Determinants of the Maturity Structure of the Debt of Listed Companies in Bulgaria During the COVID Pandemic

Abstract

The aim of the article is to identify the intrafirm determinants of the maturity structure of the debt of publicly traded non-financial enterprises in Bulgaria during the Covid crisis. The analysis is based on data for 43 nonfinancial enterprises, including manufacturing enterprises and enterprises in the service sector, listed on the Bulgarian Stock Exchange during the period 2020 - 2022. The results of the multiple linear regression analysis show a positive influence of the indicators Longterm assets / Total assets, Total Debt / Total Assets, Interest expense / Total expenses on the share of long-term debt in the financing of companies. In the extraordinary economic conditions during the Covid-19 pandemic in Bulgaria, the theories about the importance of the maturity structure of assets and the level of leverage for the maturity structure of the debt of listed enterprises are confirmed. The established negative impact of net sales revenue on the dependent variables in the developed models shows that companies that are larger and/or less affected by the pandemic and achieve higher net sales revenue have shorter debt maturities.