Research on Lifecycle-based Financial Strategy on New Energy Enterprises: Take CATL as an Example

Authors

  • Jingfeng Yao
  • Yali Long

DOI:

https://doi.org/10.56028/aemr.9.1.140.2024

Keywords:

Life cycle theory; Financial strategy; Financial strategy matrix; Economic Value Added (EVA); New energy enterprise.

Abstract

The emergence of energy security issues reflects the current global turmoil and division. The two energy crises and regional conflicts have put the global energy system in a severe winter. Energy security is not only the latest requirement for the high-quality development of countries under the "carbon neutrality" background but also an aspect of overall global progress. This study selects the leading enterprise in the new energy industry, Contemporary Amperex Technology Co., Limited (CATL), as the research object. Based on the life cycle theory and financial strategy theory, the paper analyzes the company's financing, investment, and profit distribution strategies and constructs a financial strategy matrix to study the problems existing in the company's current financial strategy. The research results show that there are issues such as unreasonable financing structure, insignificant investment benefits, and significant fluctuations in dividend distribution policies. Finally, targeted optimization suggestions are proposed, hoping to provide a reference value for peers.

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Published

2024-02-06