The Research On The Relationship Between The Capital Structure And Eva Of China’s Listing Corporations In Real Estate Industry

Financing structure problem is a research subject of important theoretical significanceand practical value. It has deep relationships between the corporate governance structureand EVA. As the pillar industry of our national economy, the real estate industry is atypical capital-intensive industry, it has the characteristics of large-scale capital investment,long-period use of funds, expensive developing product and easily affected by macroeconomy changes and policy. At present, most of the real estate listed companies in ourcountry are short of their own funds. They have a single mode of financing, mainly relyingon bank loans. So a good financing structure is the key. In the current criticaltransformation and upgrading period, analysis and research the relationship between thereal estate industry’s financing structure and EVA have important theoretical significanceand practical significance.This article mainly studies the relationship between the financing structure and EVAof the real estate listed companies in our country from year2009to2012. The authorcombined the literature and theoretical analysis, proposed four assumptions when makingempirical analysis on the two factors. The author combines literature and theoreticalanalysis, when make empirical analysis on the two proposed four assumptions. Hypothesis1: there is a quadratic curve relationship between debt and EVA and there is a critical point,before achieving the equilibrium, debt is positively related to EVA,; after this point, debt isnegatively related to the EVA. Hypothesis2: short-term interest-bearing debt ratio ispositively related to EVA; long-term interest-bearing debt ratio is negatively related toEVA. Hypothesis3: ownership concentration is positively related to the EVA. Hypothesis4:the proportion of state-owned shares is negatively related to the EVA, the proportion ofcirculation shares is not related with EVA. After establishing the econometric model, studythe relationship between the financing structure and the EVA using descriptive statisticsand panel data analysis method, from the three aspects of financial leverage, debt structureand ownership structure. Empirical study shows that the asset-liability ratio and EVA of the real estate listed companies in our country is inverted u-shaped, the critical point of theasset-liability ratio is near60%. The short-term interest-bearing debt ratio is negativelyrelated to the EVA significantly, the long-term interest-bearing debt ratio have nosignificant correlation with EVA. Moderate concentration of ownership structure isbeneficial to the improvement of the company’s EVA; state-owned shares proportion is notrelated with EVA; Moderate concentration of ownership structure was beneficial to theimprovement of the company’s EVA; circulation A shares proportion has significantnegative correlation relationship with EVA.