Financial Analysis Research Of XCMG Based On Harvard Analysis Framework

The financial analysis mainly obtains the main data through the relevant financial statements of the company,and then excavates and analyzes these data to obtain the basis for a comprehensive system to understand the status of a company.Users of financial statements can use these data to make comprehensive considerations of their decisions.They can comprehensively understand the company's past,make a comprehensive assessment of the status quo,and make reasonable predictions about the fixture.The possibility of financial analysis of listed companies lies in the fact that our country strictly requires listed companies to regularly publish financial information and disclose information in accordance with relevant regulations.The necessity of the financial analysis of listed companies lies in the continuous deepening of the reform of the company system accompanied by the rapid development of the socialist market economy.Only conducting financial analysis can make the company competitive in today's economic society.Over the past decade,the development of construction machinery has experienced a climax,and has also experienced low tides.Overall,the construction machinery industry experienced a five-year downward adjustment.In 2016,the industry is facing new changes and challenges.Take Xugong Machinery as an example,analyze the financial status and operating results of Xugong Machinery through the analysis method of Harvard Analysis Framework.The financial analysis of the company under the Harvard analysis framework mainly includes the following four aspects:strategic analysis,accounting analysis,financial data analysis,and prospect analysis.Strategic analysis,using PEST to analyze the macro environment of the construction machinery industry and the competitiveness of Xugong Machinery,and use the STP method to divide the target market of XCMG.Accounting analysis follows the basic processes of identification,analysis,and evaluation,and analyzes whether XCMG's related accounting policies are reasonable.Financial analysis,analyzing and researching the solvency,profitability,operational ability,and growth ability of XCMG combining horizontal analysis and vertical analysis,selecting SANY and LIUGONG as reference objects for horizontal analysis,XCMG as sub-industry leader of lifting machinery and road machinery,SANY as sub-industry leader of concrete machinery and excavation machinery,LIUGONG as sub-industry leader of transport and transportation machinery,this analysis is more informative and contrastive.Prospects analysis,combined with the prospects of the industry and the company's ability to own resources to carry out a reasonable forecast.Applying the Harvard Analysis Framework to the analysis of financial status of construction machinery not only has a certain guiding significance for the future development of XCMG,but also has certain reference significance for the sustainable development of the entire construction machinery industry...