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Analysis of Financial Statements
Analysis of Financial Statements
Analysis of Financial Statements
Statements
GROUP MEMBERS
1. JAWAD 2. JEWEL 3. BOSE 4. KISAN 5. NANI 6. SALAH 7. LEVI
INTRODUCTION
• This analysis compares financial status of EasyJet with WizzAir from
2016 to 2018.
• Profitability ratios
• Liquidity ratios
• Efficiency ratios
Horizontal analisys
2018 2017 2016
Revenue
EasyJet 17% 8% -0.35%
WizzAir 23% 10%
Gross profit
EasyJet 23% 9% 3%
WizzAir 25% 12%
EBIT
EasyJet 15% -24% -26%
WizzAir 12% 27%
Vertical analisys
2018 2017 2016
Gross profit/Revenue
EasyJet 40% 40% 40%
WizzAir 37% 36% 35%
EBIT/Revenue
EasyJet 7% 7% 11%
WizzAir 15% 16% 14%
ROE
2018 2017 2016
ROE
EasyJet 40% 40% 40%
WizzAir 37% 36% 35%
Profitability ratios
2018 2017 2016
Return on capital employed
EasyJet
WizzAir
Margin
EasyJet 6% 6% 9%
WizzAir 14% 16% 13%
Liquidity ratios
2018 2017 2016
Current assets ratio
EasyJet 0.97 1.04 0.92
WizzAir 1.87 1.84 1.70
Debtor/sales ratio
EasyJet
WizzAir
2018 2017 2016
Trade debtor collection period (days)
EasyJet 628 467 1005
WizzAir 163 276 186
Creditors/purchases ratio
EasyJet 62% 65% 67%
WizzAir 74% 76% 76%