ANALYSIS OF THE FINANCIAL PERFORMANCE OF AIRLINE COMPANIES IN STAR ALLIANCE IN THE PERIOD 2018-2022 USING LOPCOW-TOPSIS METHODS

Year 2024, Volume: 24 Issue: 4, 531 - 562, 01.11.2024

İbrahim Yavuz

https://doi.org/10.21121/eab.20240404

Abstract

This study aims to comparatively evaluate the financial performance of the airlines included in Star Alliance for the period 2018-2022 for pre-COVID-19, COVID-19 and post-COVID-19 periods. For the performance evaluation, 5 criteria and a total of 9 financial performance ratios were used. LOPCOW method was used to determine the criteria (importance) weights of the calculated financial performance ratios and TOPSIS method was used to determine the performance rankings. According to the results of LOPCOW analysis, the most important criterion was determined as net profit/total assets (PR3) for 2018, net profit/total equity (PR2) for 2019 and 2021, short-term debt/total assets (FSR3) for 2020 and net profit/net sales (PR1) for 2022. The criterion with the lowest importance weight is net balance sheet position/equity (CA) for 2018, 2019 and 2021, net sales/ current assets (AT) for 2020, and short-term debt/total assets (FSR3) for 2022. According to TOPSIS performance evaluation results, the best performing airline was Shenzhen Airlines in 2018, 2019 and 2020, Thai Airways International in 2021 and Aegean in 2022. The airline that ranked last in the performance ranking was Croatia Airlines in 2018, Asian Airlines in 2019, Thai Airways International in 2020, Air Canada in 2021 and Air China in 2022.

Keywords

Star Alliance Airlines, Financial Performance, Multi-Criteria Decision Making Techniques, LOPCOW, TOPSIS

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