Abstract:

【Objective】The non-timber forest industry listed companies have been receiving sufficient capital from the capital market to promote its development. According to the inherent requirements of the sustainable growth theory, integrating the characteristics of the industry by analyzing the factors influencing the financing of non-timber forest industry listed companies can provide the necessary decision-making basis for formulating financing strategies for the non-timber forest industry listed companies. 【Method】We constructed evaluation indexes of financing strategies based on the hypotheses proposed. We applied a random effect model of 105 panel data of 21 non-timber forest industry listed companies in China to analyze the significance of factors influencing the financing. 【Result】The random effect model test results showed that the logarithm of the total assets, total asset turnover, operating profit margin and return on equity (ROE); t-statistics of 5.318 1, 3.197 1, 2.310 8 and -2.684 8, respectively, explained the level of the financing of the non-timber forest listed companies and were positively correlated with operation ability and competitiveness, but negatively correlated with company profitability. The effect of capital mortgage value, debt paying abilities and internal accumulation ability was not significant. 【Conclusion】We found that the financing structure of the non-timber forest industry listed companies in China was dominated by exogenous financing and supplemented by endogenous financing. The external financing structure was not balanced as companies preferred equity over debt. The overall asset-liability ratio was not high. The actual growth rate was higher than the sustainable growth rate during the rapid development of the industry. The company profitability had a significant impact on endogenous financing capacity, while the company size and cash flow management were also important factors.

Key words: financing, non-timber forest industry, listed company, influencing factors