HB Steel Group Financial Risk Analysis

In recent years,several major steel consumption industries,such as shipping industry,automobile manufacturing industry and real estate industry,have declined in recent years.Downstream demand,overcapacity and rising upstream raw material and labor costs further exacerbate the problem of capital chain breakage and asset liability ratio of steel enterprises.Many steel enterprises have to start to rely on bank loans and government subsidies to survive,which makes the financial risks of steel enterprises in our country multiplied.Now,for our iron and steel enterprises,how to analyze the risks faced by the finance effectively and get the corresponding solutions is imminent.At the end of 2015,the state put forward the reform of the supply side structure and the five major tasks in 2016."Three go,one subsidy and one drop" made the development of steel enterprises ushered in a new turning point.This article selects the HB iron and Steel Group,which is one of the leading iron and steel enterprises in the country,and has the representativeness and typicality.At the same time,we use the literature review method to analyze the financial risks of HB iron and Steel Group and put forward the corresponding solutions,which can also serve as a reference for other steel enterprises in the whole country.On the first of the current steel industry background and HB iron and steel group the company as a whole,then a comprehensive numerical HB steel financial ratios and financial data with the national steel industry are compared from the four aspects of the eighteen kinds of data,and conduct a comparative analysis.Then DRL relative liquidity degree model,Z fraction model and F fraction model are used to analyze the overall finance of Hebei steel.Finally,according to the results of the analysis,the corresponding solutions are put forward.The goal of helping HB iron and Steel Group to avoid financial risk crisis and solve difficulties is reached.At the same time,this paper has a certain reference for HB iron and steel group.