Research On Financial Performance Evaluation Of Environmental Protection Listed Companies Based On DEA Model

With remarkable achievements in economic and social development in China,problems such as resource shortage,environmental pollution and climate warming are becoming more and more serious.Therefore,the government emphasizes the construction of ecological civilization to realize a beautiful China.Supported by the government,the strategic position of environmental protection industry in the development of national economy is gradually important.However,China’s environmental protection industry started late and its development is relatively weak,so there are still many problems.As a comprehensive environmental protection enterprise,Yonker Environmental Protection Company is in the leading position in the field of soil remediation in China,but in recent years,its profitability,solvency and other financial performance are poor.it is necessary to evaluate the financial performance,and provide reference for the managers of Yonker Environmental Protection Company to make scientific decisions,and give some enlightenment for the development of other relevant environmental protection enterprises.Firstly,this paper systemically combs and summarizes the related research on financial performance evaluation indexes and methods;Secondly,this paper expounds and defines the related concepts of financial performance of listed companies in environmental protection category,analyzes the related theoretical basis of financial performance evaluation,and introduces the concept,principle and model of data envelopment analysis(DEA);Thirdly,this paper introduces the development of China’s environmental protection industry,the current situation and problems of Yonker Environmental Protection Company,so as to lay the foundation for the construction of financial performance evaluation index system.Next,this paper analyzes the necessity of Yonker Environmental Protection Company’s financial performance evaluation,and then initially constructs environmental protection industry financial performance evaluation indicators with the four dimensions of operational ability,debt paying ability,profitability and development ability,and determines the final indicator system.Then,this paper mainly uses the CRS and VRS models of DEA model to systematically evaluate the comprehensive technical efficiency,pure technical efficiency and scale efficiency of Yonker Environmental Protection Company,compares 15 listed companies in the same industry to obtains the difference of financial performance.Then using DEA-Malmquist index model to analyze the total factor productivity index,comprehensive efficiency change,technological progress change,pure technical efficiency change and scale efficiency change of Yonker Environmental Protection Company in 2012-2018,this paper finally get the change trend of financial performance in the development process of Yonker Environmental Protection Company in 2012-2018 and the reasons for the change.Based on the above comprehensive evaluation results,this paper analyzes the financial situation of Yonker Environmental Protection Company,and points out the shortcomings of Yonker Environmental Protection Company in terms of organizational structure,equity structure,enterprise scale,technological innovation,management team,etc.Furthermore,according to the specific reasons for the poor financial performance,this paper provides five ways to improve the financial performance Suggestions.