Credit Rating of Agricultural and Food Companies in Vojvodina

The purpose of this paper is to examine different methods of creditworthiness assessment and bankruptcy prediction in the case of agricultural and food companies in Vojvodina, Serbia. The analysis performed was based on the 2015–2019 financial reports of micro-sized, small-sized and medium-sized agricultural and food companies considered. A total of two models were applied in this study: the Altman’s Z’-score model and the Kralicek’s Quick test. The Altman’s Z’-score model results obtained indicate that the micro-sized agricultural companies were at greater risk of bankruptcy, whereas the small- and medium-sized companies were found stable. However, the Kralicek’s Quick test results obtained show that all the agricultural companies considered had good financial stability and solid businesses. The Altman’s Z’-score model results obtained for the food companies considered indicate that the micro- and small-sized food companies were endangered, whereas the medium-sized food companies were not at risk of bankruptcy. Moreover, the Kralicek’s Quick test results obtained show that all the food companies considered operated successfully with no risk of bankruptcy.