The Case Studies Of Financial Statement Analysis Of Suning And GOME

Suning is the leaders of domestic home appliance retail chain industry, and it was founded in 1990 in Nanning China,2004 July, Suning listed in Shenzhen, become the first domestic IPO listed home appliance chain enterprises. As of December 31th,2015,Suning achieved sales revenues of (?)13554.76 million, net profit of (?)75.77 million. In order to grab a bigger share of the market, consolidate the market position, Suning is facing the era of e-commence line of business integration adjustment. Through the financial statement analysis, the author hope to be helpful to the development of Suning, and use for reference to other enterprise.Firstly, this paper gives a simple introduction to Suning. Secondly, this article has carried on the earnest analysis in macro environment to the company by PEST model. At the same time, on the basis of the financial statement data for the past five years (2010-2014) of the Suning and GOME, using methods such as comparative analysis, structure analysis and project review to analyze the two company's business situation. Using ratio analysis and Du Pont financial analysis system to evaluate the comprehensive operation ability of the two company. After analysis, Suning's financial situation was better than GOME. The return on assets(ROA),solvency, cash flow ability of Suning is stronger than that of GOME. Because of the operational capacity of GOME is better than Suning, coupled with a reasonable capital structure, the return on equity(ROE) of GOME exceeds that of Suning from the year of 2012.As for the future development, Suning must pay great attention on controlling the operation costs on the one hand, and should strengthen its operational capacity; GOME should seize the opportunitv to grab a bigger share of the market.