AVIA3101: AIRLINE MANAGEMENT

USEFUL RESOURCES - REFERENCES, ARTICLES & VIDEOS

WEEK 2 – AIRLINE FINANCE, ANALYSIS & PERFORMANCE BENCHMARKING

Please make a point of focusing on these readings/articles/videos for this week’s topic:

Readings from the Suggested textbooks:

1. Air Transport Management: An International Perspective by Lucy Budd (ed. 2017):-

 Chapter 11 – Airline Finance

2. The Routledge Companion to Air Transport Management by Nigel Halpern & Anne
Graham:-

Chapter 11 – Airline Economics and Finance

Articles:

Choosing financial Key Performance Indicators: the Airline Industry case (May 2011) -
https://www.researchgate.net/publication/260357466_Choosing_financial_Key_Performance_Indic
ators_the_Airline_Industry_case

The remainder of the readings, are at your leisure and interest

Articles:

The economics of airline financial performance and wider economic benefits_Brian Pearce (6 April
2018) - https://www.iata.org/en/iata-repository/publications/economic-reports/the-economics-of-
airline-financial-performance--wider-benefits/

Financial performance of top 20 airlines – Oct/Nov 2016 -

https://www.researchgate.net/publication/311361301_Financial_Performance_of_Top_20_Airlines

Videos:
The following series of short videos, review how to read airline financial statements and do
basic financial analysis.  It looks at the income statement, the balance sheet, and the cash
flow statement and covers metrics such as ROIC, EBITDA, and free cash flow. It is useful to
help you to either reinforce or refresh these concepts, without having to spend a great deal
of time re-reading up on it.

Financial Analysis for Airlines -

https://sites.google.com/a/nyu.edu/rickzenirmvideos/home/financial-analysis-for-airlines

Similarly, the following series of short videos is also useful as it covers key airline financial
concepts and terminology:
Airline Profit and Main Costs - https://www.youtube.com/watch?v=jF2IHa9CEIw

Airline Economics – basic terminology - https://www.youtube.com/watch?v=WYcE42xzTh0

Airline Pax Load Factor - https://www.youtube.com/watch?v=QdIPXvdRYkw