An empirical study of the world's oldest airline company who filed bankruptcy during COVID-19 pandemic
by Reena Agrawal; Rohit Raj; Vimal Kumar; Ajay Jha
International Journal of Knowledge Management in Tourism and Hospitality (IJKMTH), Vol. 3, No. 3, 2024

Abstract: The financial indications that Avianca Holdings SA neglected or failed to control between 2013 and 2019 were the subject of this study. Based on secondary information gathered from the company's annual reports, an exploratory study was conducted. The company's annual reports were multi-dimensionally examined using methods and instruments for financial analysis. The findings of this study show that various serious problems existed within the corporation and that the COVID-19 epidemic was not the only factor that contributed to the bankruptcy of the oldest airline in the world. The financial statements of Avianca Holdings SA revealed 15 troubling indicators that the corporation had ignored. Since the past seven years, all 15 indicators, including total operating revenue, total operating expenses, operating profit, profit after tax, and retained earnings, have been significantly negative. Amid the chaos caused by the COVID-19 pandemic, the aviation industry took the most blow. As a result, the oldest airline in the world, which had already been suffering from financial difficulties for the previous seven years, chose to declare bankruptcy.

Online publication date: Tue, 30-Jan-2024

The full text of this article is only available to individual subscribers or to users at subscribing institutions.

 
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.

Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.

Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Knowledge Management in Tourism and Hospitality (IJKMTH):
Login with your Inderscience username and password:

Username:        Password:          Forgotten your password?

Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.

If you still need assistance, please email subs@inderscience.com