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The profi tability analysis revealing factors infl uencing profi tability becomes a very helpful toolproviding guidelines for managers in their short-term as well as strategic decision-making process.To take right decisions, managers need to analyse their fi nancial situation, especially in respect tofi rm´s profi tability and the factors infl uencing it. Mechanical engineering industry belongs to keyindustries in Slovakia. It apparently plays an essential role in the global economy, it is a sourceof entrepreneurship, innovations and new jobs. Many of enterprises operating in this industry aresmall or medium-sized. These are some of the reasons for which SMEs´ profi tability and ways ofits improvement should draw particular attention. The paper presents results of research carriedout in the selected industry of mechanical engineering of SMEs in Slovakia (SK NACE rev. 2 28xxx– Manufacture of machinery and equipment not elsewhere classifi ed). The aim of the research isto analyse and evaluate the development of profi tability in this industry during the period 2008-2015 and to identify key external and internal factors infl uencing profi tability of SMEs over thatperiod. In order to determine the infl uence of basic indicators, the DuPont pyramidal analysis wasperformed. Data obtained by means of the questionnaire survey enabled to identify the factorsaffecting profi tability whose infl uence is impossible to calculate. The Friedman and Wilcoxon testswere used to evaluate the answers in questionnaires. Results are connected with the evaluation ofthree hypotheses defi ned in regard of the established goal of the paper.

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Factors Determining Profi tability of Small and Medium Enterprises in Selected Industry of Mechanical Engineering in the Slovak Republic – the Empirical Study