Operating Performance Evaluation Of Dairy Listed Companies Base On Data From2010Annual Report

Dairy listed company is a leader in industry, whose operating performance attracted wide attention. Taking operating evaluation has a certain practical significance.Base on data from2010annual financial reports of dairy listed companies, this article gave a full range of financial performance evaluation from the view of company managers. First, listed companies were evaluated in four areas of its financial performance which included profitability, operating capacity, solvency, potential of future development, obtained the performance of dairy industry. Subsequently, specific financial indicators which influential to these four areas were analyzed to reveal the possible reasons, then provide recommendations for improve performance; Second, these four main factors were empowered with subjective weighting method to obtained consolidated financial performance score. Thus we have a comprehensive understanding of financial performance of dairy listed companies. In addition, market share, human resources and R&D ability are used to analyze, reach each company rankings.In this paper, literature search、theoretical research and empirical analysis of theories and methods were used. We build a set of financial performance evaluation index of dairy listed companies on basis of in-depth understanding the characteristics of listed companies. And a comprehensive evaluation of financial performance was conducted by means of factor analysis and objective weighting methods. Through this we draw relevant conclusions and proposed the development strategy and operation measures.This article is divided into five parts except introduction. The main contents are as follows:(1) Study on the current situation of China’s dairy. This is the process of understanding diary market, characteristics of dairy companies, help to construct the enterprise performance evaluation index. This part introduces the status of dairy products in the food industry, the supply and demand of China’s dairy products and the current listing of the dairy enterprises.(2) The theory of operating performance evaluation of dairy listed companies. These are the basis for dairy industry operating performance evaluation of listed companies. This section we define the concept of dairy and performance evaluation, then theoretically point the future direction of operating performance evaluation, also pave the way for future research.(3) Construction of operating performance indicators in China dairy listed companies. In thought of the present situation of dairy industry, dairy product attributes, business scale of companies, etc, this section build a suit of operating performance evaluation index system.(4) Empirical evaluation of financial performance in China dairy listed Companies were done. First, in this section the common index from each type of factors were extracted to analyze the profits, liabilities, operations and potential of dairy listed companies. Then, the consolidated financial performance scores of dairy listed companies were obtained with the use of subjective weighting methods on all the factors. In addition, we compare the market share, human resources and R&D ability of dairy companies.(5) The conclusion and suggestion of improve operating performance of listed dairy companies were presented. The conclusions were obtained on basis of specific analysis in the previous chapters, then proposed the suggestion to improve operating performance.Innovation and features are in this study:(1) The index system of financial performance evaluation is built with wide reading of enterprise performance evaluation and in-depth analysis of characteristics in dairy companies.(2) Main factors are made in the profits, liabilities, operations and potential of dairy listed companies. Using factor analysis can help simplify evaluation of financial performance of listed companies. At the same time, the financial indicators were analyzed which effect the main factors to indentify the specific reason for providing direction in further improvement process. The comprehensive scores of financial performance evaluation were obtained which subjective weighting methods are empowered on the main factors. So the advantages of subjective and objective are full play to help correctly evaluate the financial performance.