Listed Company Financial Statements Analysis To Gree Electric Appliances,INC

The financial statements are used to reflect the performance of the management’s fiduciary duty, which are provided by the listing corporation. The stakeholders are able to obtain the information of the company’s current financial situation and the operating results through the analysis of its financial statements, But to analyze the financial statements which reflect the company’s financial information can not only stay on the surface of the report, the raw data. It needs a comprehensive use of accounting, financial management, auditing, management and other economics and management related knowledge. So financial statements analysis is to collect, sort, process, compare and analyze the financial statements data and note with the knowledge of economics and management. It is a comprehensive analysis of their internal logic connection. In this way stakeholders can explore and realize the company’s financial performance hidden behind the report.This paper analyzes the financial statements of GREE Electric Appliances, INC. from 2012 to 2015, a total of 4 years in the perspective of external users, and particularly it treats the 2014 and 2015 financial report as the key point. First of all it compares and analyzes four financial statements with vertical and horizontal perspective. Second the paper calculates and compares the financial ratios to evaluate the company’s debt paying ability, operation ability, profit ability and development ability. Finally it uses the Du Pont analysis system for the comprehensive analysis to appraise the company’s overall profitability, operation and financial situation. This thesis tries to explore the financial characteristics and the existing problems of GREE Electric Appliances, INC. and hope to provide valuable information for the financial statements related users to help them make economic decisions and put forward some useful proposals for the management.