TURKISH AIRLINES
I calculated the financial analysis ratios about Turkish Airlines at the period between 2004-2007 on excel worksheet. I found the results according to these formulas;
A ) Profitability Ratios;
1) Profit rate = [pic]
Profit rates are fluctuating between 2004-2007 for six months. When we go to the next first six months, we see that the ratios are usually decreasing, but ratios are increasing in the second halfs of years. Only when we go to first half of 2007 year from the end of the 2006, we see that the profit rate is increasing.
Generally, at the begining of 2004, the profit rate is “0,056054251”; at the end of 2007, the profit rate is “0,145605541”. We can see that the profit rate increased between 2004 to 2007, this is a positive result for the company.
2) ROA(return on assets) = [pic]
ROAs are acting the same like “profit rate” between 2004-2007. Generally; at the beginning of 2004, ROA is “0,021250977”; at the end of 2007, the ROA is “0,133764378”. We can see that ROA increased between 2004 to 2007, this is a positive result for the company. But the ROAs are low, because the company can’t be effective to active the assets and their potential.
3) ROE(return on equity) = [pic]
ROEs are acting the same like “profit rate” and “ROA” between 2004-2007. Generally; at the beginning of 2004, ROE is “0,068550067”; at the end of 2007, the ROE is “0,345721963”. We can see that ROE increased between 2004 to 2007, this is a positive result for the company. But if we use the formula, which is ( [pic]), we can see that the ratios are decreasing in the period of 2004-2007. The rate at the beginning of 2004 is “3,225737226”, this mean that the company use 3,225 assets for a unit stock. The rate at the end of 2007 is “2,584559262”, this mean that the company use 2,584 assets for a unit stock. Only one unit asset is financed from stock, the others are financed with debts, with this ways...