Indigo Airways Success Story

There will now be a look at the profitability aspect of Qantas airways operations. The following ratios have been selected for the last two most recent years of 2015 and 2016 these are the Gross profit margin, return on equity (ROE), and Return on Assets (ROA). The Ability to make profits and secure returns for investments are key indicators of a company’s financial viability (Birt, Chalmers, Maloney, Brooks, & Oliver, 2012). This is illustrated by the large increase in earnings per share seen in the market performance section. In the data,

JetBlue Airways Corporation (JetBlue), often called “New York’s Hometown Airline,” operates in the airline industry. It was incorporated in August 1998, began service in February 2000 and by the end of 2013 had grown to become the fifth largest passenger carrier in the United States based on revenue passenger miles. According to the JetBlue website (2014) in 1999, David Neeleman announced his plans to launch a new airline, “New Air.” By the end of 2000 JetBlue had reported $100 million in revenue and by 2001 it posted a profit (JetBlue.com, 2014). Headquartered in Long Island City, New York, JetBlue is one of the leading carriers in Boston, Fort Lauderdale, Los Angeles, Orlando, and San Juan (JetBlue.com, 2014). With over 30 million passengers and more than 300,000 flights reported in 2013, JetBlue is one of the only two airlines that have reported increasing numbers in flight and passenger volumes year after year despite the adversities that exist in the airline industry (Bureau of Transportation, 2014). JetBlue is a low-cost carrier airline with high-end amenities. There are many airline companies around the world and in the United State. In fact, there are nine major low-cost carrier competitors that currently exist and operate in the United States: Spirit Airlines, Southwest Airlines, US Airways/American Airlines, Delta, United, Frontier, Alaska Airlines and Virgin America.

Both financial and management accounting are important tools in a business but both have different purposes. Financial accounting is used to present the financial health of an organization to its external stakeholder. However, management accounting is the process of preparing management reports and accounts that provide accurate and timely financial and statistical information required by managers to make day-to-day and short-term decisions. In all common businesses, shareholders generally worry about the income and loss incurred by the company but in the flight industry customer’s safety is always top priority. Besides safety, the second most important concern would be providing the passenger with an exciting travel experience at a minimal cost while maintaining a respectable profit margin that would not concern the shareholders too much.

Over 35 years ago, Rollin King and Herb Kelleher decided to create a different type of airline. They began with the simple notion: If you get your passengers to their destinations when they want to get there, on time and at the lowest possible fares, and make darn sure they have a good time doing it, people will fly your airline. They were right (Southwest Airlines, 2004)!

Airlines operates the largest fleet in the world, which the company is buying from Boeing

Air Asia leading airline was established with the dream of making flying possible for everyone. Since 2001, Air Asia has swiftly broken travel norms around the globe and has risen to become the world’s best. With a route network that spans through to over 20 countries, Air Asia continues to pave the way for low-cost aviation through our innovative solutions, efficient processes and a passionate approach to business. Together with our associate companies, Air Asia X, Thai Air Asia, Indonesia Air Asia, Philippines Air Asia and Japan Air Asia.

There is no significant increase or deduction in terms of financial performance. There is a slightly downturn showing in the franchising sales revenue from 5.19bn to 5.08bn contributed by almost the same amount of outlets. Basic earnings per share have increased from 21.78c to 23.75c whilst a decrease of 2c in dividend per share compared with 2010.

JetBlue is a company built on a focus strategy of low-priced, no-hassle ticketing and refreshingly efficient customer service. The company began with the goal to eliminate many of the complexities and asininities of commercial air travel and set a new standard for customer service. Thus far the company has flown beyond these goals and everyone's expectations while returning a handsome profit to whomever chooses to invest in this airline industry success.

The JetBlue Airways Corporation (JBLU), incorporated in Delaware in 1998, is the fifth largest passenger carrier in the U.S. based on revenue passenger miles. With an average of 800 daily flights, it serves more than 30 million passengers and provides flights to 82 destinations in the U.S., Caribbean, and Latin America (JetBlue, 2016). JetBlue’s operations are concentrated in the domestic market and generates 28% revenues from international routes. Its passenger revenues accounted for 91% of its total operating revenue. During 2013, JetBlue added seven new cities to its network. It also recorded operating revenue of $5.4 billion(Marketrealist,2016). Plus, it reached its highest net income of $168 million by increasing its diluted earnings per share by 30%, from $0.40 to $0.52, in 2012(Marketrealist,2016). The following chart below shows the current stock information on JetBlue.

In addition, Tiger Airways operations are based on high-technology, and the company is constantly striving to bring customers the best services available in the industry in terms of operational efficiency, reliability and safety.According to industry standards, the 'on-time' departure is the one that departs from the designated bay less than 15 minutes from the scheduled departure time.That means they are not only doing their every effort to ensure that their planes leave on time (and get customers there on time), but also remain in tiptop condition as well, thus, customers will always get the same great experience that have come to expect, every time.

JetBlue continues to generate positive free cash flow throughout the increasingly dragging economy. In 2005, they had taken a hit, with a loss of revenue for the first time since being incorporated in 1998…but they were able to quickly restructure and refocus. With that focus and determination, they have redeemed themselves and hurdled back into the top of the ranks with their competitors.

This paper examines the quality of earnings for major corporations. The quality of earnings is an ongoing operation of corporations and other business alike, because the value of a business is the current and future earnings of the firm (Schroeder et al, 2011). These earnings are usually updated quarterly by a firm’s financial analyst, which provide this for investors and other users of financial information to make decisions about a firm’s financial position in the market. However, there are some differences in the quality of earnings throughout various industries, countries and by competitors. This paper evaluates the quality of earnings for one major corporation for an assessment of its current and future earnings.

In 2015, JetBlue had arguably its best year in the company’s existence and more growth is

This does not mean that the business of providing air transport for passengers cannot be profitable, however, and in fact several carriers have managed to make handsome returns for shareholders and maintain significant profit margins. These companies, interestingly, do not tend to be the largest or even the strongest companies in a certain sense, operating in the industry, but rather are middle-ground players with semi-niche markets and very unique ways of doing business. The following pages will examine one such company and the internal as well as external factors that might have contributed and are contributing to its past and current success.

Virgin Atlantic Airways, founded in 1984, has grown rapidly to become one of the UK’s largest airline carriers and now serves 31 destinations