Research On The Financial Risks Of Company A Under The Background Of The Epidemi

With the rapid economic development in China in recent years,the construction industry is the main pillar industry in our country.However,financial risk management has become increasingly difficult due to a combination of industry characteristics such as large investment volumes,high production liquidity,long project cycle,increased industry competition in recent years,and the new coronavirus outbreak in late 2019,rising raw material prices,higher labor costs,and tighter financing policies at deleveraging banks.Therefore,from the theoretical and practical point of view,the paper analyzes the financial risks of construction enterprises.If construction enterprises want to obtain good economic benefits,they must pay attention to financial management and improve their own risk consciousness,so as to better prevent and control the financial risks of enterprises.Strengthening the management of financial risk is a complex and arduous task.This paper analyzes the financial risk of A construction company,analyzes its function of financial risk management,and gives corresponding solutions.Therefore,this thesis firstly uses literature research method to comb the research achievements of domestic and foreign scholars on the financial risk of enterprises and the financial risk management of construction enterprises,and introduces the concept of financial risk,the main characteristics of financial risk,as well as the theory and method of financial risk identification,the theory and method of financial risk evaluation and the theory and method of financial risk control for the theoretical support of further research.Next,we use case study and comparative analysis to analyze the financial situation of A Construction Company before and after the epidemic in four aspects: profitability,operating capacity,solvency and development ability.Then we carry out financial risk identification,and identify the financial risk in the bidding stage,construction stage,completion stage and profit distribution stage of the project.This paper analyzes the formation of financial risk of A construction company from inside and outside,and finally puts forward the countermeasures of financial risk control from the above five risks,including: innovative financing channel,reasonable financing plan;Optimize accounts receivable management and strengthen inventory management;Strengthen the pre-bid evaluation and enhance the contract consciousness;Strengthen the control of project cost and reduce the informatization of cost.Scientific preparation of cash flow budget to improve the efficiency of the use of funds.Through the above method,A construction company can avoid financial risk effectively and improve its financial risk management level.It provides a reference for more construction enterprises to manage their financial risk in the context of the pandemic,and also hopes to provide some reference for related enterprises in the same industry.