Financial Statement Analysis Of Tiantan Biological Co.,Ltd. Based On Harvard Analysis Framework

Influenced by national policies,the number of listed enterprises in China has been increasing in recent years.In many industries,the pharmaceutical industry as a livelihood boom industry,the number of listed companies is increasing significantly.Although the pharmaceutical industry enjoys considerable benefits and rapid development momentum in China,due to the uneven strength of each listed company in this industry and the difficulty in distinguishing good and bad quality of the drugs produced,a large number of enterprises cannot achieve steady development in the fierce market competition.For investors,learning to analyze and judge the future growth ability of an enterprise is a key factor to improve the investment level.Financial statement plays an important role in helping investors and managers to make rational decisions as the main tool to analyze corporate financial situation.However,the analysis of the financial condition of enterprises,rely on the financial statements of the data analysis is difficult to accurately and timely research results,therefore,to deeply understand the real operating conditions of enterprises in the financial analysis should not be limited to the enterprise issued by financial data,and the non-financial factors should be introduced to the enterprise existing problems in the process of the development and to discuss the potential risks,etc.Non-financial factors mainly include the internal and external environment of the enterprise,the opportunities and challenges faced by the enterprise in its development process,as well as the advantages and disadvantages of the enterprise itself.These factors can help the analysts to further analyze the root causes of the enterprise's problems and seek effective solutions.In view of the above practical needs,this paper selects Beijing Tiantan biological products co.,LTD.(hereinafter referred to as Tiantan biological)as the research object,and applies Harvard analysis framework that focuses on both financial factors and non-financial factors to analyze its financial status.There are three reasons for the selection of Tiantan biology for research.Firstly,as one of the subdivided industries of the pharmaceutical industry,the blood product industry is highly regulated by the state,and its development mode is much more affected by the policies than other industries,with high industry particularity.Secondly,under the background of centralized development of the blood products industry,Tiantan biology has fired the first shot of centralized integration in the industry in 2017.This move has attracted wide attention from the society and is typical in the industry.Thirdly,both operation management ability and risk control ability of Tiantan biological are above the average level of the industry.Financial analysis of Tiantan biological is representative of the industry.This paper analyzes the financial statements of Tiantan from four aspects: strategic analysis,accounting analysis,financial analysis and prospect analysis.In terms of strategic analysis,SWOT analysis is adopted to analyze the macroscopic situation of blood products industry and the core competitiveness of Tiantan biological industry.In terms of accounting analysis,this paper,combined with the information disclosed in the financial statements of enterprises,has a deep understanding of the key accounting policies and accounting estimates of enterprises.In terms of financial analysis,the overall financial level of the company is evaluated from the perspectives of debt paying ability,operation ability,profitability and cash flow.In the aspect of perspective analysis,the future development space of Tiantan biology is reasonably predicted based on the analysis results of the above three parts.Finally,based on the conclusion drawn from Harvard's analysis framework,the author puts forward personal suggestions on the operation and development of enterprises and summarizes the whole analysis process.To some extent,it can provide reference for other enterprises in the same industry and investors in the pharmaceutical industry.