It is a regular audit conducted by the international consultancy, audit, assurance, strategy, corporate finance and tax services company EY (Ernst&Young) and provides important insights into restructuring markets.“Restructuring Pulse” The 5th version of the research has been published. The report includes important assessments of current trends and future prospects, shedding light on the dynamics of the restructuring market in the CESA Region (Central, Eastern and Southeastern Europe and Central Asia) and Austria.
According to the research, among the most important factors affecting restructuring in the last six months, the decrease in sales (23%) and the slowdown in economic growth (20%) stand out, and these trends are expected to continue in the coming period. At the same time, the main factors that are expected to trigger restructuring processes are a decrease in sales (21%) and a slowdown in economic growth (17%).
Construction, real estate and automotive sectors continue to lead
Research results show that the sectors with the most intense restructuring activities are construction, real estate and automotive. Especially the automotive industry is experiencing serious changes due to cost problems in the production of internal combustion engines and electric vehicles.
Regional differences draw attention
The report states that the largest increase in restructuring activities occurred in countries such as Austria, Poland, Serbia and Slovakia, while a moderate increase is expected in countries such as Hungary, Ukraine, Bulgaria, Slovenia and Turkey. Croatia is among the countries where these activities have decreased.
Debt restructuring and maturity extension stand out in restructuring solutions
Debt restructuring and maturity extension continue to be the main solution tools of restructuring processes. However, solutions such as operational restructuring and refinancing are also becoming increasingly important.
The research results clearly reveal how economic and sectoral transformation processes shape restructuring activities, and show that the challenges faced by businesses can be overcome with effective and innovative solutions. EY’s Restructuring Pulse research continues to provide insight into not only today but also future trends and opportunities.
Regarding the EY Restructuring Pulse Survey, EY Türkiye Partner, Central, Eastern, Southeastern Europe and Central Asia Capital Debt Advisory Leader Orçun Makal He said: “Research According to the results, the increase in restructuring activities continues at a slower pace compared to previous years. Most restructuring activities are expected to occur in the first half of 2025. There is a trend towards increasing income pressures. While this situation has become the most important point, replacing the cost-oriented pressures in the previous editions, debt restructuring-maturity extension continues as the main financial restructuring tool. “There is a significant increase in operational restructurings as part of the overall solution.”
Source: www.technopat.net
