Financial Analysis
...– Assignment
Note : All figures are taken from the relevant year’s financial statement and
not from restated figures from following year’s financial statements
Contents Page
1.0 Introduction 3
2.0 Strategic Analysis (Task 1) 4
2.1 Analytical Objectives 4
2.2 Value Driver Analysis 5
3.0 Strategic Pre-Evaluation (Task 1) 5
3.1 Current Economy 6
3.2 SWOT Analysis 7
3.3 PEST Analysis 8
4.0 Analytical Questions (Task 1) 9
5.0 Financial Analysis (Task 2) 9
5.1 Margin Analysis 9
5.2 Ratio Analysis 10
6.0 Evaluation of the Organisations Performance (Task 3) 16
7.0 Forecasted Financial Statements (Task 4) 24
7.1 Income Statement 24
7.2 Balance Sheet 25
7.3 Cash Flow Statement 26
8.0 Conclusion 27
Appendix 28
Referencing / Bibliography 31
1.0 Introduction
SriLankan Airlines in the national carrier of Sri Lanka. Currently SriLankan Airlines operates to fifty one destinations in twenty eight countries in four main regions, namely Europe, Middle East, Asia and the Indian sub-continent using Colombo (Sri Lanka) as its operating hub.
• Started operations in 1979 under the name ‘Air Ceylon’ and later named ‘Air Lanka.
• Entered in to a strategic partnership with Emirates in 1998 and was re-branded as ‘SriLankan Airlines.
• Under the agreement signed for 10 years, all management is handled by Emirates.
• The Sri Lankan Government is the majority stakeholder, holding 51.05% of the stake.
• Other stakeholders are Emirates with a 43.63% stake and the Employees with 5.32% stake.
• The management agreement is set to...
View Full Essay
