The Case Study Air France-KLM is divided in two parts:
- A Financial Analysis of the company based on years 2017, 2018, and 2019. Financial Analysis includes: Margins, EBIT, EBITDA, Operating working capital, Net Debt, Net Income, ROE, ROA, Free cash flow, etc.
- A Financial Valuation of the company based on years 2019 and 2020. Financial Valuation was performed with EBITDA Multiple method applied on a scope on 5 similar companies.
- From Financial Analysis, the company had a high operational stability which is reflected in a good operating performance and the ability to meet financial requirements. However, the company's financial structure was unstable, with a high level of debt and a risk to its long-term solvency. Stable resources had to be strengthened in order to restore financial profitability.
- Financial Valuation takes into account the year 2020 marked by a decline in performance due to the covid-19 crisis. From the precedent Analysis, we have seen that the company finances weren't strong enough to resist such a crisis. The final value of the company obtained by weighting the years 2019 and 2020 is 10 714 million euros.
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