An Analysis Of The Causes And Economic Consequences Of Huabao Flavours High Cash Dividends

Scholars from all over the world have been devoting themselves to the research of dividend policy.From the view that it has nothing to do with dividends to the fact that they are inextricably linked before,various theories have emerged in the process,and cash dividends are dividends A form of policy.At present,cash dividends have become the focus of attention of scholars from various countries.China’s capital market appeared many years later than the western developed countries.In this late start,China did not consider the payment of cash dividends initially.However,in order to change this phenomenon,the SFC’s dividend requirements are getting more and more bigger,the more and more companies began to issue cash dividends in accordance with the regulations,and the number of companies with over-disbursement also increased year by year,which attracted the attention of scholars from various countries,so the research on super-disbursement began.Too.After years of research,it has been found that ultra-cashing may be a means for large shareholders to seize benefits.In this situation,small shareholders do not have an advantage,but there is a huge gap.This is not an optimistic phenomenon for the market.Therefore,this article stands on the shoulders of giants and takes a case analysis method to conduct a simple study of the phenomenon of super-presence.This article first summarizes the previous studies of various countries and divides the research results into four categories,namely,the research on dividend policy,the causes,the influencing factors,and the economic consequences.Then it discusses the theory of the High Cash Dividends.Introduced the definition and form of dividend policy.Among them,High Cash Dividends belongs to the category of cash dividends.At the same time,it defines the method of the High Cash Dividends,mainly through the comparison of dividends per share and earnings per share and net operating cash flow per share.Make a judgment,and then introduce the motivations and economic consequences of the High Cash Dividends’ current research.It is found that the main reasons for the company ’s high cash are to meet the requirements of the CSRC’s dividend policy,the transfer of major shareholder benefits,and signal transmission.The economic consequences have three aspects that affect the development of the enterprise,damage the interests of minority shareholders,and affect the market value of the enterprise.Finally,some basic theories of the dividend policy are elaborated.Then the article enters the main part.First,it briefly introduces the main body of this case,Huabao,including the actual business situation,financial status,framework structure,and business philosophy of the company.Enterprises,but stand out among many peer companies.Their deposits and cash dividends are at the top level in the same industry,and there is no major external debt pressure.From all aspects of introduction,we can judge that Huabao shares are indeed The name of Super Cash Out has been firmly established,and at the same time it has the two necessary conditions for implementing Super Cash Out,with both money and power.Then there is the most important part of the article,which is the further analysis of the case.First,why did you choose super cash out? You can get a reason through the previous introduction,because you don’t have to pay the debt,because you have the power to make decisions,To meet the economic needs of large shareholders,it is also to bring a good positive image to the company,to stimulate investors to continue to invest,and to return quickly,but it may also be because the company cannot find a better investment opportunity,and can only The money is used to cash out;the second is to analyze the economic impact of the super cash on the company.First,the reduction of deposits is inevitable.Although the debt pressure of Huabao shares is small,such a large amount of deposit outflows will certainly be Caused certain fluctuations.Secondly,although the investors who bought Huabao shares can get a momentary return,from a cost perspective,in fact,the shareholder returns are far less than the major shareholders of the company,in fact there are There will be a certain loss.Finally,the company is listed to raise funds for investment projects,and Huabao shares have been over-cashed in the year of listing.The funds that have been raised are turned around and are expended,which will definitely have an impact on the progress of the project.Will slow down the progress of the project;The third is to observe the market’s attitude towards this super payout.The article uses the calculation of CAR value for comparison,mainly from the two nodes of the announcement date and the actual release date,and found that there was a strong Market response,the CAR value has changed significantly,but the effects of the two changes are diametrically opposed,with a positive response on the announcement date and a negative response on the actual release date;Finally,this article summarizes the case study of Huabao Three research conclusions have been drawn.It is concluded that Super-Pay will greatly reduce the company’s current assets and reduce the company’s solvency,which will become a means for large shareholders to transfer benefits,and will limit the progress of the investment project.According to the research conclusions,this article Three revelations were also considered.One is to complete the company’s dividend policy and strengthen information disclosure.The other is to share the company’s equity and decentralize the power.The third is to accelerate the construction of investment projects and let the funds raised Funds are spent where it should be.