Education, Science, Technology, Innovation and Life
Open Access
Sign In

Financial analysis on GEELY major acquisition on Volvo

Download as PDF

DOI: 10.23977/acccm.2024.060101 | Downloads: 96 | Views: 435

Author(s)

PANG Ho Lam Alex 1

Affiliation(s)

1 School of Finance, Shanghai University of Finance and Economics, Shanghai, China

Corresponding Author

PANG Ho Lam Alex

ABSTRACT

His paper analyzes Geely's financial performance after its acquisition of Volvo, focusing on indicators such as net profit margin, return on total assets, market share, sales volume, and export volume. The study found that Geely experienced a consistent increase in sales volume following the acquisition, especially in terms of export volume. This expansion has further strengthened Geely's position in both domestic and foreign markets. Moreover, Geely's net profit margin has shown steady growth, indicating improved profitability and efficient resource management. The company's ability to effectively control costs and optimize operations has contributed to its enhanced financial performance. This, in turn, has boosted investor confidence and solidified Geely's reputation as a financially stable automotive company. In addition, the return on total assets has been positive, indicating that Geely has been able to generate higher returns with its increased asset base. The incorporation of Volvo's technological expertise and brand value has played a vital role in this success. By leveraging Volvo's resources and capabilities, Geely has been able to offer innovative and high-quality vehicles, which have resonated well with consumers.

KEYWORDS

Geely Automobile, Volvo, acquisition, financial performance, net profit margin, return on total assets, market share, sales volume, export volume

CITE THIS PAPER

PANG Ho Lam Alex, Financial analysis on GEELY major acquisition on Volvo. Accounting and Corporate Management (2024) Vol. 6: 1-8. DOI: http://dx.doi.org/10.23977/acccm.2024.060101.

REFERENCES

[1] Zheng, Z. Q., & Xie, C. (2016, August). Performance of Mergers and Acquisitions based on the Event Study Method. In 3d International Conference on Applied Social Science Research (ICASSR 2015) (pp. 80-82). Atlantis Press.
[2] Jin, Y., Xu, M., Wang, W., & Xi, Y. (2020). Venture capital network and the M&A performance of listed companies. China Finance Review International.
[3] Liu, N., Wang, L., & Zhang, M. (2013). Corporate ownership, political connections and M&A: empirical evidence from China. Asian Economic Papers, 12(3), 41-57.
[4] Liu, Q., Luo, T., & Tian, G. (2016). Political connections with corrupt government bureaucrats and corporate M&A decisions: A natural experiment from the anti-corruption cases in China. Pacific-Basin Finance Journal, 37, 52-80.
[5] Panibratov, A. (2017). Cultural and organizational integration in cross-border M&A deals: The comparative study of acquisitions made by EMNEs from China and Russia. Journal of Organizational Change Management.
[6] Chen, F., & Wang, Y. (2014). Integration risk in cross-border M&A based on internal and external resource: empirical evidence from China. Quality & Quantity, 48(1), 281-295.
[7] Yang, J., Guariglia, A., & Guo, J. M. (2019). To what extent does corporate liquidity affect M&A decisions, method of payment and performance? Evidence from China. Journal of Corporate Finance, 54, 128-152.

Downloads: 13386
Visits: 180853

All published work is licensed under a Creative Commons Attribution 4.0 International License.

Copyright © 2016 - 2031 Clausius Scientific Press Inc. All Rights Reserved.