ANALYSIS OF THE ACCOUNTING INDICATORS OF SOLAR SYSTEMS

Purpose: The purpose of this study was to analyze the balance sheets and income statements of the company Sončni sistemi, energija d. o. o. from 2018 to 2023 based on their annual business reports. Companies use reports as a tool for business decision-making and corporate communication. This research aims to evaluate the financial performance of the company and assess its contribution to the renewable energy sector, specifically solar energy. Methodology: In this paper, we analyzed the accounting indicators from the annual reports of Sončni sistemi, energija d. o. o., focusing on business income and expenses, business outcomes, payment capacity, assets and capital, profitability, and value added per employee. We analyzed the company's revenue from 2018 to 2023, including business outcomes and EBITDA for each year. Additionally, we assessed liquidity ratios, short-term assets and liabilities, and payment capability for the given period. We further analyzed assets and capital over the same years, including ROE (Return on Equity) and ROA (Return on Assets) indicators for each year from 2018 to 2023. Findings: Solar energy, as a renewable energy source, plays a key role in reducing the negative environmental impact. Solar power systems emit virtually no greenhouse gases, and their use reduces the reliance on increasingly controversial fossil fuels. We all must recognize that the future of our planet is in our hands, and each of us plays a crucial role in taking care of our environment and future generations. We analyzed profitability and value added per employee for each year, considering the average number of employees, EBITDA, and labor costs. Sončni sistemi, energija d. o. o. specializes in the production of solar power systems for self-consumption, hybrid solar power systems, heat pumps, heating systems, electric vehicles, and charging stations. The basic components of a solar power system include solar panels, a storage unit, and an inverter. Solar panels are used to collect solar energy and generate electricity, while the storage unit (battery system) stores excess energy for later use, especially when electricity production from solar panels is insufficient (due to weather conditions, for example). Inverters convert the direct current generated by solar modules into alternating current, which is used by household devices. For grid-connected solar systems, the inverter's capacity converts the DC electricity into AC electricity, which can be consumed by electrical appliances within the building, with any surplus fed into the electrical grid. Based on the connection system, the surplus can be used when the solar system is not producing electricity, or it can be sold to the energy market. Solar energy, along with water and wind energy, represents a natural energy source, as the sun is an inexhaustible and pure source of energy. Solar power systems are essential and crucial for transitioning to sustainable electricity supply because they do not pollute the environment during operation. As a clean energy source, they provide a significant environmental advantage. Additionally, they offer long-term economic savings by reducing dependence on conventional energy sources and lowering energy costs. Transitioning to self-consumption of electricity is increasingly reasonable in the context of rising energy costs. The advantages of solar electricity include the fact that it produces no greenhouse gas emissions during operation and incurs low operational costs. Moreover, solar power plants do not generate noise. Using economic indicators, we analyzed the company's operations, the value added per employee, labor costs, and the overall value added per employee. Based on the calculated indicators, we provided an opinion on the company's performance. Limitations: The study's limitations include the reliance on publicly available annual reports and financial data, which may not provide a complete picture of the company's internal operational dynamics. Additionally, external factors such as market fluctuations, government policies, and changes in energy demand were not directly considered in this analysis. Practical and Social Implications: This study underscores the economic and environmental advantages of solar energy systems and highlights the importance of transitioning to renewable energy sources. For businesses in the renewable energy sector, particularly those producing solar power systems, the results suggest that investing in solar technology can lead to long-term economic benefits while contributing positively to the environment. This research also advocates for a greater focus on supporting sustainable energy practices in both business and government policies. Originality: This research offers an in-depth financial analysis of a company specializing in renewable energy solutions, specifically solar power systems. It provides valuable insights into the economic viability and sustainability of such companies, highlighting their role in promoting clean energy. The originality of this study lies in its comprehensive assessment of financial performance in the context of an industry that plays a pivotal role in the transition to a sustainable energy future.