Evaluation Research On Profitability Of Jushi Security

Jushi Security is a small and medium-sized manufacturing enterprise listed on the NEEQ.Its main business is the sales of locks,and its profitability has declined in 2019.Jushi Security has four problems: lower main business income,higher sales expenses,higher raw material prices,and low inventory turnover rate.The traditional profitability evaluation system uses fixed indicators for evaluation,and it is difficult to reflect the characteristics and actual conditions of the company.Through the analysis of the current situation of JUS security's profitability,from the four dimensions of profitability,continuity of profit,profit growth,and profitability,11 options that are close to the current state of JUS security's profitability and meet the characteristics of the industry are selected Indicators,using factor analysis to construct profitability evaluation models.And compared with companies in the same industry,compared with its own in the past five years,analyzed the reasons for its profitability problems and put forward targeted recommendations.The conclusions of the research are as follows:(1)Analyzed the current profit status of GUS Security.For sales net interest rate,cost and expense profit rate,return on total assets,return on net assets,earnings per share,capital utilization,main business revenue-to-money ratio,net profit growth rate,earnings per share growth rate,sales expense rate,and The inventory turnover rate is analyzed to analyze the current profitability status.(2)Constructed the profitability evaluation model of JUS security based on factor analysis method.The factor analysis method is used to construct the profitability evaluation model,11 indicators are divided into two factors,and the factor score function is obtained.(3)Proposed suggestions that can improve the profitability of JUS security.According to the actual situation of JUS Security and analysis of the lack of profitability,the corresponding suggestions can be proposed to improve profitability.The thesis has 5 figures,34 tables,and 51 references.