Research On Financial Performance Of T Company Under The Background Of Supply-side Structural Reform

The stainless steel industry is a branch of the steel industry,as an important representative of Chinese secondary industry,is a basic industry that supporting Chinese national economy,which plays a vital role in the process of social industrialization.It is also a strategic focus of my country’s supply-side structural reform.By consulting the"China Iron and Steel Industry Yearbook 2015"^[1],the writer found that Chinese stainless steel industry exists some questions like serious overcapacity,low R&D investment,the mismatch between supply and demand,fierce competition for homogeneous products,low industrial concentration,and irrational product structure.these questions led frequent mergers between super-large steel companies.In 2016,T company followed the national policy and actively adjusted its business strategy from the perspective of suppliers and customers,which aim to reduce the possibility of mergers and promote the stable development of enterprises.In the past few years,how effective is T company’s countermeasures?What are the gaps compared with companies in the same industry?Based on the above issues,firstlythis thesis describes the status of the steel industry and reform measures of T company,which based theories related to supply-side structural reform and financial performance evaluation system;secondly,the writer establishes a financial performance evaluation system,which suit for steel companies in the background of suitable for supply-side reforms.The system mainly uses comparative analysis and factor analysis to analyze its own financial performance before and after the reform and compares it with the financial performance of 22 companies in the same industry from 2014 to 2019.Through research,the writer finds that T company still needs to focus on removing inventory,financial risks,capital structure,and costs and expenses.It has verified the effectiveness of T company’s reform measures,and then put forward relatively reasonable and targeted improvement suggestions.This thesis makes a scientific and reasonable analysis of T company’s financial performance.On the one hand,it will help T company further adjust its strategic direction and formulate future development countermeasures in order to improve its operating conditions.On the other hand,it provides a reference for various peer companies and heavy industries such as coal to accelerate the elimination of excess capacity and scientifically control inventory dynamics.It also helps optimize capital structure,strengthen scientific research and reduce costs.To better deepen and promote supply-side reform policies.This thesis also has important theoretical and realistic significance.