Air Asia Financial Analysis
1.0 Executive Summary
Malaysia Airline System Berhad (MAS)is a group having several businesses organization includes Malaysia Airlines, MAS Cargo, Firefly, MASwings, MAS aerospace and so on. Other businesses which are under MAS are hotel operations, catering, computerized reservation services, coach transportation, trucking and warehousing services, retailing of goods, terminal charges and tour and travel related activities(Malaysia Airline System Berhad, 2010). Malaysia Airlines had won awards of ‘5-Star Airline’ and ‘World’s Best Cabin Staff’ from Skytrax. It were also recognized as ‘Asia’s Leading Airline’ and the ‘Best Airline in SoutheastAsia’( Malaysian Airline System Berhad, 2011). MASkargo meanwhile was recognized as the ‘Best Air CargoCarrier in Asia’ at the 2009 while Malaysian Aerospace Engineering(MAE), Repair and Overhaul (MRO) arm wasawarded the ‘2009 Best Asia-Pacific Airline MRO Operation’by two leading magazines in the industry( Malaysian Airlines System Berhad,2010). Furthermore, Fireflywas recognized as the Best Value Airline of The Year Award in year 2010.
In deciding whether or not to purchase shares in a company, a potential shareholder who applies the fundamental approach to share investment analysis will be particularly interested in forecasting the future level of profitability of the company, and the degree of risk to the associated cash flows (Viney, 2003). Profitability ratio, efficiency ratio, gearing ratio, liquidity ratio, investment ratio and price earnings ratio was done as a first part in the assignment to understand MAS financial performance in year 2009 and 2010.
Besides, my research shows that MAS is using as bank service, finance lease, issuing ordinary shares and preference shares to finance its liability.In this report, Pest analysis includes political, economical, social cultural and technological environment was done to evaluate the macro environment of MAS and to analyze the impact of these environment on MAS. All these
Malaysia Airline System Berhad (MAS)is a group having several businesses organization includes Malaysia Airlines, MAS Cargo, Firefly, MASwings, MAS aerospace and so on. Other businesses which are under MAS are hotel operations, catering, computerized reservation services, coach transportation, trucking and warehousing services, retailing of goods, terminal charges and tour and travel related activities(Malaysia Airline System Berhad, 2010). Malaysia Airlines had won awards of ‘5-Star Airline’ and ‘World’s Best Cabin Staff’ from Skytrax. It were also recognized as ‘Asia’s Leading Airline’ and the ‘Best Airline in SoutheastAsia’( Malaysian Airline System Berhad, 2011). MASkargo meanwhile was recognized as the ‘Best Air CargoCarrier in Asia’ at the 2009 while Malaysian Aerospace Engineering(MAE), Repair and Overhaul (MRO) arm wasawarded the ‘2009 Best Asia-Pacific Airline MRO Operation’by two leading magazines in the industry( Malaysian Airlines System Berhad,2010). Furthermore, Fireflywas recognized as the Best Value Airline of The Year Award in year 2010.
In deciding whether or not to purchase shares in a company, a potential shareholder who applies the fundamental approach to share investment analysis will be particularly interested in forecasting the future level of profitability of the company, and the degree of risk to the associated cash flows (Viney, 2003). Profitability ratio, efficiency ratio, gearing ratio, liquidity ratio, investment ratio and price earnings ratio was done as a first part in the assignment to understand MAS financial performance in year 2009 and 2010.
Besides, my research shows that MAS is using as bank service, finance lease, issuing ordinary shares and preference shares to finance its liability.In this report, Pest analysis includes political, economical, social cultural and technological environment was done to evaluate the macro environment of MAS and to analyze the impact of these environment on MAS. All these
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