Research On Financial Performance Evaluation Of Electronic Industry Listed Company

In recent years, China’s electronic industry is going through the rapid development, with the replacement of electronic products faster and faster, the industrial scale, industrial structure and technological level being significantly improved, which all play a significant role in promoting China’s economic growth. Now, China has become the world’s largest manufacturing base of electronic information products, and made a series of significant technological breakthroughs in the field of communications, high-performance computer, digital TV and so on. As a leader in the electronic industry, the financial performance of China’s electronic industry listed companies has caused widespread concern, in the booming day of the electronic industry, evaluation has a positive significance of the financial performance of electronic industry listed companies. The pros and cons of the listed companies’ financial performance is the key to public investment decisions, and the basis of the internal measure of operating performance, improvement of enterprise management and development of business strategy. In addition, government departments, financial institutions and other external relations also use the fruits of financial performance evaluation in varying degrees.This paper first describes the background, purpose and significance of the study, and summarizes the current state of such issues’ research through reviewing the domestic and foreign literature of financial performance and analytic hierarchy process. Through defining listed company’s financial performance evaluation and combing the basic theory, and combining with the characteristics of electronic industry listed companies, this paper establishs the performance evaluation index system of the electronic industry listed companies from four aspects: profitability, solvency, operational and growing capability. On that basis, grading the financial performance of the electronic industry listed companies comprehensively through the analytic hierarchy process, then ranking the scores, analyzing and evaluating comprehensively,giving an overall evaluation of the electronics industry listed companies from2008to2010financial performance.Subsequently, we select Hisense Electric which is representative in the electronic industry listed companies, and make an financial performance evaluation for the company from2005to2010in four aspects, including profitability, solvency, operational capacity and growing ability. We find that the financial performance score of Hisense Electric ranks top among the listed companies of electronic industry, also ranks the top three during2008to2010period. All these better financial performance is mainly due to its excellent operating performance. Finally, we achieve the conclusions and expectation on the basis of the summary of full text.