aA
In February 2015, compared to February 2014, the number of bankruptcies in Lithuania grew by 30 percent. Retails businesses gained the bankruptcy status more often than any other companies.
30 percent more Lithuanian companies went bankrupt this February
© DELFI / Mindaugas Ažušilis

In February, a total of 31 retail trade companies and 25 companies engaged in manufacturing industry were given the bankruptcy status. Among those which went bankrupt, 24 companies were engaged in service rendering, others - in the construction and catering industry. Compared to January, the number of new bankruptcies decreased by 13 percent.

The largest company which went bankrupt in February was RB2 UAB, engaged in wholesale trade of petroleum products. It went bankrupt although the revenue of the company in three years increased 19 times and in 2014 stood at EUR 57 million.

"A speedy growth of revenue is often associated with the company's success. However, such hike in sales can sometimes cause serious issues. A classical challenge is the problem of working capital. Dynamic growth of sales encourages shareholders to look for additional financial reserves, which is not always an easy task," said Rasa Maskeliuniene, chief credit risk analyst from the credit bureau Creditinfo.

Elta EN
It is forbidden to copy the text of this publication without a written permission from ELTA.
|Populiariausi straipsniai ir video

First complaint from business over lockdown restrictions reaches court (1)

Lithuanian business representatives on Wednesday lodged a complaint before a court seeking remedy...

Air Baltic launches flights from Vilnius

Air Baltic launched flights between Vilnius and the Croatian resort of Dubrovnik on Monday.

Lithuania gives the green light to large-scale investors with sweeping reforms (1)

The Parliament (Seimas) of the Republic of Lithuania has adopted a package of investment and corporate...

Maritime cluster has been founded in Lithuania

The business and educational organizations in Klaipeda are joining forces to develop the Lithuanian...

Public authorities getting closer to compromise on natl development bank

Lithuania’s public authorities are getting closer to a compromise on the establishment of a...

Top news

Media watchdog bans Russian broadcaster RT (2)

The Radio and Television Commission of Lithuania (LRTK) on Wednesday banned Russia's broadcaster RT...

First complaint from business over lockdown restrictions reaches court (1)

Lithuanian business representatives on Wednesday lodged a complaint before a court seeking remedy...

Self-isolation required for arrivals from 58 worst hit countries

The Ministry of Health has updated the list of countries most affected by coronavirus infection...

10 new coronavirus cases

On Tuesday, 10 new COVID-19 cases were confirmed in Lithuania. All of them imported or from already...

Vilnius centre becomes art gallery

Lithuanian capital Vilnius has turned its centre into an open-air art gallery . The outdoor...

|Maža didelių žinių kaina