Study On Biological Financial Quality Of Garden Based On Factor Analysis

China is a big country in the food manufacturing industry,and with the continuous improvement of the scale of food manufacturing assets and manufacturing levels,the international competitive advantage has gradually increased.However,listed companies in the food manufacturing industry are constrained by factors such as unreasonable asset quality and capital structure,and unbalanced development level,which affect their financial quality.Garden Biotech Co.,Ltd.(hereinafter referred to as Garden Biotechnology),as a listed food manufacturer mainly engaged in lanolin cholesterol,vitamin D3,25-hydroxyvitamin D3 and refined lanolin,has completed the layout of the whole industry chain of vitamin D3 and has become a manufacturer of the whole industry chain of vitamin D3.Studying the financial quality of garden biology and establishing a scientific financial quality evaluation system can promote operators to improve the sustainable operation and profitability of enterprises,and at the same time help information users better understand the financial quality of the company and improve the effectiveness of investment decisions.This paper takes garden biology as the research subject,financial quality as the research object,uses information asymmetry,stakeholders,contracts and other related theories,and adopts literature research,comparative research,qualitative and quantitative combination research and other research methods to evaluate the financial quality of garden biology.The paper is divided into five parts: first,it expounds the background,purpose,significance,research methods and content of the selected topic,and analyzes the research results of domestic and foreign scholars.Secondly,it defines the relevant concepts of financial quality,compares the advantages and disadvantages of the three financial quality evaluation methods,summarizes the four aspects of financial quality research content,and expounds the theoretical basis.Third,the financial overview of Garden Bio is introduced,the financial data of Garden Bio from 2017 to 2021 is selected,and the current financial quality status is analyzed from the four aspects of asset quality,capital structure quality,profit quality,cash flow quality and financial quality environment,so as to provide a basis for the company’s financial quality research.Fourth,the necessity and feasibility of factor analysis method for the study of the financial quality of garden biology are clarified,and the financial quality research index system is constructed by using the factor analysis method and combining the financial indicators of the company’s asset quality,capital structure quality,profit quality and cash flow quality,and the relevant indicators are analyzed from the horizontal and vertical perspectives respectively,and it is found that the company’s financial quality has the problems of high financial leverage,low utilization rate of capital structure,weak cash solvency,and poor sales and cash performance.Finally,in view of the causes of the above problems,suggestions for improvement such as rational use of financial leverage,improvement of capital structure utilization,improvement of cash solvency and improvement of profit cashability are proposed.