The Financial Early Warning System Of The High-tech Industries And Listed Companies

In twenty-first Century, there is a high-tech dominated in the century. High-tech Industries andListed Companies booming development, rely on high-tech industries and listed companiesdevelopment to revitalize the economy of each country has become the world’s consistent goal.Many countries in the world have increased the investment of science and technology, and toincrease the high-tech industries and listed companies policy support and financial support, so as topromote high-tech industry to develop quickly. But at the same time the high-tech industries andlisted companies also exists many risks and insufficient. Its unique product characteristics lead toenterprises will face the financial risk control and lead to the emergence of enterprise financialcrisis. In order to effectively avoid these risks, to resolve the financial crisis of enterprises,enterprises must establish a sound financial early warning system, the timely discovery of alarm andwarning signals to remind the business enterprises, potential risks, so that enterprises can effectivelytake the corresponding measures to avoid the risk early warning.This article is in the cash flow basis study of high-tech industries and listed companiesfinancial early warning system, the thesis first introduces the financial crisis and the financial earlywarning theory, followed by the introduction of the high-tech enterprises in development as well ashow we design based on the cash flow of the financial early warning indicator system. From theanalysis of high-tech enterprises’ financial crisis, through to the traditional financial index and cashflow index were analyzed, to construct a based on the cash flow of the financial early warningindicator, and pays attention to the traditional assets, profit index of high-tech enterprise financialearly warning system. Using the method of principal component analysis on the financial indexselection, and through the establishment of early warning model of Logistic regression analysis.Positive part of this paper introduce the cash flow index to build high-tech enterprise financeearly warning system, according to the A share listed companies in China’s high-tech enterprisesempirical study. Sample selection of the28ST companies and the corresponding28non STcompany, and selected the response of company solvency, financial flexibility, the cash capacityand profitability in four respects:12financial indicators, through the principal component analysisof screening out of5principal components and factor, and using Logistic regression method tobuild a high-tech enterprise financial crisis early warning model.