Study On Western Mining Co. Ltd. Financial Risk Analysis And Control Based On The Theory Of The Circular Economy

Sustainable Development is facing the problem of resource and environmental constraints must be addressed from both the source and production process, the production cycle model is the best solution to solve this problem now. In the process of construction of ecological civilization, the main target is to develop a large customer resource consumption, such as high energy consumption industries. Copper lead and zinc resources in the development and industrial production for the economy of Qinghai Province is an important strategic mineral resources. To implement the western development policy to achieve sustainable economic development in Qinghai Province, it has important implications for the analysis and control of local corporate financial risk. Western Mining Corporation, one of the listed companies in Qinghai Province, the main business for the comprehensive development of mineral resources. The company’s 2012 annual audit by the net profit is negative, the year 2014 by the executives surveyed, worker strikes and other factors affect the financial risk gradually.In this paper, the Western mining companies for the study, identification, evaluation and control measures in the financial risk factors studied under the guidance of circular economy theory and the theory of financial risk management. Firstly, the internal and external analysis of financial risk in Western mining companies, and non-ferrous metal industry 68 listed companies in the sample data, research from the financial risks of the company’s financial indicators in six areas using factor analysis model. Listed companies in the combined ranking of financial risk in Western mining companies were analyzed. Also, compare the western mining companies to take a different ranking situation before and after the clean production, recycling comprehensive analysis of the impact indicators for the industry rankings.Net cash flow from Western Mining’s net profit and solvency presented a clear downward trend, while the value per share declined, overall profitability declined, total turnover does not exceed 100, operating capacity remains to be improved, Financial risks have increased. According to the results of evaluation of the western mining companies, this paper presents the financial risk control strategies from the outside, inside the two major aspects. Based on the financial status of Western Mining risk research, draw Western Mining Control Measures of financial risk; financial risk control program for mining in western Qinghai province to other mining companies can bring some of the experience of the financial risk control. In this paper, copper lead and zinc business for the study, to make up for previous studies to research-based model, the lack of lack of specific mining research; and combined cycle economy theory, focusing on the use of financial risk analysis model, a specific enterprise issues raised feasible countermeasures.