Research On The Financial Risk Assessment Of Cody Dairy Industry

As a regional dairy enterprise in the listed dairy industry,with the increase of the total income of the dairy industry in China and the improvement of the overall concentration of the industry,Cordy Dairy is facing more and more fierce competition as the market transfers to large enterprises with high brand awareness,strong strength and significant scale efficiency.In the process of development and growth of enterprises,accompanied by various risks,financial risk,as an important part of enterprise risk,is a problem that must be faced in the financial management process of the Dairy Industry of Edward,affecting all aspects of its survival and development.As a method of judging the financial risk of enterprises,financial risk assessment can locate its financial risk position and judge the financial risk grade,which is of great significance to the identification of its own financial risk and the prevention of financial risk for the Dairy Industry of Edward.Through qualitative and quantitative analysis of the financial risk of Cody Dairy,this study puts forward some suggestions to prevent the financial risk of Cody Dairy,to help Cody Dairy reduce and control the financial risk,and to provide reference for the evaluation of other dairy enterprises' financial risk.Based on the relevant literature research,this paper clarifies the definition,classification of financial risk and the methodology and theory of financial risk evaluation.This paper mainly uses financial risk identification and cause analysis to make qualitative financial risk assessment for the Dairy Industry of Chdi,and quantitatively evaluates the comprehensive financial risk of the Dairy Industry of Chdi by using the method of Entropy Value and the improved Efficiency Coefficient.The financial risk of Codi Dairy Industry is preliminarily judged by inquiring the relevant situation and development process of Codi Dairy Industry,the general situation and development characteristics of Codi Dairy Industry.This paper identifies the financial risk of the dairy industry of science and technology from four aspects: financing risk,investment risk,capital operation risk and income distribution risk.In the aspect of quantitative evaluation,this study analyzed the financial report of the company from 2011 to 2018.Combining with the overall development trend of China's dairy industry,it compared with 18 companies listed on A-share and H-share,selected appropriate indicators,used the entropy method to calculate the weight of indicators,and used the improved efficiency coefficient method to conduct financial wind of the company.Risk assessment,the comprehensive evaluation results show that there are concerns about the risk of Cody Dairy.Based on the comprehensive evaluation of financial risk and the strategic planning,business model and development process of Cody Dairy,the paper concludes that the main problems of Cody Dairy in terms of financial risk are the gradual decline of the return on net assets,the greater pressure of debt repayment caused by the large scale of short-term borrowing,and the greater pressure of capital operation caused by the incompatibility between the increase of sales volume and the increase of production capacity.The proportion of fixed assets in enterprises is too high and the investment benefit of assets is relatively low.Finally,for the purpose of obtaining good economic benefits,reducing losses as much as possible and supporting the sustainable development of Cody Dairy,this paper puts forward relevant suggestions on the prevention of financial risks of Cody Dairy.