HL Company Financial Risk Assessment And Prevention R Esearch

As a basic and pillar industry in China, chemical industry plays a major role ineconomy. With the economic globalization and technical innovation and therequirement of accelerating transformation of the mode of economic developmentand promoting upgrading of the industrial structure by the Chinese government, thekeen competition and risk confronted by chemical enterprise in China reveals inrecent years. It is reported that many listed Chemical Enterprise in China suffers aprofit loss, which is mainly caused by manager’s too much stress laid on productionand sale while little on financial risk identification and management.This thesis analyses financial risks HL Chemical Industry Corporationconfronted which classified as financing risk, investment risk, funds reclaim risk,exchange rate risk, guarantee risk and distribution risk. In the4th chapter, this thesisconstructs a financial risk evaluation system on the basis of some financialstatistics which reflects operation ability, solvency, earning capacity, expandingcapacity and liquidity of76listed chemical industry corporations including HL, thenevaluates financial risks of HL according to the analyzed ranking list. In the lastchapter, the thesis figures out some financial risk prevention measures from the sixfinancial risk categories based on the preceding theory and analysis aiming atimproving the financial risk management of HL.