Research On The Financial Performance Of Y Group's Marketed Debt-to-equity

In recent years,China's macroeconomic growth has gradually stabilized.At the same time,China's GDP growth rate is slowing down,and production capacity is greatly exceeded.The financial leverage of enterprise and the non-performing loan ratio of commercial banks have gradually increased,which has limited the adjustment and transformation of C h ina's domestic economic structure and financial market and its steady development.In order to reduce the leverage ratio of enterprise departments,solve the risk of bank debt,promote the reform and upgrading of C hina's economy and industrial structure,a nd reform of supply-side structure,the State Council issued the document "Guiding Opinions on Transforming Creditor's Rights into Equity Rights of Market-oriented Banks",encouraging enterprises to reduce debt by introducing market-oriented debt-to-equity swaps.This paper summarizes the current situation of market-oriented debt-to-equity swap in China and other related theories,and compares it with debt-to-equity swap in the 1990 s.This paper takes Y Group as an example.Y Group is the first local state-owned enterprise to carry out market-oriented debt-to-equity swap after the Market-oriented Debt-to-Equity Swap Policy was promulgated.This paper combs the scheme of Y Group in this round of market-oriented debt-to-equity swap,analyses its debt situatio n and debt causes,analyses in detail the changes of financial performance and financial risks before and after the implementation of debt-to-equity swap.In view of the financial performance problems and financial risks in Y Group's debt-to-equity swap,this paper puts forward some suggestions to promote debt-to-equity swap,improve financial performance and prevent risks.The research results of this paper will have a certain reference significance for improving the policy of debt-to-equity swap of state-owned enterprises in C hina.