With the empirical data of state-owned listed companies on Shanghai and Shenzhen Stock Exchanges from 2000 to 2012 as the research object, we examine the relationship between CEO forced turnover and the performance of state-owned listed Chinese companies when they have multiple objectives. The result shows that: First, there existsa anegative relationship between the level of pre-turnover profitability and CEO forced turnover when firms are incurring financial losses, but there exists no such relationship when they are making profits. Second, there is an improvement in post-turnover profitability in loss-making firms, but no such improvement in profit-making firms.