IDEAS home Printed from https://ideas.repec.org/a/gam/jeners/v14y2021i4p1181-d504046.html
   My bibliography  Save this article

Modeling and Management of Power Supply Enterprises’ Cash Flows

Author

Listed:
  • Darya Pyatkina

    (Department of Applied Informatics and Probability Theory, Peoples’ Friendship University of Russia (RUDN University), 117198 Moscow, Russia
    Department of Data Analysis and Machine Learning, Financial University under Government of the Russian Federation, 115583 Moscow, Russia)

  • Tamara Shcherbina

    (Department of Corporate Finance and Corporate Governance, Financial University under the Government of the Russian Federation, 115583 Moscow, Russia)

  • Vadim Samusenkov

    (Department of Prosthetic Dentistry, The State Education Institution of Higher Professional Training, I.M Sechenov First Moscow State Medical University, 119991 Moscow, Russia)

  • Irina Razinkina

    (Department of Management and Innovation, Financial University under the Government of the Russian Federation, 115583 Moscow, Russia)

  • Mariusz Sroka

    (Faculty of Management, Technical University of Czestochowa, 42-201 Czestochowa, Poland)

Abstract

The purpose of the study is to assess the efficiency of cash flow management at power supply companies of the CIS (Commonwealth of Independent States) countries. A methodological approach to cash flow forecasting with the use of linear and polynomial regression has been developed. The study is based on the data provided by 12 power supply companies operating in CIS member countries. Forecasting based on the generated polynomial models of multiple regression of cash flow for the power supply companies under study confirms the strong possibility of extrapolating the studied trends to future periods. Compared to the linear model, the polynomial one confirms higher values of the determination coefficients for the majority of power supply companies. The projected volumes of cash inflow, cash outflow, and net cash flows of power supply companies with the application of the described polynomial multiple regression models have a fairly high degree of approximation. The correlations between operating cash flows and outflows, between total cash inflow and outflow of the majority of power supply companies are high. The low level of synchronization between cash inflows and outflows of the companies under study is associated with the specifics of their financial and investment activities and the cash flow management policy. It has been proven that energy enterprises’ financial stability significantly depends on the synchronization and uniformity of cash flows. The proposed methodological approach allows identifying enterprises by the criterion of riskiness from the standpoint of the synchronization and homogeneity of their cash flows.

Suggested Citation

  • Darya Pyatkina & Tamara Shcherbina & Vadim Samusenkov & Irina Razinkina & Mariusz Sroka, 2021. "Modeling and Management of Power Supply Enterprises’ Cash Flows," Energies, MDPI, vol. 14(4), pages 1-17, February.
    • Handle: RePEc:gam:jeners:v:14:y:2021:i:4:p:1181-:d:504046
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/1996-1073/14/4/1181/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/1996-1073/14/4/1181/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Peixin Li & Rongxi Zhou & Yahui Xiong, 2020. "Can ESG Performance Affect Bond Default Rate? Evidence from China," Sustainability, MDPI, vol. 12(7), pages 1-12, April.
    2. Fernando Postigo Marcos & Carlos Mateo Domingo & Tomás Gómez San Román & Rafael Cossent Arín, 2020. "Location and Sizing of Micro-Grids to Improve Continuity of Supply in Radial Distribution Networks," Energies, MDPI, vol. 13(13), pages 1-21, July.
    3. Tetyana Vasylieva & Oleksii Lyulyov & Yuriy Bilan & Dalia Streimikiene, 2019. "Sustainable Economic Development and Greenhouse Gas Emissions: The Dynamic Impact of Renewable Energy Consumption, GDP, and Corruption," Energies, MDPI, vol. 12(17), pages 1-12, August.
    4. Dominique Dufour & Philippe Luu & Pierre Teller, 2018. "The influence of cash flow on the speed of adjustment to the optimal capital structure," Post-Print hal-01661646, HAL.
    5. Lewin, Peter & Cachanosky, Nicolás, 2018. "Substance and semantics: The question of capital," Journal of Economic Behavior & Organization, Elsevier, vol. 150(C), pages 423-431.
    6. Daniel Then & Christian Spalthoff & Johannes Bauer & Tanja M. Kneiske & Martin Braun, 2020. "Impact of Natural Gas Distribution Network Structure and Operator Strategies on Grid Economy in Face of Decreasing Demand," Energies, MDPI, vol. 13(3), pages 1-33, February.
    7. Dufour, Dominique & Luu, Philippe & Teller, Pierre, 2018. "The influence of cash flow on the speed of adjustment to the optimal capital structure," Research in International Business and Finance, Elsevier, vol. 45(C), pages 62-71.
    8. Alejandro C. Alonso, 2020. "The Role of the Commercial Banks in the Financing of the Renewable Energy Industry," World Scientific Book Chapters, in: Charles W Donovan (ed.), RENEWABLE ENERGY FINANCE Funding the Future of Energy, chapter 10, pages 217-245, World Scientific Publishing Co. Pte. Ltd..
    9. Oleksandr Sabishchenko & Rafał Rębilas & Norbert Sczygiol & Mariusz Urbański, 2020. "Ukraine Energy Sector Management Using Hybrid Renewable Energy Systems," Energies, MDPI, vol. 13(7), pages 1-20, April.
    10. Nangia, Rita, 2019. "Securing Asia's energy future with regional integration," Energy Policy, Elsevier, vol. 132(C), pages 1262-1273.
    11. Shi, Min, 2019. "Overinvestment and corporate governance in energy listed companies: Evidence from China," Finance Research Letters, Elsevier, vol. 30(C), pages 436-445.
    12. Andrey Rogalev & Ivan Komarov & Vladimir Kindra & Olga Zlyvko, 2018. "Entrepreneurial assessment of sustainable development technologies for power energy sector," Post-Print hal-02168626, HAL.
    13. Bian, Yuan & Lemoine, David & Yeung, Thomas G. & Bostel, Nathalie & Hovelaque, Vincent & Viviani, Jean-laurent & Gayraud, Fabrice, 2018. "A dynamic lot-sizing-based profit maximization discounted cash flow model considering working capital requirement financing cost with infinite production capacity," International Journal of Production Economics, Elsevier, vol. 196(C), pages 319-332.
    14. Francisco Salas-Molina, 2020. "Risk-sensitive control of cash management systems," Operational Research, Springer, vol. 20(2), pages 1159-1176, June.
    15. Hinz, Fabian & Schmidt, Matthew & Möst, Dominik, 2018. "Regional distribution effects of different electricity network tariff designs with a distributed generation structure: The case of Germany," Energy Policy, Elsevier, vol. 113(C), pages 97-111.
    16. Maria Elisabete Neves & Carla Henriques & João Vilas, 2021. "Financial performance assessment of electricity companies: evidence from Portugal," Operational Research, Springer, vol. 21(4), pages 2809-2857, December.
    17. John van der Burg & Xiaojing Song & Mark Tippett, 2019. "A hyperbolic model of optimal cash balances," The European Journal of Finance, Taylor & Francis Journals, vol. 25(2), pages 101-115, January.
    18. Lahcen El Iysaouy & Najiba El Amrani El Idrissi & Manuela Tvaronavičienė & Mhammed Lahbabi & Abdelmajid Oumnad, 2019. "Towards energy efficiency: case of Morocco," Post-Print hal-02189638, HAL.
    19. Arash Khalili Nasr & Maryam Kafizadeh Kashan & Abbas Maleki & Navid Jafari & Hamid Hashemi, 2020. "Assessment of Barriers to Renewable Energy Development Using Stakeholders Approach," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 7(3), pages 2526-2541, March.
    20. He, Y.X. & Jiao, J. & Chen, R.J. & Shu, H., 2018. "The optimization of Chinese power grid investment based on transmission and distribution tariff policy: A system dynamics approach," Energy Policy, Elsevier, vol. 113(C), pages 112-122.
    21. Xiuhong Qin & Guoliang Huang & Huayu Shen & Mengyao Fu, 2020. "COVID-19 Pandemic and Firm-level Cash Holding—Moderating Effect of Goodwill and Goodwill Impairment," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 56(10), pages 2243-2258, August.
    22. Nguyen Vinh Khuong & Nguyen Tran Thai Ha & Phung Anh Thu, 2019. "The Relationship between Real Earnings Management and Firm Performance: The Case of Energy Firms in Vietnam," International Journal of Energy Economics and Policy, Econjournals, vol. 9(2), pages 307-314.
    23. Tang, Dragon Yongjun & Zhang, Yupu, 2020. "Do shareholders benefit from green bonds?," Journal of Corporate Finance, Elsevier, vol. 61(C).
    24. Wadim Strielkowski & Wadim Strielkowski & Wadim Strielkowski & Wadim Strielkowski & Evgeny Lisin & Evgeny Lisin & Elena Astachova, 2017. "Economic sustainability of energy systems and prices in the EU," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 4(4), pages 591-600, June.
    25. Andrey I. Vlasov & Vadim A. Shakhnov & Sergey S. Filin & Sergey S. Filin & Aleksey I. Krivoshein & Aleksey I. Krivoshein, 2019. "Sustainable energy systems in the digital economy: concept of smart machines," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 6(4), pages 1975-1986, June.
    26. Sadik Kucuksari & Nuh Erdogan & Umit Cali, 2019. "Impact of Electrical Topology, Capacity Factor and Line Length on Economic Performance of Offshore Wind Investments," Energies, MDPI, vol. 12(16), pages 1-21, August.
    27. Giones, Ferran & Brem, Alexander & Berger, Andreas, 2019. "Strategic decisions in turbulent times: Lessons from the energy industry," Business Horizons, Elsevier, vol. 62(2), pages 215-225.
    28. Sarkar, Biswajit & Guchhait, Rekha & Sarkar, Mitali & Cárdenas-Barrón, Leopoldo Eduardo, 2019. "How does an industry manage the optimum cash flow within a smart production system with the carbon footprint and carbon emission under logistics framework?," International Journal of Production Economics, Elsevier, vol. 213(C), pages 243-257.
    29. Steffen, Bjarne, 2018. "The importance of project finance for renewable energy projects," Energy Economics, Elsevier, vol. 69(C), pages 280-294.
    30. Lahcen El Iysaouy & Najiba El Amrani El Idrissi & Manuela TvaronaviÄ ienÄ— & Mhammed Lahbabi & Abdelmajid Oumnad, 2019. "Towards energy efficiency: case of Morocco," Insights into Regional Development, VsI Entrepreneurship and Sustainability Center, vol. 1(3), pages 259-271, September.
    31. Qitian Mu & Yajing Gao & Yongchun Yang & Haifeng Liang, 2019. "Design of Power Supply Package for Electricity Sales Companies Considering User Side Energy Storage Configuration," Energies, MDPI, vol. 12(17), pages 1-16, August.
    32. Hribar, Rok & Potočnik, Primož & Šilc, Jurij & Papa, Gregor, 2019. "A comparison of models for forecasting the residential natural gas demand of an urban area," Energy, Elsevier, vol. 167(C), pages 511-522.
    33. Hafezali Iqbal Hussain & Beata Slusarczyk & Fakarudin Kamarudin & Hassanudin Mohd Thas Thaker & Katarzyna Szczepańska-Woszczyna, 2020. "An Investigation of an Adaptive Neuro-Fuzzy Inference System to Predict the Relationship among Energy Intensity, Globalization, and Financial Development in Major ASEAN Economies," Energies, MDPI, vol. 13(4), pages 1-17, February.
    34. Andoni, Merlinda & Robu, Valentin & Flynn, David & Abram, Simone & Geach, Dale & Jenkins, David & McCallum, Peter & Peacock, Andrew, 2019. "Blockchain technology in the energy sector: A systematic review of challenges and opportunities," Renewable and Sustainable Energy Reviews, Elsevier, vol. 100(C), pages 143-174.
    35. Yaser Vahedi Geshniani & Reza Kamranrad & Iman Emami, 2020. "A multi-objective scheduling payment pattern for project cash flow by considering resource constraints (a case study in power transfer system)," International Journal of Industrial and Systems Engineering, Inderscience Enterprises Ltd, vol. 35(3), pages 299-313.
    36. Luo, Shuman & Weng, Yang, 2019. "A two-stage supervised learning approach for electricity price forecasting by leveraging different data sources," Applied Energy, Elsevier, vol. 242(C), pages 1497-1512.
    37. Andrey Rogalev & Ivan Komarov & Vladimir Kindra & Olga Zlyvko, 2018. "Entrepreneurial assessment of sustainable development technologies for power energy sector," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 6(1), pages 429-445, September.
    38. Dominik Kryzia & Michał Kopacz & Katarzyna Kryzia, 2020. "The Valuation of the Operational Flexibility of the Energy Investment Project Based on a Gas-Fired Power Plant," Energies, MDPI, vol. 13(7), pages 1-16, March.
    39. Mikhail Nikolaevich Dudin & Mikhail Nikolaevich Dudin & Evgenia Evgenevna Frolova & Evgenia Evgenevna Frolova & Olga Vadimirovna Protopopova & Oktay Mamedov & Stanislav Valerievich Odintsov, 2019. "Study of innovative technologies in the energy industry: nontraditional and renewable energy sources," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 6(4), pages 1704-1713, June.
    40. Dariush Khezrimotlagh & Yao Chen, 2018. "The Optimization Approach," International Series in Operations Research & Management Science, in: Decision Making and Performance Evaluation Using Data Envelopment Analysis, chapter 0, pages 107-134, Springer.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Iwona Posadzińska & Małgorzata Grzeszczak, 2022. "Management Accounting System in the Management of an Intelligent Energy Sector Enterprise," Energies, MDPI, vol. 15(20), pages 1-17, October.
    2. Andrey Kositzyn & Denis Serdechnyy & Sergey Korchagin & Ekaterina Pleshakova & Petr Nikitin & Natalia Kurileva, 2021. "Mathematical Modeling, Analysis and Evaluation of the Complexity of Flight Paths of Groups of Unmanned Aerial Vehicles in Aviation and Transport Systems," Mathematics, MDPI, vol. 9(17), pages 1-13, September.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Marko Milojević & Paweł Nowodziński & Ivica Terzić & Svetlana Danshina, 2021. "Households’ Energy Autonomy: Risks or Benefits for a State?," Energies, MDPI, vol. 14(7), pages 1-16, April.
    2. Smirnova, Elena & Kot, Sebastian & Kolpak, Eugeny & Shestak, Viktor, 2021. "Governmental support and renewable energy production: A cross-country review," Energy, Elsevier, vol. 230(C).
    3. Ivan Trifonov & Dmitry Trukhan & Yury Koshlich & Valeriy Prasolov & Beata Ślusarczyk, 2021. "Influence of the Share of Renewable Energy Sources on the Level of Energy Security in EECCA Countries," Energies, MDPI, vol. 14(4), pages 1-15, February.
    4. Nomeda Dobrovolskienė & Anastasija Pozniak & Manuela Tvaronavičienė, 2021. "Assessment of the Sustainability of a Real Estate Project Using Multi-Criteria Decision Making," Sustainability, MDPI, vol. 13(8), pages 1-19, April.
    5. Bożena Gajdzik & Włodzimierz Sroka, 2021. "Resource Intensity vs. Investment in Production Installations—The Case of the Steel Industry in Poland," Energies, MDPI, vol. 14(2), pages 1-16, January.
    6. Marcin Rabe & Dalia Streimikiene & Yuriy Bilan, 2020. "Model of Optimization of Wind Energy Production in the Light of Legal Changes in Poland," Energies, MDPI, vol. 13(7), pages 1-15, March.
    7. Yelena Petrenko & Igor Denisov & Gaukhar Koshebayeva & Valeriy Biryukov, 2020. "Energy Efficiency of Kazakhstan Enterprises: Unexpected Findings," Energies, MDPI, vol. 13(5), pages 1-20, February.
    8. Marko Milojević & Mariusz Urbański & Ivica Terzić & Valeriy Prasolov, 2020. "Impact of Non-Financial Factors on the Effectiveness of Audits in Energy Companies," Energies, MDPI, vol. 13(23), pages 1-17, November.
    9. Emil Velinov & Yelena Petrenko & Elena Vechkinzova & Igor Denisov & Luis Ochoa Siguencia & Zofia Gródek-Szostak, 2020. "“Leaky Bucket” of Kazakhstan’s Power Grid: Losses and Inefficient Distribution of Electric Power," Energies, MDPI, vol. 13(11), pages 1-19, June.
    10. Marcin Rabe & Dalia Streimikiene & Wojciech Drożdż & Yuriy Bilan & Rafal Kasperowicz, 2020. "Sustainable regional energy planning: The case of hydro," Sustainable Development, John Wiley & Sons, Ltd., vol. 28(6), pages 1652-1662, November.
    11. Alexander Melnik & Kirill Ermolaev, 2020. "Strategy Context of Decision Making for Improved Energy Efficiency in Industrial Energy Systems," Energies, MDPI, vol. 13(7), pages 1-28, March.
    12. Shahin Bayramov & Iurii Prokazov & Sergey Kondrashev & Jan Kowalik, 2021. "Household Electricity Generation as a Way of Energy Independence of States—Social Context of Energy Management," Energies, MDPI, vol. 14(12), pages 1-19, June.
    13. Marcin Sitek & Manuela Tvaronavičienė, 2021. "Innovation Management in Polish Real Estate Developers in the Renewable Energy Sources Context," Energies, MDPI, vol. 14(6), pages 1-20, March.
    14. Mihaela Simionescu & Wadim Strielkowski & Manuela Tvaronavičienė, 2020. "Renewable Energy in Final Energy Consumption and Income in the EU-28 Countries," Energies, MDPI, vol. 13(9), pages 1-18, May.
    15. Mohammad Chehabeddine & Manuela Tvaronavičienė, 2020. "Securing regional development," Post-Print hal-02569328, HAL.
    16. Wadim Strielkowski & Irina Firsova & Inna Lukashenko & Jurgita Raudeliūnienė & Manuela Tvaronavičienė, 2021. "Effective Management of Energy Consumption during the COVID-19 Pandemic: The Role of ICT Solutions," Energies, MDPI, vol. 14(4), pages 1-17, February.
    17. Lucas Roth & Jens Lowitzsch & Özgür Yildiz, 2021. "An Empirical Study of How Household Energy Consumption Is Affected by Co-Owning Different Technological Means to Produce Renewable Energy and the Production Purpose," Energies, MDPI, vol. 14(13), pages 1-38, July.
    18. Georgi N. Todorov & Andrey I. Vlasov & Elena E. Volkova & Marina A. Osintseva, 2020. "Sustainability in Local Power Supply Systems of Production Facilities Where There Is the Compensatory Use of Renewable Energy Sources," International Journal of Energy Economics and Policy, Econjournals, vol. 10(3), pages 14-23.
    19. Mihaela Simionescu & Adam Wojciechowski & Arkadiusz Tomczyk & Marcin Rabe, 2021. "Revised Environmental Kuznets Curve for V4 Countries and Baltic States," Energies, MDPI, vol. 14(11), pages 1-15, June.
    20. Mohammad R. Chehabeddine & Mohammad R. Chehabeddine & Manuela TvaronaviÄ ienÄ—, 2020. "Securing regional development," Insights into Regional Development, VsI Entrepreneurship and Sustainability Center, vol. 2(1), pages 430-442, March.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jeners:v:14:y:2021:i:4:p:1181-:d:504046. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.