*Research On Non-recurring Profit And Loss Earnings Management Of ST Company

The problem of earnings management has been a hot issue for experts and scholars at home and abroad.For Chinese *ST company,earnings management has become a common means of beautifying statements and conducting profit manipulation.In the face of the risk of delisting,the pressure on the “shell” is high.Therefore,in order to avoid delisting,*ST companies often manage earnings in a specific year.At present,Chinsese concept definition of non-recurring profit and loss projects still has some ambiguity,and non-recurring profit and loss projects have the characteristics of contingency,one-time,and can quickly improve the profit of the current year in a short period of time.and are subject to more and more management.Based on the background of China's *ST system and the related theories of non-recurring profit and loss and earnings management,this paper studies the overall situation and characteristics of *ST company's.Then introduce the case of *ST Bio,introduce the company background and four "caps" process,and select the latest "caps" to conduct research,identify the company's behavior of earnings management,and analyze motives and means of earnings management,and evaluation the effect of company's earnings management.Finally,the governance suggestions of are proposed for the problems reflected by *ST organisms.The purpose of this paper is to expose the listed companies that are subject to delisting risk warnings.It is a common practice to use non-recurring profit and loss earnings management.However,this method can only change the short-term financial performance of the company and cannot fundamentally improve the company's operations.The situation is not conducive to the long-term development of the company.This paper hopes to reveal the unhealthy phenomenon of *ST companies manipulating profits through non-recurring items in China's securities market through *ST biological cases.*ST company's earnings management once whitewashed statements and beautified profit returns will damage the interests of investors and creditors,even affect the healthy and orderly development of the capital market.Therefore,we need to strengthen research on non-recurring profit and loss earnings management to contribute to the stable development of the capital market.