnover) % variations 96-02: turnover exports employees Technology: medium-high/high (%) medium-low/low (%)

28 Mediobanca Research Department Piazzetta M. Bossi 1, Milan, Website: