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Transportation

Air China

  • 7.23 HKD
  • +0.18
  • +2.55%
  • China
    May 23, 2019
  • Ticker
    HKG(753)
  • Prev. close
    7.05
  • Market cap (HKD)
    125,734.87M
  • Market cap (USD)
    16,017.38M
  • Shares
    14,524.81M

Company Background

Air China, a state-owned enterprise, is one of the country's top three carriers, alongside China Eastern Airlines and China Southern Airlines. Air China is a national flag carrier used by the country's top dignitaries, including the president and premier, when they fly domestically and internationally.

The airline's predecessor was a civil aviation arm of China's air force. It was brought under direct government control in 1980. The carrier was then split up, with what is now Air China taking over the Beijing base of operations and international routes. In another round of reorganization in 2002, the spinoffs were consolidated into Air China, China Eastern and China Southern.

Air China is headquartered at Beijing Capital International Airport. It is a member of Star Alliance and has a capital tie-up with Hong Kong's Cathay Pacific Airways. It boasts the largest international network of the major Chinese airlines.

Its leading shareholder is the state-owned China National Aviation Holding. Critics say privatization and service enhancements are needed to boost Air China's competitiveness.

Business Summary

Air China Ltd. engages in the operation of airline industry. It provides aircraft engineering, food catering, airport ground handling, cargo and passenger air transportation and other airline-related services. The company was founded in 1988 and is headquartered in Beijing, China.

Financial Highlights

Dec 2018 HKDUSD
Revenue161,691.33M20,630.35M
Gross Profit24,974.64M3,186.53M
Operating income12,443.28M1,587.65M
Income before tax10,907.76M1,391.73M
Net income8,689.54M1,108.70M
EBITDA29,826.82M3,805.63M
Diluted EPS0.630.08
Dividends Per Share0.110.01
Total Assets277,923.28M35,497.62M
Total liabilities162,767.70M20,789.42M
Total equity106,299.80M13,577.09M
Operating cash flow37,689.76M4,808.87M
Currency in HKDCurrency in USD

Historical Data

 Dec 2014Dec 2015Dec 2016Dec 2017Dec 2018
Revenue 131,689.59M 134,023.74M 131,310.50M 139,595.38M 161,691.33M
Gross Profit 20,798.91M 30,418.48M 29,080.21M 23,611.98M 24,974.64M
Operating income 8,344.87M 18,017.08M 18,091.03M 11,308.19M 12,443.28M
Income before tax 5,215.64M 9,156.18M 11,914.52M 13,672.32M 10,907.76M
Net income 4,760.24M 8,355.60M 7,961.62M 8,348.70M 8,689.54M
EBITDA 22,959.80M 34,299.01M 34,012.93M 27,175.16M 29,826.82M
Diluted EPS 0.39 0.67 0.64 0.62 0.63
Dividends Per Share 0.06 0.12 0.12 0.14 0.11
Total Assets 262,048.51M 255,056.43M 250,046.69M 285,498.45M 277,923.28M
Total liabilities 186,920.69M 174,837.62M 164,048.67M 170,844.08M 162,767.70M
Total equity 67,923.70M 71,395.99M 76,841.47M 103,383.30M 106,299.80M
Operating cash flow 22,947.98M 40,351.14M 36,775.01M 30,985.47M 37,689.76M
 Dec 2014Dec 2015Dec 2016Dec 2017Dec 2018
Revenue 16,981.94M 17,287.64M 16,916.10M 17,913.34M 20,630.35M
Gross Profit 2,682.10M 3,923.66M 3,746.26M 3,029.96M 3,186.53M
Operating income 1,076.10M 2,324.01M 2,330.58M 1,451.10M 1,587.65M
Income before tax 672.58M 1,181.05M 1,534.89M 1,754.47M 1,391.73M
Net income 613.85M 1,077.78M 1,025.65M 1,071.33M 1,108.70M
EBITDA 2,960.76M 4,424.21M 4,381.72M 3,487.20M 3,805.63M
Diluted EPS 0.05 0.08 0.08 0.07 0.08
Dividends Per Share 0.00 0.01 0.01 0.01 0.01
Total Assets 33,791.56M 32,909.86M 32,250.98M 36,521.36M 35,497.62M
Total liabilities 24,103.71M 22,559.25M 21,158.97M 21,854.61M 20,789.42M
Total equity 8,758.86M 9,212.20M 9,911.00M 13,224.93M 13,577.09M
Operating cash flow 2,959.24M 5,204.87M 4,737.54M 3,976.15M 4,808.87M

Valuation Measures

Dec 2018
PER10.77
ROA3.08%
ROE8.28%
Operating margin7.69%
Profit margin5.37%

Key executives

  • Vice Chairman & Chief Executive Officer: Zhi Yong Song
  • Vice President: Wei Xi Chai
  • Vice President: Chong Xian Ma
  • Vice President: Gang Feng
  • Vice President: Xiao Hang Zhao

Shareholders

  • Cathay Pacific Airways Ltd. (57.7%)
  • China State-Owned Assets Supervision & Admn Commission (4.9%)
  • The Vanguard Group, Inc. (1.3%)
  • BlackRock Fund Advisors (1.3%)
  • Norges Bank Investment Management (0.5%)
  • Dimensional Fund Advisors LP (0.5%)
  • FIL Investment Management (Hong Kong) Ltd. (0.5%)
  • BlackRock Japan Co., Ltd. (0.4%)
  • BlackRock Advisors (UK) Ltd. (0.3%)
  • Hang Seng Investment Management Ltd. (0.2%)

Contact Details

  • Website:http://www.airchina.com.cn
  • Address: No. 30 Tianzhu Road, Airport Industrial Zone, Beijing, 101312, China
  • Phone: +86.10.61462777

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  • Zhejiang Aviation Service Co., Ltd.
  • Yunnan Airport Aircraft Maintenance Services Co., Ltd.
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Competitors

  • China Southern Airlines Company Limited Class H
  • Cathay Pacific Airways Limited
  • China Eastern Airlines Corporation Limited Class H
  • China Airlines Ltd.
  • PAL Holdings, Inc.
  • Air France-KLM SA
  • Shandong Airlines Co., Ltd. Class B
  • Turk Hava Yollari A.O.
  • Asia Aviation Public Co., Ltd.
  • Spring Airlines Co., Ltd. Class A
  • Air Canada
Last Updated on 23 May, 2019

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