The aim of this final paper is to describe the public sector of the Republic of Croatia and its division, and to analyze the o business activity of non-financial public companies owned by the city of Varaždin. The business activity of five companies (Čistoća d.o.o., Parkovi d.d., Termoplin d.d., Varkom d.d. and Vartop d.o.o.) wes analyzed through profit and loss, current liquidity indicator, total assets turnover indicator, net profit margin and indebtedness indicator. The current liquidity ratio indicates the rate of repayment of current liabilities, and the reference value is 2. The accelerated liquidity ratio shows whether the company is ready to settle its short-term liabilities with money and short-term receivables available to the business. The current liquidity ratio shows whether the company is willing to settle its short-term liabilities with the money available to the business. The turnover indicator of total assets indicates the speed of asset circulation in the business process. The net profit margin indicates what percentage of revenue the company will generate after the sale of services. The indebtedness indicator indicates how much of the funds are secured by creditors, and it is desirable that the indicator has as little as possible. After the analysis of the indicators, attention was paid to the possible risks that the company may face and a conclusion was made for each company based on the results obtained by calculating the indicators. The analysis concluded that all these companies, except Vartop, are doing relatively well and the city should help them to operate as well as possible because they are needed by citizens and the city.