Research On The Influence Of Mixed Ownership Reform On The Financial Performance Of S Company

The report to the 20 th National Congress of the Communist Party of China put forward major plans for deepening the reform of state assets and state-owned enterprises,promoting state capital and state-owned enterprises to become stronger,better and bigger,and enhancing the core competitiveness of enterprises.In fact,since the Third Plenary Session of the 18 th CPC Central Committee made it clear to actively develop mixed ownership economy,the Opinions of The State Council on State-owned Enterprises Developing mixed ownership Economy and the report of the 19 th CPC National Congress further pointed out that developing mixed ownership economy and cultivating world-class enterprises with global competitiveness.Obviously,it is one of the feasible ways to achieve high-quality development of enterprises to guide different ownership capitals to promote each other and develop together through deepening mixed ownership reform.In view of this,this paper selects S Company as the case study object and based on the research perspective of "reverse mixed reform",studies the impact of mixed ownership reform on the financial performance of S Company,in order to enrich the empirical evidence that mixed ownership reform can improve the quality and efficiency of enterprises.Based on the background and process of S Company’s mixed ownership reform,this paper analyzes the internal and external motivations of S Company’s mixed ownership reform.By using event study method and financial index analysis method,this paper studies the influence of mixed ownership reform on S Company’s short-term and long-term financial performance and financial synergies from different perspectives such as financial situation,operating results and value increment.According to the results of case analysis,this paper puts forward some suggestions on the financial performance improvement of S company.The research results show that:(1)The external motivation of reverse mixed reform of S company is mainly supported by the national bailout policy and affected by the fierce competition in the environmental protection market.The internal motivation of introducing state capital is based on the company’s poor revenue,insufficient available funds and the demand for environmental research and development.(2)The event study method showed that the excess cumulative yield of S company reached the peak on the day of the mixed reform and continued to rise after 13 days of the window period,indicating that the reverse mixed reform was gradually recognized by the market and achieved certain short-term financial performance.(3)Reverse mixed reform can have a positive impact on the financial performance of S Company,which is specifically reflected in the improvement of its profitability,operating capacity and development capacity compared with itself and the industry.(4)It is found that the specific driving factors for the change of long-term financial performance are the net interest rate on total assets and the net operating interest rate,which brings great opportunities for the company’s development while the company’s value is in the trend of continuous growth,indicating a significant improvement in long-term financial performance.(5)With the effective integration of resources of both sides,S Company’s production scale and business expansion increase its market share,outperform unreformed private enterprises in the same industry,and achieve certain financial synergies.However,due to the excessive investment,accounts receivable surge and potential high assetliability ratio and other problems,and the reform has not been completed for a long time.Financial performance still needs to be measured over a longer period.The conclusion of this study is helpful to the dynamic pattern of environmental protection industry.Deepening the mixed ownership reform and guiding different ownership capital to promote each other and develop together is a feasible way to overcome market development obstacles and build export competitiveness.