A Study On Financial Preformance,Policy&Strategies Between TAHOE And YANGO

Real estate is the symbol of wealth,the birthplace of financial crisis,the mother of economic cycle,at the same time,it affects social stability,real economy,people's well-being.For a long time,there has been a widespread debate about housing prices,financial leverage,bubbles,population mobility,urban planning and so on,and real estate enterprises as the core role,has been criticized.Following Peking,Guangdong,Shanghai,Fujian real estate developers rose rapidly and became Fourth forces,which was known as their highly leveraged management style,but with the gradual retreat of the population dividend,general development of real estate industry has slowed down.Can the highly leveraged management of the two companies continue their rapid development,or will they ignite risks in the industry's downturns?Through comparative study of the financial situation of two real estate companies,Tahoe and Yango,which both developed based on Fujian,this paper deeply analyzes their profitability,solvency,growth ability and management ability.On the basis of financial analysis,this paper studies the business model of the two companies,and provides suggestions for their future financial strategies.This paper consists of seven chapters.The first chapter is the general information,including the research background and significance,research content and research framework.The second chapter is the introduction of Tahoe and Yango,mainly from the company profile,business model,operating profile and capital market performance.The third to fifth chapters are the three dimensional analysis of the financial statements of the two companies,the comparative analysis of the financial indicators and the financial evaluation of the business model.The sixth chapter analyses and makes suggestions through the financial matrix,gives the appropriate proposal to the two companies' debt policy,dividend policy,working capital policy and investment policy.The seventh chapter is the summary and prospect,summarizes the previous analysis and conclusions,puts forward some suggestions concluding strategy,operation adn finance for the two companies.The data of this paper are derived from the annual financial reports of Tahoe and Yango from 2013 to 2017.Through the analysis of the financial data in the annual report,the financial situation of the two companies is analyzed from a multiple angles approach,and the conclusions are as follows:First,the two companies belong to high-growth companies.In the past five years,their assets,liabilities,and income have grown very rapidly.Among them,Tahoe is mainly focused on high-end products,strategic areas are in first-tier coastal cities,and Yango is mainly selling at par.At the same time,according to industry analysis and forecast,the two companies will still be able to maintain a high growth rate in 2018.Second,under high growth,the profitability of the two companies has weakened,the speed of asset turnover has become slower,and the cash flow situation is worrying;Third,the debt ratios of the two companies are both very high,and the short-term solvency is seriously inadequate,among which the interest bearing liabilities of Tahoe City are higher than Yango.But Yango's financial leverage has been rising over the past five years;Fourth,the profitability of the two companies on the whole is good,but because of the high debt accumulated a larger financial risk,at the same time,the level of tax burden of Yango is much higher than that of Tahoe,so that its profitability has been pulled down;Fifth,botih companies are creating value for shareholders,but the growth rate of value creation has lagged behind that of their assets,and both companies have been in a state of capital shortage for the past five years,predicting that there will still be a shortage of funds in 2018.Its self-sustaining growth rate is much smaller than its expected growth rate,and needs to increase the level of external financing.Sixth,Yango is superior to Tahoe in growth,asset structure and asset turnover,but Tahoe has more advantages in profitability.Based on the above conclusions,this paper suggests that Tahoe should control the level of debt,carny out equity financing,optimize product structure and improve turnover rate;at the same time,suggests that Yango should carry out tax planning to reduce the level of tax burden,increase financial leverage properly,carry out debt and equity financing,and optimize product structure.