Research On Capital Structure Optimization Of Real Estate Listed Companies

Since the reform and opening up,with the establishment and gradual improvement of China’s socialist market economic system,the real estate industry,as an important economic component,has achieved rapid development and has become a pillar industry of China’s economy.The real estate industry is a capital-intensive industry,and the operation and strategic development of real estate development enterprises need huge funds as support.Since the central economic work conference at the end of 2016 first put forward the main tone of "no speculation in real estate",the government has gradually established a systematic and diversified real estate market regulation mechanism,and the supervision is also increasing year by year.In August 2020,the Ministry of Housing and Urban-Rural Development and the Central Bank issued the "three lines and four levels" rules to regulate the financing scale and capital chain of key real estate enterprises.At the same time,the domestic complex epidemic prevention and control situation has seriously affected the normal economic development order,and has had a significant impact on all walks of life.Under the joint influence of the COVID-19 and macro-control,the overall profit of the real estate industry has declined.There have been many cases of real estate developers facing bankruptcy crisis due to the difficulty of capital chain turnover across the country,which has caused serious adverse effects on China’s social stability and the real estate industry.Therefore,it is extremely important to promote the healthy and sustainable development of real estate enterprises and avoid the occurrence of vicious events such as capital turnover failure and debt thunderstorm in a large area within the real estate industry.This paper studies the capital structure of listed real estate companies in China,takes China Merchants Shekou as an example,analyzes its capital structure and finds its deficiencies,designs and calculates the optimization plan,and puts forward corresponding optimization suggestions.First of all,through the research and collation of the classic theory of capital structure and relevant literature,the research direction of this paper is determined based on the trade-off theory and pecking order financing theory,and combined with the existing research results.Secondly,taking China Merchants Shekou as the research object,this paper introduces the basic business situation of the enterprise from four aspects of company size,profitability,solvency and operating capacity,and then analyzes the capital structure of China Merchants Shekou from three aspects of debt,equity and endogenous capital,and compares it with the data average of the top ten real estate enterprises in the selected industry.In terms of debt,it specifically studies the debt scale and debt structure,In the aspect of equity,it studies the concentration of equity and the nature of shareholders,and in the aspect of endogenous capital,it studies the retained earnings.It is found that China Merchants Shekou has problems of unbalanced debt structure,single financing channel,high equity concentration and insufficient internal financing.Then,taking the maximization of enterprise value as the starting point,the optimal capital structure equation is used for static optimization to calculate the static optimal asset-liability ratio of China Merchants Shekou.On this basis,considering that the capital structure of the enterprise is jointly affected by various internal and external factors,it is necessary to conduct dynamic optimization and adjustment,so that the entropy method is used to determine the information entropy and influence weight of the relevant capital structure influencing factors of China Merchants Shekou,Taking the average value of the relevant indicators of the top ten real estate enterprises in the industry selected in this paper as a reference,the dynamic optimization adjustment number of the actual capital structure of China Merchants Shekou in the current year is calculated,and the current optimal capital structure range of China Merchants Shekou is obtained by combining the calculation results of static optimization.Finally,based on the problem analysis and optimization calculation results mentioned above,this paper proposes specific optimization measures for the capital structure optimization of China Merchants Shekou,including improving capital management and inventory turnover capacity,broadening diversified external financing channels,paying attention to internal capital accumulation and reasonably adjusting the debt structure.