财务分析报告英文-课件

CHINTELECTRICS2011FINANCIALREPORTINGANDANALYSIS2021/3/301TeamMembers：LiuZhaoye——Common-SizeWangYuyao——Debt-PayingXueJianchao——Profitability/OperationShenKangliang——Investment/OperationJiangRui——Competitor/IntroductionLIxin——Competitor/Introduction2021/3/302精品资料2021/3/303你怎么称呼老师？如果老师最后没有总结一节课的重点的难点，你是否会认为老师的教学方法需要改进？你所经历的课堂，是讲座式还是讨论式？教师的教鞭“不怕太阳晒，也不怕那风雨狂，只怕先生骂我笨，没有学问无颜见爹娘……”“太阳当空照，花儿对我笑，小鸟说早早早……”2021/3/304CHINTELECTRICSIsChina'slargestproductionoflowvoltageelectricappliancemanufacturingenterprise,thespecialtyisengagedindistributionappliances,controlelectricappliances,terminalapparatus,andpowerelectronicandelectricpowersupplylow-voltageproductsdevelopment,productionandsales.ChintisrecognizedforafamousChinesetrademark,chintbranduniversaltypecircuitbreaker,plasticshelltypebreakerseriesproducthasbeenawarded"Chinafamousbrandproduct"title.Thecompanyin2004wontheChinesequalitymanagementofthehighestaward,thenationalqualitymanagementaward2021/3/305Companyprofile

Stockname:CHINTELECTRICS

Stockcode:

601877IsChina'sleadingcompanyinthefieldoflowvoltageelectricalappliancesAdheretotheindependentinnovation,researchanddevelopmentaseriesofwithindependentintellectualpropertyrights,reachtheinternationaladvancedleveloflowvoltageelectricproductsThecompany'sbrandtoborrowJacquesrealizefrom"lowvoltageelectricalsupplier"to"solutionprovider"change,soastogethighergrossmarginandwidedevelopmentspace,therealizationenterpriseofin-depthdevelopment.2021/3/306ThereviewoflatestearningsThesaleswere82,880,000,000in2011,increasedto30.75%ofthe2010levelin2011.Realizedearningsbeforeincometaxprovisionandinterestswere10,190,000,000.Anincreaseof24.70%.Thenetprofitwere8,430,000,000.Anincreaseof31.82%.Realized797millionnetprofitafterbuckle,increasedby31.16%.ThedilutedEPSis0.91.Duetothesignificantlydecreaseinmainrawmaterialcostprice,madethegrossearningsratioincreaseto28.71%inthefourthquarter,increasedthegrossearningslevelthroughouttheyearobviously24.03%2021/3/307Common-SizeAnalysis2021/3/308BalanceSheetVerticalCommon-size

200920102011CurrentAssets：

Monetarycapital36.79%62.16%52.11%Notesreceivable5.80%6.22%13.11%Accountsreceivable17.20%8.17%8.30%Advancepayment2.23%1.84%0.80%Accountsreceivable-others0.35%0.22%0.12%Inventory17.36%10.92%10.29%Currentassets-others0.19%0.07%0.05%Totalcurrentassets79.93%89.60%84.79%Non-currentassets：

Equityinvestment-longterm2.23%1.00%5.09%InvestmentProperty0.14%0.06%0.04%Fixedassets13.27%5.63%4.58%Constructioninprocess0.31%0.98%2.48%Intangibleassets2.50%1.61%1.97%Deferredexpenses-longterm0.47%0.21%0.14%Deferredincometaxassets1.15%0.92%0.91%Totalnon-currentassets20.07%10.40%15.21%Totalassets:100.00%100.00%100.00%2021/3/309Currentliabilities：2009年2010年2011年Short-termborrowing0.05%0.00%0.01%Accountpayable33.93%19.63%15.64%Accountcollectedinadvance1.49%0.79%0.84%Payrollpayable6.05%3.98%4.10%Taxpayable1.22%0.38%0.74%Otherpayables4.82%2.92%2.58%Currentliabilities-others0.75%0.55%0.29%Totalcurrentliability48.31%28.25%24.69%Non-currentliability：

Bondspayable0.00%0.00%17.83%Anticipationliabilities0.86%0.50%0.48%Non-currentliability-others0.00%0.07%0.09%Totalnon-currentliability0.86%0.58%18.41%Totalliability49.17%28.83%43.10%Owner'sequity：

Paicl-upcapital33.24%16.24%12.03%Capitalreserve0.17%39.79%28.24%Surplusreserves3.45%2.56%2.98%Undistributedprofits10.50%10.61%11.83%Totalowner‘sequity

vestinparentcompany47.37%69.20%55.06%Minorityequity3.45%1.97%1.84%Totalowner'sequity50.83%71.17%56.90%Totalliabilitiesandowner’sequity100.00%100.00%100.00%BalanceSheetVerticalCommon-size2021/3/3010In2011,thenon-currentliabilitiesitemofcompanyistheproportionofthe2010’sincreaseobviously,mainlybecausethecompanyin2011toraisefundsforcompanyexecutedbondsissue1.5billionYuan.Fromthecurrentliabilitiestosee,thecompany'sshorttermloanshasalwaysbeentheproportionisverylow，In2010thecompanyshort-termborrowingallpaidoff,in2011thecompanyonlyhadanincreaseof1.1millionYuanshort-termborrowing，Shouldsaythisbenefitsfromthecompanyisverysufficientliquidity。Theproportionofaccountspayableislow,onthewhole,thecompany'sshort-termdebtservicepressureisverylow.BalanceSheetVerticalCommon-sizeAnalysis2021/3/3011BalanceSheetCrosswiseCommon-size2009年2010年2011年CurrentAssets：

Monetarycapital100.00%386.21%437.18%Notesreceivable100.00%245.13%697.67%Accountsreceivable100.00%108.53%148.98%Advancepayment100.00%188.00%111.17%Accountsreceivable-others100.00%145.51%106.79%Inventory100.00%143.73%182.91%Currentassets-others100.00%91.20%86.33%Totalcurrentassets100.00%256.26%327.46%Non-currentassets：

Equityinvestment-longterm100.00%102.77%704.53%InvestmentProperty100.00%90.25%80.50%Fixedassets100.00%96.89%106.56%Constructioninprocess100.00%725.53%2485.20%Intangibleassets100.00%146.79%242.62%Deferredexpenses-longterm100.00%104.57%94.24%Deferredincometaxassets100.00%183.21%246.14%Totalnon-currentassets100.00%118.47%233.96%Totalassets:100.00%228.60%308.69%2021/3/3012Currentliabilities：

2009年2010年2011年Short-termborrowing100.00%0.00%88.25%Accountpayable100.00%132.22%142.28%Accountcollectedinadvance100.00%122.04%173.41%Payrollpayable100.00%150.43%209.49%Taxpayable100.00%71.01%187.52%Otherpayables100.00%138.56%165.18%Currentliabilities-others100.00%166.88%121.18%Totalcurrentliability100.00%133.68%157.79%Non-currentliability：

Bondspayable

Anticipationliabilities100.00%132.71%171.32%Non-currentliability-others

Totalnon-currentliability100.00%152.50%6575.03%Totalliability100.00%134.01%270.56%Owner'sequity：

Paicl-upcapital100.00%111.67%111.67%Capitalreserve100.00%52587.67%50395.17%Surplusreserves100.00%169.55%266.38%Undistributedprofits100.00%231.01%347.70%Totalowner‘sequity

vestinparentcompany100.00%333.93%358.81%Minorityequity100.00%130.69%164.26%Totalowner'sequity100.00%320.12%345.59%Totalliabilitiesandowner’sequity100.00%228.60%308.69%BalanceSheetCrosswiseCommon-size2021/3/3013Companysalesgrowthnotonlybroughtampleliquidity,moresubsequentreceivables.Accountsreceivablecomparedtoaboveincreaseisnotalot,butnotesreceivableisnearlyseventimesto2009.

Theannualreporttomakeaexplained,inordertoreducetheriskofbadloans,thecompanyadjustcreditpolicy,increasethesettlementscaleofbankacceptance.BalanceSheetCrosswiseCommon-sizeAnalysis2021/3/3014Along-termequityinvestmentof2011yearsis20097times,mainlyduetothevalueof161.59millionYuanthiscompanytopurchasethe“ZKtechnology"9.18125millionshares,inadditiontothecompanyinvested200millionRMB.Theprojectunderconstructioncompanyin2011is2009yearsof24times,mainlyduetocurrentperiodtoraisefundsbasedconstructionprojectincausedbyincrease.

Thecompanynon-currentliabilitiesin2011is200965times,mainlybecauseoftheincreaseofbondspayableproject,thatcompanywastoissue1.5billionbonds.Capitalreservein2011and2010weremorethan500timesin2009,mainlybecauseofthecompany2010yearswasjustlisted.BalanceSheetCrosswiseCommon-sizeAnalysis2021/3/3015ProfitsandLossItemsCrosswiseCommon-sizeItems

Crosswise2009Crosswise2010Crosswise2011NO.1、Taking100.00%132.02%172.62%Cut：Operatingcosts100.00%136.17%182.55%BusinessTaxesandSurcharges100.00%109.65%125.26%Sellingexpenses100.00%125.46%140.07%Managementexpenses100.00%135.57%161.47%FinancialExpense(Benegativeforthreeconsecutiveyears)100.00%185.99%1208.81%Lossfromassetdevaluation100.00%-31.93%31.37%Incomeoninvestment(benegativein2009)100.00%-465.57%-872.47%NO.2、Operatingprofit

100.00%119.65%155.06%Plus：Non-businessincome100.00%15.87%7.43%Cut：Non-businessexpenditure100.00%11.11%15.09%NO.3、Totalprofit100.00%121.88%156.36%Cut：Totalprofit100.00%116.61%142.94%NO.4、Netprofit100.00%122.97%159.12%2021/3/3016Items

Vertical2009Vertical2010Vertical2011NO.1、Taking100.00%100.00%100.00%Cut：Operatingcosts71.84%74.09%75.97%BusinessTaxesandSurcharges0.65%0.54%0.48%Sellingexpenses5.05%4.80%4.10%Managementexpenses7.58%7.79%7.09%FinancialExpense(Benegativeforthreeconsecutiveyears)-0.11%-0.15%-0.76%Lossfromassetdevaluation0.39%-0.09%0.07%Incomeoninvestment(benegativein2009)-0.01%0.04%0.05%NO.2、Operatingprofit

14.59%13.22%13.11%Plus：Non-businessincome1.65%0.20%0.07%Cut：Non-businessexpenditure1.87%0.16%0.16%NO.3、Totalprofit14.37%13.26%13.01%Cut：Totalprofit2.45%2.17%2.03%NO.4、Netprofit11.91%11.10%10.98%ProfitsandLossItemsVerticalCommon-size2021/3/3017ProfitsandLossItemsCommon-sizeAnalysisThecompanybusinessincomein2011was1.7timesthanthatin2009,operatingincomeincreasedyearbyyear,explainthecompanysalesscaleexpandsunceasingly.

Theannualreportsaysthecompanymainlyduetotheincreasingdomesticandforeignmarketdevelopmentandpromotionofnewstrength,sodomesticauxiliarymarketdemandincrease,salesvolumegrowth.Thecompanybusinesscost2011is1.8timesmorethanin2009,operatingcostsincreasedyearbyyear,andcomparedwiththebusinessincomegreaterproportion.

Thisismainlybecause2011productsalesgrowthandrawmaterialpricescausedbycommoneffect,butnetprofitinoperatingincomeproportionandnotasasubstantialincreaseinthesalesincrease,sothepressureoftherisingcostswasmore.2021/3/3018Thefinancialcostthreeyearsarenegative,suggeststhecompanycontinuedinterestincomeweremorethaninterestexpensesandfinancialexpensesin2011is2009of12times,annualreportalsoshowsthat2011netinterestrevenuebytwohundredandtwentypercentmorethanatthebeginning,becausethatdoesnotexistisannualreporthasthecontrollingshareholdersandtheiraffiliatesnon-businesstakefund,thenaccordingtoillustratetheannualreportbecausethe2011mainsourceofrevenueforthefinancialriskcontrolincreasedcashreserves,interestincomeincrease.ProfitsandLossItemsCommon-sizeAnalysis2021/3/3019MainBusinessCommon-size2021/3/3020MainBusinessCommon-sizeAnalysisWecanseethatthepowerdistribution,terminalandcontrolelectricapplianceisthecompany'sthreebigblockbusterproducts.Lowvoltageelectriclowendthemarketthemaincompetitivefactorsiscostcontrolabilityandproductprices,andthecompanywithdomesticsimilarenterprisebrandadvantagecomparedsignificantly,bargainingpower,stronger,costcontrolabilityoutstanding,highergrowthperformanceformanyyearstheindustryaveragemorethan10%ofthecompany'smarketshareincreasescompanyexperiencedindustryinsideremainrelativelyhighgrowth.2021/3/3021

analysesofshort-termdebt-payingability2021/3/3022comparisonsbetweensomeratiosofrecent3years

yearratioyear2009year2010year2011Workingcapital856018150.3yuan

3697904421yuan5022143163yuan

currentratio1.653.123.43Acid-testratio1.302.733.02

cashratio0.762.202.11netcashprovidedbyoperatingactivities/currentliabilities0.840.400.062021/3/3023AnalysesofWorkingCapital

Aswecanseefromthechart，thiscompany’sworkingcapitalhasbeenpositiveandgraduallyincreasedrecently，becausetherecent3years’currentassetsandliabilitieshavegraduallyincreasedrespectively，andthedifferencebetweenthesetwohavealsoincreased;thisdifferenceistheworkingcapital.Thisincreaseintheworkingcapitalindicatesthatthecompany’sshort-termdebt-payingabilityisguaranteed，andstrengthenedrecently。2021/3/3024AnalysesofCurrentRatio

Aswecanseefromthechart，thiscompany’scurrentratiohasbeenpositiveandgraduallyincreasedrecently，becausethecurrentassentsandcurrentliabilitieshavegraduallyincreased,butthecurrentassetshaveincreasedfaster.Theincreaseofcurrentratioindicatesthatthecompanyhasagrowingabilitytopaythecurrentliabilities,andtheshort-termdebt-payingabilityhasstrengthened.2021/3/3025AnalysesofAcid-testRatio

Aswecanseefromthechart，thecompany’sacid-testratiohasgraduallyincreasedrecently，becausethecurrentassetsandinventorieshavebothincreasedbutthecurrentassetshaveincreasedmuchfaster,whichmadethedifferencebetweenthemincrease.Theincreaseintheacid-testratioindicatesthatthecompanyhasagrowingabilitytoimmediatelyrealizeandpayshort-termliabilities.Atthesametime,thistendencyisconsistentwiththecurrentratio’stendency,

whichmeansthatthecompany’sinventorieshavebeenstablerecent.2021/3/3026AnalysesofCashRatio

Aswecanseefromthechart，thecompany’syear2011’scashratiosismuchbiggerthanyear2009’s，buttheyear2011’sisslightlysmallerthantheyear’s.Becausethecashequivalentsgrewmuchfasterthanthecurrentliabilities,causingtheirratiotoincrease.Astoyear2011and2010,thecashequivalentsandthecurrentliabilitieshavebothincreasedbuttheirratioshavealittledifference.Thetendencyincashratioindicatesthatthecompany’sabilitytopayimmediatelyhasincreasedenormouslyanddecreasedabit.2021/3/3027AnalysesofNetCashProvidedbyOperatingActivities/CurrentLiabilities

Aswecanseefromthechart，thecompany’snetcashprovidedbyoperatingactivities/currentliabilitieshasgraduallyincreased,becausethenetcashprovidedbyoperatingactivitieshavedecreasedandthecurrentliabilitieshaveincreased,causingtheirratiotodecrease.Thisratio’stendencyindicatesthatthecompanyhasagraduallydecreasedabilitytopayitsshort-termdebtsbyusingnetcash.Thisratiointherecent3yearshasbeenbelow1,sothecompanycan’tpayitsdebtusingjustnetcashprovidedbyoperatingactivities.Itmustobtaincashinotherwaystoensurethatitsliabilitiescanbepaidintime.2021/3/3028

analysesoflong-termdebt-payingability2021/3/3029

comparisonsbetweensomeratiosofrecent3yearsyearratioyear2009year2010year2011

debtratio49.17%29.30%43.10%debt/equityratio96.75%41.44%75.74%Debttotangiblenetworthratio101.76%42.42%78.46%Timesinterestearned532.021820.8026.44netcashprovidedbyoperatingactivities/totalliabilities0.830.390.032021/3/3030

analysesofdebtratio

Aswecanseefromthechart，thecompany’s2010year’sdebtratioismuchsmallerthanthe2009’s,becausethetotalassetsofyear2010ismuchbiggerthantheyear2009.

Thedebtratioofyear2011isnearlylevelwiththeyear2009,

becausealthoughthetotalassetsandliabilitieshavebothincreased，butaswithyear2009，thetotalliabilitiesarenearlyhalfofthetotalassets.

Theoretically，intherecent3years,thecompanyhasagrowingandthendecreasingdebtburden.However,theseratiosareallbelow50%，whichcanbeconsideredacceptableandmeansthatthecompanyhasacomparativelylightdebtburdenandthecreditors’interestsarehighlyprotected.2021/3/3031Analysesofdebt/equityratioandDebttotangiblenetworthratio

Aswecanseefromthechart，thesetworatioshavebothdecreasedandincreasedrecently.Becausecomparedwiththetotalowner’sequity,thetotalintangibleassetsandliabilitiesaremuchsmaller,thereasonsforthistendencyarealmostthesame，thatis,theyear2010’stotalequityismuchbiggerthantheyear2009’s。Howevertheyear2011’stotalequityandliabilitiesandtheyear2009’scanbenearlyconsideredthesame.2021/3/3032AnalysesofTimesinterestearned

Aswecanseefromthechart,thecompany’stimesinterestearnedhasfluctuatedenormouslyrecently.Itincreasedenormouslyfromyear2009to2010,anddecreasedenormouslyfromyear2010to2011.

Thereasonisthatcomparedwithyear2009,theyear2010’snetprofitandtaxexpensehavebothincreased,butinterestexpensehasdecreasedenormously,causingtheratioofthetotalofthesethreeandinterestexpensetoincrease.

Besides,comparedwiththeyear2010,theyear2011’snetprofitandtaxexpensehavebothincreased,butinterestexpensehasdecreasedmoreenormously,causingtheratioofthetotalofthesethreeandinterestexpensetodecrease.Ascanbeknown,thefluctuationofinterestexpenseisthemainreasonforthefluctuationoftimesinterestearned.

Althoughthetimesinterestearnedfluctuatedmuch,thesefiguresindicatethatthecompanyhasaconsiderableabilitytopaytheinterestdebtandlong-termdebt-payingability.2021/3/3033AnalysesofNetCashProvidedbyOperatingActivities/TotalLiabilities

Aswecanseefromthechart，thisratiohasdecreasedrecently,becausethenetcashprovidedbyoperatingactivitieshavedecreasedandthetotalliabilitieshaveincreased,causingtheratioofthesetwotodecrease.Thisratio’sdecreasingtendencyindicatesthatthecompanyhasadecreasingabilitytopayitsdebtsusingthenetcashprovidedbyoperatingactivities.Thefiguresoftherecent3yearsareallbelow1,sothecompanycan’tpayitsdebtsusingjustthenetcashprovidedbyoperatingactivities.2021/3/3034Thesummaryofanalysesofdebt-payingability

Aswecanseefromtheanalysesfrom,thecompany’sabilitytopayliabilitieshasbeengrowingdecently,especiallybetweenyear2009and2010.Althoughithasundergonesomefluctuationsinsomeratios,thesechangescanbeconsideredthechangesthatdon’tinfluencethedebt-payingabilitymuch.Thesetrendsalsoconformtotheappliances’industrialdevelopment.Becauseofsuchfactorsasnationalpolicyandgrowingeconomicdevelopment,thehomeappliance,thecompanyhasbeendevelopingrapidly.However,accordingtosomeratios,thecompanystillhassomethingtoimprove.2021/3/3035

OperationCapacityAnalysis2021/3/3036

Item200920102011AccountsReceivableTurnover9.9712.7713.55Day’SalesinReceivable36.1128.1926.57InventoryTurnover7.178.028.06InventoryTurnoverinDay’s50.2144.8944.67FixedAssetsTurnover12.6217.5322.22TotalAssetsTurnover2.561.441.15Operationalcapabilityindexcontrast2021/3/3037Accordingtoanalyzetheindexofoperationcapability,accountreceivableturnoverwentupyearbyyear.Itexplainedthatthegrowthrateofnetsalesexceededgrowthrateofaccountreceivable.Themainreasonthatrapidgrowthofsalesincomeleadtoincreasingaccountreceivable.InordertoreduceBaddebtriskofCHNT,CHNTproperlyadjustcreditpolicyandincreasethescaleofsettlementthebankacceptance.Becauseofincreasingaccountreceivableturnover,CHNTreceivedmuchcashandLossonbaddebtsreduced.CHNThasgreatdebitpayingability.2021/3/3038inventoryturnoverratioalsoincreasedyearbyyear.Itillustratedthattheincreasingextendofcostofsaleoverweightincreasinginventory.ItalsoshowedthattheoccupationoftheinventorylevelofCHNTwaslowandhadhighlyliquidity.Moreover,themorehighlyliquidity,themorefastthespeedofinventoryconvertingtocashandaccountreceivable.CHNT’sfixedassetturnoverwasincreasing.ItshowedtheutilizationoffixedassetofCHNThadbecomehigherandhigherandthemanagementlevelconstantlyimproved.Meanwhile,ithasadvantageforimprovingCHNT’sprofitability.2021/3/3039However,thetotalassetturnoverhasdecreasedyearbyyear.Totalassetturnoverisanimportantindicatortoexaminetheoperationalefficiencyofcorporateassets,reflectingthetransferspeedofalloftheassetsofthebusinessduringtheperiodfrominputtooutput.Thepossiblereasonliesinthecompany'slong-termequityinvestments,intangibleassetsandconstructioninprogress.Owingtoasignificantincreaseinlong-termequityinvestments,intangibleassetsandconstructioninprogress,itleadstotheincreaseintotalassetsisgreaterthantheincreaseinnetsales.

Theactualsituation,confirmedthespeculation.Thecompanypurchasealowvoltageelectricapplianceindustrybase.Thismoveledtoasignificantincreaseinlong-termequityinvestment.DuetonewlyacquiredWenzhouelectrical,netsalesgrowthwasslowerthanthegrowthoftotalassets.Atthesametime,ZhejiangZhengtaiCorporation'stotalassetturnoverisstillfarhigherthantheindustrytotalassetratio.Itprovedthatthecompanyoperateswell.2021/3/3040

ProfitabilityAnalysis2021/3/3041Item200920102011NetProfitMargin11.9111.1010.98TotalAssetTurnover2.061.441.15ReturnonAssets24.3116.0112.51OperatingIncomeMargin14.9913.1013.12OperatingAssetTurnover2.161.501.23ReturnonOperatingAssets32.2919.6816.07Dupontreturnonassets31.3116.3612.88FixedAssetsTurnover12.6217.5322.22ReturnonTotalEquity41.5716.3519.14GrossProfitMargin27.5125.3723.55Profitabilityindexcontrast2021/3/3042

Comparedwith2009,wefoundthattheequityreturnratechangesalotin2011.Throughtheanalysisoffinancialstatements,wefoundthecompanyowner'sequityincreasesby220.12%.Owners'equitygreatlyincreased,leadingtorightsreturnratedropdramatically.Thereasonwhytheowner'sequityhasabigincreaseisthatthecompanybecomesapubliccompanyin2010.Butcomparedwith2010,theowner'sequityincreasedby7.96%in2011.Itisclearthatthegrowthisnotobvious.What’smore,netincomeincrease.2021/3/3043Combinedwiththepracticalsituation,wefoundthatthecompanyfivemainproductsgrossmarginhaveacertainscopedown,butchangeisnotclear.Combinedwithpractical,welearnthatterminalapparatusandpowertotheelectric

grossmarginfellmorethan3%.Thereasonwhygrossprofitdecreaseisthatthecopper,silverandothermainrawmaterialpricesrise,reducingproductprofitmargins.Butthecompanyduringthegoodcostcontrol,marketingexpenses,administrativeexpensesandfinancialexpensesdroprespectivelycomparedtothe0.7,0.69and0.44%,tomakeupfortheriseinthecostofrawmaterialstothecompanynetprofitmarginoftheinfluence2021/3/3044Operatingreturnonassetsdecreasedsignificantly,thusfurtherreflectingtheefficiencyofassetutilization.Comparedwith2009,Operatingreturnonassetsdecreasedsignificantlyin2010.

Analysisthereasonisthatalargenumberofoperatingcostsandnotesreceivable,notesreceivableincreasedby145.13%,comparedwith2009.comparedto2009,operatingcostsincreasedby136.17%.Theincreaseinnotesreceivablecauseincreaseoftheoperatingassets,increasedoperatingcostsledtoadecreaseinoperatingincome.

Intheend,leadtothedeclineinoperatingreturnonassets.2021/3/3045Thereasonwhyreturnonassetsdeclineisthatthegrowthoftotalassetshigherthanthenetincomegrowth.

Analyzingthereasonsforthegrowthoftotalassetsisthelong-termequityinvestment,constructioninprogressaswellasthegrowthofintangibleassets.Comparedwiththebeginningoftheperiod,thelong-termequityinvestmentincreasedby585.52%.Comparedwiththebeginningoftheperiod,theconstructioninprogressincreasedby242.54.comparedwiththebeginningoftheperiod,theintangibleassetsincreasedby65.28%.2021/3/3046Investmentabilityanalysis2021/3/3047Item2009CHNT2010CHNT2011CHNTFinancialLeverage1.001.001.04MarketValuePerShare（yuan）-23.9513.10EPS（yuan）0.580.640.82Price/EarningRatio%-37.4215.96RetainedEarningsRatio%65.52

31.5014.63

DividendPayoutRatio%34.4862.5085.37DividendYield%-1.675.34BookValuePerShare(yuan)1.424.204.58CashFlowEnablingInvestmentsEarningsPerShare1.230.690.12Operatingcashflowenablinginvestments/cashdividend5.491.700.17Comparingtheabilityofinvestmentfrom2009to20112021/3/3048Accordingtotheserelatedindex,wecanfoundthattheCHNT’sfinancialleveragebasicallymaintainat1.00andkeepstablylowlevel.ItshowthattheCHNThaslowerriskoffinance.CHNThasjustlistedin2010.ThelistingofpriceoftheCHNTin2010abidinglydroppedfrom23.95yuanto13.10yuanin2011.WecanhaveaproofthatitwasaffectedbytheEuropeandebtcrisis.Becauseofthat,thebigboardofShanghaiIndexdroppedbadlyandalsoaffectedmarketvaluepershareofCHNT.TheEPSofCHNTraisedyearbyyear.Comparingwithlasttwoyears,itincreased10.34%and28.13%respectively.ItexplainthatCHNT’sprofit

alsoenhancedyearbyyear.

Theprice/earningratioreflecttherelationshipofthecommonmarketvalue(MV)betweencurrentEPS.However,wecanfindsomethinginthetablethattheP/Efallenfrom37.42%

to15.36%.Althoughithasdropped21.46%,weshouldcomprehendthedepreciation

extendofMVoverweightheincreasingextendofEPSandfinallyleadtothedecreasingofP/Eratio.Nevertheless,thedevelopmentpotentialofCHNTwillhavegoodfuture.2021/3/3049Fromthedataofdividendpayoutratio,CHNThashigherdividendpayoutratio.Itincreasedyearbyyear.In2011,dividendpayoutratiohasdramaticallyhad85.37%.Thereasonthatcompanyhasalwayskeptstablyandrapidlyinrecentyears

.Accordingthelatestannouncementofdividenddistribution,

itwillassign0.7yuanpershare.CHNT’sdividendinlastyearhad402millionyuan.Dividendinthisyearlargelyoverweighlastyear.Ithas704millionyuananddividendpayoutratiowas85.37%.However,dividendpaymentratewillleadtotheriseofretainedearningsdecline.Wecanobviouslyfindthesedatainthisthreeyears.HigherdividendpayoutratioshowedthatCHNTwillh