Research Of The Capital Structure's Impact On Business Performance For Real Estate Listed Companies And Its Optimization

The real estate industry is the pillar industry of China's national economy,which plays an important role in the development of China's economy.Its industrial correlation is strong and its impact range is wide,its development can drive more than 60 upstream and downstream industries,such as construction industry,decoration industry,material industry,financial service industry and so on.which is very sensitive to the national macro-control policy at the same time,the national macro-control policy will have a positive or negative influence on the financial situation of the real estate enterprises.In addition,the real estate industry has the characteristics of long development cycle,less capital and large project risk,and the operation of the whole life cycle needs a large amount of funds.Therefore,the financing capacity is very important to the real estate industry.However,the capital sources of real estate enterprises in our country rely mainly on the loan of the bank,the way of financing is single,so that the financial leverage of the real estate enterprises is high,the capital structure is not reasonable,and its operating performance is ups and downs.Therefore,it is of great practical significance to study how to optimize the capital structure of real estate listed companies based on the maximization of business performance,by analyzing the capital structure's impact on business performance for the real estate listed companies.Based on the theoretical foundation and empirical model,this paper makes an in-depth study of the impact of capital structure on business performance and optimization of real estate listed companies.Firstly,this paper sorts out and summaries the relevant literature at home and abroad,reviewes and analyzes the theory of capital structure and business performance.Secondly,it analyzes the present state of capital structure of listed real estate companies in China,and finds out the existing problems.Thirdly,this study selects the financial data of 110 real estate listed companies for 2012-2016 years as the research object,and uses the structural equation model to empirically study the influence and path of the capital structure of the real estate listed companies on thebusiness performance.Finally,it uses factor analysis method and parameter estimation method,to build an optimization model of capital structure of real estate listed companies,and proposes suggestionsfor optimizing capital structure.Through the analysis,the following conclusions are drawn:(1)Capital structure of the real estate listed companies can influence the business performance by the negative influence on profitability and solvency ability,and the positive influence on development ability.And capital structure of the real estate listed companies can't affect business performance by operation capability.(2)In the financing structure,business performance will increase at first and then decrease with the increase of asset liability ratio,and the optimal asset liability ratio is between 49.39% and 67.99%].(3)In the debt structure,business performance increases with the long-term capital and liabilities,and then decreases,the optimal long-term capital liability ratio is between 48.56% to 71.82%.