The Research On Financing Risk Analysis And Prevention Of Calxon Group

The real estate industry is one of the most important pillar industry of the national economy. In recent decades, the rapid development of national economy can not do without the strong support of the real estate industry. The development of real estate industry will stimulate and influence the development of the upstream and downstream directly or indirectly, such as the industry of cement, iron and steel, chemical, electronics, construction, service, and other related industries. However, there are so many uncertain factors in the real estate industry because of its long construction period and large-scale investment. Besides, it is vulnerable for the real estate industry to national macroeconomic regulation and control highly, which exacerbates its uncertain. Still, all the estate companies are facing the fact of financial risk such as irrational capital structure and high debt ratio and fractured capital chain. The healthy development of all the industries even the entire national economy will be affected once the profit margins of the real estate industry are squeezed and its financial risk becomes Serious; Thus, it will make great contribution for managers to managing the risks successfully and compensate for a lot of loss by identifying and assessing the financial risks of the real estate business accurately.Firstly, the paper elaborates the basic theory of financial risk management. Then by combining with the characteristics of the real estate industry companies and taking the actual situation of the Calxon Group, the financial risks of Calxon Group are identified from five aspects including the risk of financing, the risk of investment, the recovery risk of receivable accounts, the risk of guarantee and the risk of revenue allocation.Secondly, this paper takes 101 listed companies in Shen Zhen and Shang Hai including Calxon Group as the research object, and then selects the financial indicators data from the year of 2010 to 2012. And the capacity of profitability, asset management, cash flow and the capacity to grow can be reflected from the date. Then the financial risk evaluation system is built by using the method of factor analysis. Finally, the result of the size of financial risk can be judged according to the score and ranking results of financial condition in the financial position of the industry.Finally, according to the results of the identification and assessment of financial risk previously, this paper establishs the prevention mechanism of finacial risk for Calxon Group. Besides, the countermeasures are proposed to respond to different financial risks, which providing inspiration and reference for improving financial risk management for Calxon Group.