Study on the Sustainable Development of Chinese Energy Industry Based on the Influencing Factors of Capital Structure

Abstract:

Based on the characteristics of the energy industry, this paper dissects the capital structure status of Chinese energy companies, and then points out the existing problems. The 8-year’s financial data of PetroChina, Sinopec and CNOOC, which are all listed in Stock Exchange of Hong Kong, are selected for empirical analysis, and concluded that, profitability, company size, collateral value of assets and liquidity ratio of assets are negatively correlated to corporate asset-liability ratio, but the growth is positively correlated to it. Finally, this paper provides advices on developing economies of scale, financing, investing and improving corporate financial risk control mechanism.

• Periodical: Advanced Materials Research (Volumes 962-965)
• Pages: 1854-1857
• DOI: https://doi.org/10.4028/www.scientific.net/AMR.962-965.1854
• Online since: June 2014
• Authors: Ming Pang, Hong Mei Wu, Jin Ke Wang*
• Keywords: Capital Structure, Energy Company, Influencing Factor, Regression Model

References

[1] Titman. S, Wessels. R: The determinants of capital structure. The Journal of Finance, 1988.

[2] Rajah. R, L. Zingales: What do we know about optimal capital structure? Some Evidence from International Data, Journal of Finance, (1995).

DOI: 10.3386/w4875

[3] Lu Zhengfei, Xin Yu: Empirical Study of Main Factors Affecting the Listed Companies' Capital Structure [J]. Accounting Research, 1998(8): 36-39.

[4] Liu Ruicong: Empirical Study of Influencing Factors of Capital Structure [J]. Economic Tribune, 2010: 82-83.

[5] Ye Ming: Empirical Study of Influencing Factors of Capital Structure of Chinese Listed Company [J]. Business Culture, 2012(1): 50-51.

[6] Pang Ming: Financial Risk Analysis on Chinese Oil Company Cross-border M&A [J]. On Economic Problems, 2011(08): 63-68.