This paper analyzes the financial data of Ruikang Pharmaceutical from 2021 to 2023 through the Z-score model. This calculation method makes the multivariate linear discriminant analysis method proposed by the American scholar Edward Eltman. This approach evaluates the financial health of a firm by combining multiple financial indicators in a weighted manner to arrive at a composite indicator, Z-score. Systematically analyze the operation status and bankruptcy of the enterprise, so as to evaluate the potential risks that the company may face in financial aspects, and warn the possible problems in advance, so as to help the enterprise take corresponding measures to avoid risks, improve the competitiveness and sustainable development of the enterprise, and ensure the financial health and stable development of the company. It can improve the ability of pharmaceutical companies to provide high-level and high-quality services, provide reasonable fund management programs for enterprises themselves, and meet the market demand. Through the calculation and analysis results, it can be seen that there are certain financial risks in Ruikang Pharmaceutical, and Ruikang Pharmaceutical has been on the edge of bankruptcy for three years. Finally, this paper puts forward the corresponding solutions and countermeasures to improve the vitality of the company and make it develop for the better.
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