Research On The Improvement Strategy Of Financial Performance Of JW Concrete Co.,Ltd.

The concrete industry is an important part of the raw material supply of the construction industry in China.The development of concrete industry is not only closely related to the development of local construction industry,but also an important symbol of urbanization and economic development level in a region.Nowadays,China’s economy is paying attention to the development speed,but at the same time,it tends to give priority to quality.Infrastructure construction,real estate construction,etc.are all slowing down.The transformation and upgrading of energy-intensive industries and green development are the general trend.These changes have had a great impact on the business philosophy,strategic direction and profit model of Concrete Co.,Ltd.In recent years,the overall declining business and financial situation of the concrete industry has forced enterprises to seek breakthroughs.Improving the financial performance level is an important way for enterprises to stand on the market and develop continuously.On the basis of summarizing the related research on financial performance,content and method of financial performance evaluation,this paper has mastered the key areas of related research and the direction of further research,thus determining the topic selection and main research contents of this paper.Taking Yangqu County JW Concrete Co.,Ltd.,Taiyuan City,Shanxi Province as an example,this paper analyzes its development problems under the background of energy conservation and environmental protection,and puts forward some solutions:(1)Based on DuPont analysis,it is concluded that the enterprise’s sustainable profitability is insufficient.In the future development,JW Concrete Co.,Ltd.should expand its productivity and make full use of existing assets to increase its operating income,at the same time pay attention to the control of production costs and expenses to achieve cost reduction and efficiency increase,and expand its business areas to actively develop upstream and downstream concrete industries,so as to alleviate the lack of bargaining in the concrete industry as an intermediate industry(2)Based on the financial perspective,the business situation of the enterprise is good,but the financial situation is not ideal.The high accounts receivable rate and extremely low accounts receivable turnover rate affect the capital turnover of the enterprise.The enterprise should establish a scientific management consciousness and a scientific management system,set up a special accounts receivable management department,and assign professionals to manage it.All departments should also strengthen communication to update customer information at any time,and dynamically understand the credit and payment ability of customer units.Through a series of debt management measures such as accounts receivable,we try to change the influence of accounts receivable on the company’s financial performance,turn disadvantages into advantages,and strive to bring the company’s profit momentum while reducing financial risks.The research on the financial management of JW Concrete Co.,Ltd.in this paper is to study the strategy of getting out of difficulties and developing enterprises from the perspective of financial performance,which has certain guiding significance,and also hopes to have certain reference value for other concrete production and sales enterprises in the same industry.