FORMATION OF A MECHANISM FOR ENHANCING ENTERPRISE SOLVENCY UNDER ECONOMIC INSTABILITY CONDITIONS: ASSESSMENT AND PRACTICAL IMPLEMENTATION

Abstract

In the context of increasing economic instability, maintaining enterprise solvency is a key prerequisite for sustainable development and long-term financial stability. Traditional assessment approaches based primarily on liquidity ratios often fail to identify hidden imbalances and emerging risks in a timely manner, highlighting the need for a comprehensive approach that combines retrospective analysis with predictive diagnostic tools.
The purpose of this study is to develop practical recommendations for a mechanism to improve enterprise solvency under economic instability through comprehensive financial performance assessment and risk forecasting. The research systematizes contemporary approaches, justifying solvency as an integrated financial and managerial characteristic influenced by liquidity, stability, capital structure, and resource management effectiveness.
The study proposes a comprehensive methodology integrating performance analysis, business activity, and predictive distress models, applied to the case of Joint-Stock Company Ukrposhta from 2022 to 2024. The analysis evaluated key financial indicators, liquidity ratios, financial sustainability coefficients, and business activity measures.
The results reveal contradictory trends. Ukrposhta demonstrated revenue growth and reduced net losses, but experienced a substantial decline in equity and increased dependence on borrowed capital. The application of the Altman, Beaver, and Taffler predictive models confirmed the persistence of a medium-term risk of insolvency despite positive operational changes.
Based on the findings, proposed managerial measures include capital structure optimization, enhanced liquidity management, and preventive financial monitoring. The scientific novelty lies in developing a mechanism that integrates retrospective financial analysis and predictive risk assessment into a unified decision-making system, highly relevant under conditions of economic uncertainty and limited resource access.