Analysis and Optimization Strategies for Corporate Cash Flow Quality - A Case Study of BYD Company

Against the backdrop of global economic integration and the rapid development of the new energy vehicle industry, the significance of cash flow management for enterprises is increasingly prominent. This paper takes BYD as the research object and employs the methods of literature review and case study to conduct an in-depth analysis of its cash flow quality. The research finds that BYD's operating cash flow has significantly improved with the growth in sales volume, but there are deficiencies in accounts receivable management, which affect the efficiency of cash collection. Although investment cash flow has contributed to industrial layout, large-scale capital expenditures have exerted pressure on short-term cash flow. The financing cash flow channels are diverse, but the proportion of debt financing is too high. In response to the above issues, this paper proposes optimization suggestions: in operation, strengthen cash collection management, control costs and expand profit channels; in investment, optimize project selection and risk management; in financing, optimize the financing structure, expand channels and improve the efficiency of fund utilization. This research not only provides practical guidance for BYD's cash flow management, but also offers theoretical references for enterprises in the new energy vehicle industry to address cash flow challenges and enhance competitiveness, thereby facilitating sustainable development of enterprises.