Financial Index Analysis of Selected Listed Companies in Anhui Province China

Abstract

The epidemic in 2020 has affected the average production and operation activities of enterprises, and some enterprises with poor ability to resist risks face the risk of bankruptcy. The differences between private and non-private enterprises in China have resulted in different responses when dealing with external shocks. They ultimately have different degrees of impact on the performance of enterprises. Therefore, this study explores whether there are differences in the performance of private and non-private enterprises in the face of the epidemic's impact. If there is a difference, what factors caused the difference?

This study uses Stata16 software to perform regression analysis on the financial report data of listed companies in Anhui Province, China, from 2016 to 2020. It establishes a DID model to analyze whether the impact of the new crown epidemic on private enterprises and non-private enterprises is different. The analysis and regression results show a significant difference in the impact of the new crown epidemic on the performance of private and non-private enterprises; innovation ability is the mediating transmission variable for the difference in corporate performance between private and non-private enterprises during the epidemic. The transmission mechanism of performance differences will further explore the essential differences between private and non-private enterprises. This research will help enrich the research on the impact of the epidemic as a natural external shock on corporate performance, provide a basis for companies to respond to external shocks, and provide a reference for the long-term and stable development of Chinese companies.

According to the research findings, the following conclusions are drawn: the difference in the performance of private enterprises and non-private enterprises due to the impact of the epidemic is reflected in the performance of private enterprises during the epidemic is better than that of non-private enterprises, which is reflected in return on assets and return on total assets of private enterprises. Generally higher than non-private enterprises; compared with non-private enterprises, private enterprises have more timely and rapid policy adjustment of innovation ability due to the consideration of preventing risks and seizing opportunities; the innovation ability of enterprises has played an essential role in the f2ace of the impact of the epidemic. The role of "buffer" enables enterprises to operate and develop stably. This study suggests that enterprises should appropriately introduce private equity investors to give full play to the advantages of private governance; enterprises should appropriately increase innovation capabilities and improve the management level and utilization efficiency of enterprise innovation input and output.