| During a period of time since the 21 st century,the real estate industry in China has blindly expanded the scale of financing and investment,increased financial leverage,and maintained rapid growth for the purpose of profit-seeking under the background of urbanization and industrialization in China.As a result,a large amount of real estate inventory has been backed up in China,and the bubble phenomenon in the real estate market is frequent.Therefore,since the “13th Five-Year” Plan,China has put forward a series of policies to stabilize house prices and limit the blind financing expansion of real estate enterprises.These policies put forward specific requirements for the de-leveraging of a number of real estate enterprises,causing the pressure of real estate enterprises to reduce the debt rate to rise sharply.China’s real estate enterprises long-term dependence on external financing and blood transfusion,long-term maintenance of high turnover,high leverage mode determines that if the leverage is forced to reduce in a short period of time,it will sacrifice the size and profit of the housing enterprises,and even may cause the housing enterprises to fall into liquidity crisis,so it is not easy to truly reduce the debt rate of the housing enterprises.In this context,real estate enterprises are likely to choose to manipulate their book leverage artificially,control their leverage below the standard level to meet regulatory indicators,but do not reduce their real debt risk(that is,leverage manipulation).The real estate industry in China plays an important and special role in the national economy,so it is necessary to study whether there is leverage manipulation in real estate enterprises and whether there is leverage manipulation in real estate enterprises.This paper first combs the previous relevant literature,describes the shortcomings,significance and innovation of previous literature research,and explains the theoretical basis of this article.Secondly,it makes a basic introduction of the current real estate industry’s de-leverage policy and financial characteristics,paves the way for the specific analysis of the following cases,and checks the existence of real estate industry’s "leverage manipulation" behavior through the internal logic of "leverage manipulation" combined with real estate enterprise financial data.Then a specific case company is introduced for detailed introduction.Although Xinli Holdings has not been established for a long time,its radical enterprise strategy and long-term operation mode of maintaining high turnover and high leverage typically represent a number of traditional housing enterprises.Next,this paper takes Xinli Holdings as a case study object,starting from the event that Xinli Holdings greatly reduces the net debt rate in a short period of time,and makes a qualitative and quantitative analysis of the motivation,means and potential risks of the "leverage manipulation" behavior of Xinli Holdings.Based on the above analysis,this paper puts forward relevant suggestions from three aspects: regulatory authorities,specific housing enterprises and audit institutions,including:(1)improve leverage metrics,so that regulatory indicators can avoid being easily manipulated by enterprises;(2)Audit intermediaries should pay more attention to the leverage manipulation of real estate enterprises,consider the related risks in the stage of risk assessment,and reduce the information asymmetry between enterprises and investors;(3)Listed real estate enterprises increase the disclosure of related information,especially the information related to the listed real and off-balance liabilities in the financial statements,and the joint ventures and commercial bills;(4)Real estate enterprises should optimize their capital structure and reduce their own liquidity risks;(5)Real estate enterprises should change their operation mode,break away from the traditional operation mode of high turnover and high leverage,and transform to specialization and refinement. |
