Author(s)

Jingqian SHI

Corresponding Author

Jingqian SHI

Abstract

In recent years, due to the government's cancellation of some iron ore mining licenses and the gradual replacement of iron ore by scrap steel. The development of domestic iron ore will be affected to a certain extent, which may hinder the development of iron ore companies. On this basis, Shandong Geology and Mine conducted a major asset reorganization, divested the main iron ore business assets, absorbed other non-mining assets, and realized a diversified business operation model. However, it is unknown whether this asset reorganization can bring sustainable profits to the enterprise. Therefore, this paper selects some suitable financial indicators to evaluate the impact of this asset reorganization on the financial performance of Shandong Geological and Mineral Company.

Keywords

Asset restructuring, Financial performance, Diversification