Analysis On The Sustainable Growth Ability Of X CO.,LTD.

With the rapid development of the automotive industry,China's automotive air conditioning market unprecedented prosperity.Has engaged in automobile air conditioning manufacturing company,main types of sino-foreign joint venture,a foreign owned company,local companies,each type of company has its own competitive advantage,at the same time there is also a short board,which makes the way diversity,competition between companies more competitive,but their management goal is the pursuit of high growth company.In fact,the growth of the company is restricted to some extent by internal resources and external competition environment,and the rapid growth of the company cannot be sustained for a long time.Once the sales growth rate is much higher than the growth rate of financial resources,it means that the capital input exceeds the amount of financing,increasing financial risks.Therefore,the reasonable development of a company should be the pursuit of sustainable growth.This paper takes tianjin sandian automobile air conditioning co.,LTD as the research object and is divided into six parts.Part I right.Elaborates the research background,research significance and research method,the second part is the theoretical basis,the third part is an analysis of the basic situation SanDian automobile air conditioning company,the fourth part USES the financial ratio analysis,for the company in 2012-2018,seven years of financial data analysis,using higgins sustainable growth model to find the difference between actual growth rate and sustainable growth rate,degree of difference and difference.There are four reasons for the difference:the proportion of the company's expenses in the operating income increases year by year,thus reducing the company's net profit;Moreover,the proportion of raw materials and finished products in the inventory was on the decline,indicating that the inventory week was on the rise The speed of rotation is slowing down.In 2012-2016,the development expenditure of the company was zero.In 2017,the investment amount of DY project was nearly 2.49 million yuan.In 2018,the additional investment was 5.36 million yuan.In terms of financial policies,the company's current capital operation mode is too cautious and conservative,and the company's capital is not used efficiently.The fifth part is to promote the company's sustainable growth puts forward relatedSuggestions,mainly include the following items:1)to solve the problem of excessive expenses during the period,the company can improve the bill review procedure,establish a budget preparation system,combine the expenses during the period with the department performance,and reduce unnecessary expenses during the period.(2)for the problem of inventory overstock,the company's most direct method is to find a way to sell the inventory,convert the inventory into monetary capital,and accelerate the turnover speed of inventory.The auxiliary method is to adjust the inventory management mode appropriately and improve the quality of inventory management.(3)as for the problem of capital operation mode,the company has improved,increased the debt fund moderately and strengthened the role of financial leverage.In the future,the company can make adjustments at any time according to the changes of the company's operation and financial situation.(4)for the problem of insufficient investment in research and development,we should improve the quality of research and development project management and increase investment.The sixth part is the conclusion summary and the deficiency.