British airways financial statements 2012. British Airways Financial Statements Report Example 2022-12-08

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British Airways is a major international airline headquartered in Waterside, Harmondsworth, England. The company was founded in 1974 and has since become one of the largest and most well-known airlines in the world, serving customers in over 180 countries.

In 2012, British Airways released its financial statements for the year, which showed the company's financial performance and provided insight into its operations. According to the statements, British Airways had a revenue of £9,919 million in 2012, which was an increase of 2.3% from the previous year. This revenue was generated primarily through ticket sales, cargo operations, and other related services.

One of the key financial indicators for any company is its profit margin, which reflects the percentage of revenue that is converted as profit. In 2012, British Airways had a profit margin of 4.7%, which was a decrease from the previous year's margin of 5.3%. This decrease was attributed to a number of factors, including increased fuel costs and competition in the airline industry.

British Airways also reported a net profit of £387 million in 2012, which was a decrease of 5.6% from the previous year. This decrease was also largely due to increased fuel costs and competition. Despite this decrease, the company's net profit was still relatively strong, and British Airways continued to be a financially stable and profitable company.

In terms of assets, British Airways had a total of £9,837 million in 2012, which was an increase of 3.4% from the previous year. The company's assets included a fleet of over 280 aircraft, as well as other physical assets such as terminals and maintenance facilities.

British Airways also had a strong balance sheet in 2012, with a debt-to-equity ratio of just 0.45. This ratio reflects the amount of debt the company has relative to its equity, and a low ratio is generally considered to be a good sign of financial stability.

Overall, the financial statements for British Airways in 2012 showed the company to be a financially stable and profitable enterprise, despite facing challenges such as increased fuel costs and competition in the industry. The company's strong revenue and assets, along with its low debt-to-equity ratio, indicated that it was well-positioned to continue its success in the years ahead.

British Airways Financial Statements Report Example

british airways financial statements 2012

In 2010 it revealed the double whammy of the volcanic ash cloud from Iceland and cabin crew strikes. Still, the company is able to run its business effectively. Fixed assets somehow depend on the sale of the company. The alliance and combined strategy will allow them to lead the competitive market. Horizontal Common Size Analysis Table 1 represents the horizontal common size analysis for the three consecutive years of consolidated statement of income. Internal users of financial statements include the shareholders owners , employees, and management. It is a good sign for the company.

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Financial Analysis: British Airways plc

british airways financial statements 2012

This ratio is a very flexible ratio. External users of financial statementsExternal users of the financial statements include investors, regulatory bodies, creditors, and customers. The financial information about the company is helpful in determining whether they will continue to receive their pay and bonuses in the future or not. . To ensure that British Airways recovered from the slump experienced since 1998, the management announced a new strategy in 2005 with three key elements. Table 2 shows the vertical common size analysis using total assets as base. .

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British Airways plc: net profit 2011

british airways financial statements 2012

The company has potential non-current assets reserve to apply cost efficiency in its productive functions. London: British Airways Plc. It is based at the busiest international airport in the world named Heathrow Airport withholding 42% of land slots. Companies should prepare their financial statements in an acceptable manner so that they can be compared with the previous year's statement and with the statements of other companies. The company declared the dividend in 2013 for the year 2012 but did not give it to the shareholders. .

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Free Report On Annual Report British Airways

british airways financial statements 2012

The policy of the company is to achieve the goal of expansion. This is really not a good sign for the company. Expansion Plans British Airways believe in expansion and makes plans to fulfill the goal. Total Assets Turnover £m Years 2009-2010 2008-2009 2007-2008 Sales 7994 8992 8753 Total Assets 10194 10148 11038 Proportion 0. . They use financial statement information to evaluate the financial position of the organization so that they can make the necessary changes within the organization to improve the expected results. .

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(PDF) British Airways Plc Annual Report and Accounts Year ended 31 December 2013 Contents

british airways financial statements 2012

The quick ratio is increasing for two consecutive years from 2006. This ratio helps to calculate that average in what time the company receives money from debtors. The revenue generation strategies, acquiring different aircrafts and allies lead the company to overcome any hazardous situation in future. Operating Ratio £m Years 2009-2010 2008-2009 2007-2008 Operating Expenses 8225 9212 7880 Net Sales 7994 8992 8758 Proportion 1. The company has variety of resources including cash reserves and cash equivalent to mitigate the risks that are likely to hit the profitability.

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Financial Ratio Analysis of British Airways

british airways financial statements 2012

The company serves more than 150 top destinations of the world and carries about 32 million passengers on average annually. Financial Reporting and Analysis: Using Financial Accounting Information. Between 2011 and 2021, the annual net profit of British Airways plc fluctuated. The company is providing its services in above 400 destinations in different parts of the world. Gross profit is the margin on sales before deducting tax.

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British Airways plc: annual revenue by country 2012

british airways financial statements 2012

Table of contents Introduction British Airways is the largest international airline in the world. Sometimes the company does not pay dividends to its shareholders. . Another significant value seen is the decline of operating lease costs of the airline. So the company decided to get merged with Iberia.

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IAG

british airways financial statements 2012

It shows the overall strength of the organization. Another expansion is launched in South Africa. Conclusion After analyzing ratios it concludes that British Airways pass through lots of ups and downs. But after merging with Iberia in April 2010 British Airways starts to deal with profits which is a good sign for the company. It is an important ratio for any company. Another thing that could be noticed that the company had increased its cash reserves from 419 million Euros in the period of one year.

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