The Analyze Of HBIS Group's Financial Performance Under Supply-side Structural Reform

Since 2012,due to the economic downturn,severe overcapacity and environmental governance,China's steel industry has suffered huge losses and poor operating conditions.The 13 th five-year plan points out that supply-side structural reform is not only a major strategy to guide China's economic development,but also an inevitable choice to adapt to the new normal of China's economic development.The five main tasks of supply-side structural reform are "to go to capacity,to inventory,to deleverage,to cut costs,to make up the short board".The steel industry is listed as the focus of the supply-side structural reform.In the future,the development of China's steel industry will be closely related to the reform.However,could the reform save the steel industry from the plight at 2016 of the opening plan and in 2017 of the further develop? Meanwhile,what's the changes of the steel industry's financial performance? We will discussion these question with the specific case.This paper selects HBIS Group,the front listed company of steel industry in China,as the typical case(HBIS Group is the pillar enterprise and playing an important role in Hebei province,meanwhile,it is significantly effective by the reform).This paper first defines the relevant concepts of supply-side structural reform and reviews relevant theories of financial performance at home and abroad.Then,the typical cases are analyzed in detail: the practice of HBIS Group in the five aspects of supply-side structural reform;Then analyzes the case company,HBIS Group from2013 to 2017(the 2017 annual report has not yet been published,this article selected temporarily in September 1,2017,the average in the first three quarters of data)specific changes the financial performance of five years;Then we contact the actual situation and discuss the strategic adjustment of different types of enterprises under the supply-side structural reform,finally,we come out the conclusions and prospects.This paper mainly USES the normative research method and the case study method to carry on the discussion analysis.In the process of writing,researchingtopics as direction,fully collecting,reading,and organizing relevant literature,using cnki.net,Guotaian database,the annual report of HBIS Group and other resources to arrange and summarize the supply side structural reform,financial performance analysis and some documents.Do further research base on the predecessors' research dynamic and results.In the process of case study,we comprehensively analysis the case company from the debt service,operation,profit and development and the ability of financial performance through collecting enterprise financial statements and annual report data,the indicators on the theory of financial analysis.Under the background of reform of supply side,we do strategic adjustment for the enterprise.This paper come out the following conclusion through the discussion: In terms of current situation,the supply side of the structural reform of HBIS Group have a positive role in the development of listed companies.Thus,supply side structural reform had a positive effect on the steel industry.HBIS Group in these five aspect of production capacity and inventory,deleveraging,cost reduction,and offset the disadvantage to make much effort,so that the HBIS Group from 2016 which formally landing on the implementation of reform to the late of 2017,the financial performance of the debt paying ability,operation ability,profitability and development capacity have improved in different extent.Therefore,HBIS Group dramatically developed to a higher level by the reform.