Air China Ltd.
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
Financial Highlights
| Dec 2022 | HKD | USD |
| Revenue | 61,513.44M | 7,855.63M |
| Gross Profit | -41,743.27M | -5,330.86M |
| Operating income | -45,068.49M | -5,755.51M |
| Income before tax | -53,232.31M | -6,798.08M |
| Net income | -44,907.44M | -5,734.94M |
| EBITDA | -20,376.31M | -2,602.17M |
| Diluted EPS | -3.26 | -0.41 |
| Dividends Per Share | 0 | 0 |
| Total Assets | 331,185.07M | 42,432.69M |
| Total liabilities | 307,014.47M | 39,335.86M |
| Total equity | 26,471.03M | 3,391.56M |
| Operating cash flow | -- | -- |
| Currency in HKD | Currency in USD |
Historical Data
| Dec 2018 | Dec 2019 | Dec 2020 | Dec 2021 | Dec 2022 | |
| Revenue | 162,002.97M | 154,417.52M | 78,100.90M | 89,826.38M | 61,513.44M |
| Gross Profit | 18,899.33M | 19,449.34M | -12,988.60M | -20,444.45M | -41,743.27M |
| Operating income | 12,132.91M | 12,008.77M | -16,947.14M | -24,887.93M | -45,068.49M |
| Income before tax | 10,930.40M | 9,802.71M | -14,016.11M | -25,321.16M | -53,232.31M |
| Net income | 8,706.51M | 7,280.07M | -16,184.94M | -20,048.89M | -44,907.44M |
| EBITDA | 29,223.87M | 36,137.47M | 5,985.54M | 342.55M | -20,376.31M |
| Diluted EPS | 0.63 | 0.53 | -1.17 | -1.45 | -3.26 |
| Dividends Per Share | 0.11 | 0.04 | 0 | 0 | 0 |
| Total Assets | 277,856.12M | 329,097.89M | 336,756.94M | 364,999.45M | 331,185.07M |
| Total liabilities | 163,252.47M | 215,295.23M | 236,982.01M | 283,932.57M | 307,014.47M |
| Total equity | 106,232.63M | 104,542.44M | 91,936.11M | 75,070.04M | 26,471.03M |
| Operating cash flow | 34,723.31M | 39,004.95M | -4,214.27M | 8,566.51M | -- |
| Dec 2018 | Dec 2019 | Dec 2020 | Dec 2021 | Dec 2022 | |
| Revenue | 20,670.11M | 19,708.18M | 10,069.74M | 11,556.44M | 7,855.63M |
| Gross Profit | 2,411.38M | 2,482.30M | -1,674.65M | -2,630.24M | -5,330.86M |
| Operating income | 1,548.05M | 1,532.66M | -2,185.03M | -3,201.91M | -5,755.51M |
| Income before tax | 1,394.62M | 1,251.11M | -1,807.13M | -3,257.64M | -6,798.08M |
| Net income | 1,110.87M | 929.15M | -2,086.76M | -2,579.35M | -5,734.94M |
| EBITDA | 3,728.70M | 4,612.19M | 771.73M | 44.07M | -2,602.17M |
| Diluted EPS | 0.08 | 0.06 | -0.15 | -0.18 | -0.41 |
| Dividends Per Share | 0.01 | 0.00 | 0 | 0 | 0 |
| Total Assets | 35,489.04M | 42,236.44M | 43,430.93M | 46,817.01M | 42,432.69M |
| Total liabilities | 20,851.34M | 27,631.00M | 30,563.14M | 36,418.88M | 39,335.86M |
| Total equity | 13,568.51M | 13,416.98M | 11,856.83M | 9,628.93M | 3,391.56M |
| Operating cash flow | 4,430.38M | 4,978.17M | -543.35M | 1,102.10M | -- |
Valuation Measures
| Dec 2022 | |
| PER | -- |
| ROA | -12.90% |
| ROE | -88.45% |
| Operating margin | -73.26% |
| Profit margin | -73.00% |
Management
- President & Executive Director: Ming Yuan Wang
- Chief Financial Officer: Feng Xiao
- Chief Engineer: Jiliang Ni
- Vice President: Wei Xi Chai
- Vice President: Zhi Yong Chen
Shareholders
- Cathay Pacific Airways Ltd. (57.7%)
- China State-Owned Assets Supervision & Admn Commission (4.9%)
- GF Fund Management Co., Ltd. (2.1%)
- The Vanguard Group, Inc. (1.7%)
- E Fund Management Co., Ltd. (1.4%)
- Zheshang Fund Management Co., Ltd. (0.9%)
- Norges Bank Investment Management (0.8%)
- BlackRock Fund Advisors (0.7%)
- Schroder Investment Management (Hong Kong) Ltd. (0.5%)
- HSBC Global Asset Management (UK) Ltd. (0.3%)
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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Competitors
- China Southern Airlines Company Limited Class H
- Cathay Pacific Airways Limited
- China Airlines Ltd.
- Spring Airlines Co., Ltd. Class A
- Asia Aviation Public Co., Ltd.
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