{"status":"ok","message-type":"work","message-version":"1.0.0","message":{"indexed":{"date-parts":[[2026,4,10]],"date-time":"2026-04-10T19:42:04Z","timestamp":1775850124130,"version":"3.50.1"},"reference-count":46,"publisher":"Emerald","license":[{"start":{"date-parts":[[2025,10,28]],"date-time":"2025-10-28T00:00:00Z","timestamp":1761609600000},"content-version":"vor","delay-in-days":0,"URL":"https:\/\/creativecommons.org\/licences\/by\/4.0\/"}],"content-domain":{"domain":[],"crossmark-restriction":false},"short-container-title":[],"abstract":"<jats:sec>\n                    <jats:title>Purpose<\/jats:title>\n                    <jats:p>We aimed to test the predictive accuracy of three widely used accounting-based corporate bankruptcy prediction models (Altman\u2019s Z\u201d-score, Ohlson\u2019s model and Zmijewski\u2019s model) and re-estimate the models\u2019 coefficients to improve accuracy and help small and medium-sized companies (SMEs) better assess their corporate clients\u2019 credit risk in a European context.<\/jats:p>\n                  <\/jats:sec>\n                  <jats:sec>\n                    <jats:title>Design\/methodology\/approach<\/jats:title>\n                    <jats:p>We estimated corporate bankruptcy risk for a comprehensive sample of 9,371 companies from Portugal (of which 370 were bankrupt) using Altman\u2019s Z\u201d-score as well as Ohlson\u2019s and Zmijewski\u2019s models. We compared the models\u2019 predictions to each company\u2019s actual status (bankrupt or non-bankrupt). We re-estimated the coefficients of the three models using a logit regression methodology to improve the accuracy of predicting bankrupt companies. We tested the new equation coefficients both in-sample and out-of-sample and conducted a robustness test on 228 companies from nine other European countries.<\/jats:p>\n                  <\/jats:sec>\n                  <jats:sec>\n                    <jats:title>Findings<\/jats:title>\n                    <jats:p>The original models still demonstrate an overall accuracy (percentage of correctly predicted bankrupt and non-bankrupt companies) above 80%. However, they produce high errors in predicting bankruptcy only (Type I errors of 27.03% in Altman\u2019s model, 22.97% in Ohlson\u2019s model and 16.76% in Zmijewski\u2019s model). While maintaining overall accuracy above 80%, the re-estimated equations reduced these errors to 13.24% in Altman\u2019s model and 15.68% in Ohlson\u2019s model. However, it failed to reduce Zmijewski\u2019s model errors, which increased to 18.38%. The reduction in errors compared to the original models was also evident in out-of-sample testing. We conclude that Ohlson\u2019s re-estimated model provides more balanced results regarding Type I errors (15.68%) and overall accuracy (84.35%).<\/jats:p>\n                  <\/jats:sec>\n                  <jats:sec>\n                    <jats:title>Originality\/value<\/jats:title>\n                    <jats:p>This article contributes to the literature on corporate bankruptcy prediction by re-estimating the coefficients of three widely used accounting-based models with data from Portugal, showing that the new equations perform well within their market context. We believe that it will help SMEs measure the bankruptcy risk of their corporate clients with readily available accounting information.<\/jats:p>\n                  <\/jats:sec>","DOI":"10.1108\/cemj-07-2024-0226","type":"journal-article","created":{"date-parts":[[2025,10,28]],"date-time":"2025-10-28T08:46:30Z","timestamp":1761641190000},"page":"1-22","source":"Crossref","is-referenced-by-count":1,"title":["Corporate bankruptcy prediction: re-estimating classical accounting-based models with a sample from Portugal"],"prefix":"10.1108","author":[{"ORCID":"https:\/\/orcid.org\/0000-0002-9116-7222","authenticated-orcid":true,"given":"Ant\u00f3nio Manuel","family":"Cunha","sequence":"first","affiliation":[{"name":"CEOS.PP, ISCAP, Polytechnic of Porto , ,","place":["Porto, Portugal"]},{"name":"Research Center in Business Sciences and Tourism (CICET\u2014FCVC) , ,","place":["Porto, Portugal"]}]},{"ORCID":"https:\/\/orcid.org\/0000-0002-4942-079X","authenticated-orcid":true,"given":"Ana Pinto","family":"Borges","sequence":"additional","affiliation":[{"name":"ISAG\u2014European Business School , ,","place":["Porto, Portugal"]},{"name":"Research Center in Business Sciences and Tourism (CICET\u2014FCVC) , ,","place":["Porto, Portugal"]}]},{"given":"Elvira","family":"Vieira","sequence":"additional","affiliation":[{"name":"ISAG\u2014European Business School , ,","place":["Porto, Portugal"]},{"name":"Research Center in Business Sciences and Tourism (CICET\u2014FCVC) , ,","place":["Porto, Portugal"]},{"name":"Applied Management Research Unit (UNIAG), Instituto Polit\u00e9cnico de Bragan\u00e7a , ,","place":["Bragan\u00e7a, Portugal"]},{"name":"IPVC\u2014Polytechnic Institute of Viana do Castelo , ,","place":["Viana do Castelo, Portugal"]}]}],"member":"140","published-online":{"date-parts":[[2025,10,29]]},"reference":[{"issue":"4","key":"2025102804460232000_ref001","doi-asserted-by":"publisher","first-page":"1585","DOI":"10.1007\/s11187-024-00874-7","article-title":"Fostering SME survival through insolvency proceedings: A legitimacy perspective on retrenchment, age, and firm-specific distress","volume":"63","author":"Achbah","year":"2024","journal-title":"Small Business Economics"},{"issue":"8","key":"2025102804460232000_ref002","doi-asserted-by":"publisher","first-page":"1541","DOI":"10.1016\/j.jbankfin.2007.07.014","article-title":"Comparing the performance of market-based and accounting-based bankruptcy prediction models","volume":"32","author":"Agarwal","year":"2008","journal-title":"Journal of Banking and Finance"},{"issue":"2","key":"2025102804460232000_ref003","doi-asserted-by":"publisher","first-page":"77","DOI":"10.21314\/JCR.2023.002","article-title":"Benchmarking machine learning models to predict corporate bankruptcy","volume":"19","author":"Alanis","year":"2023","journal-title":"Journal of Credit Risk"},{"issue":"4","key":"2025102804460232000_ref004","doi-asserted-by":"publisher","first-page":"589","DOI":"10.2307\/2978933","article-title":"Financial ratios, discriminant analysis and the prediction of corporate bankruptcy","volume":"23","author":"Altman","year":"1968","journal-title":"Journal of Finance"},{"issue":"4","key":"2025102804460232000_ref005","doi-asserted-by":"publisher","first-page":"311","DOI":"10.1016\/j.ememar.2005.09.007","article-title":"An emerging market credit scoring system for corporate bonds","volume":"6","author":"Altman","year":"2005","journal-title":"Emerging Markets Review"},{"issue":"4","key":"2025102804460232000_ref006","doi-asserted-by":"publisher","first-page":"1755","DOI":"10.21314\/JCR.2018.243","article-title":"A fifty-year retrospective on credit risk models, the Altman Z-score family of models and their applications to financial markets and managerial strategies","volume":"14","author":"Altman","year":"2018","journal-title":"Journal of Credit Risk"},{"key":"2025102804460232000_ref007","doi-asserted-by":"publisher","DOI":"10.1007\/978-1-4615-6197-2_25","volume-title":"Emerging Market Capital Flows. 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