Air Canada Inc (AC.A) : Company Profile and SWOT Analysis by WMIntelligence

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This SWOT analysis and company profile is a crucial resource for industry executives and anyone looking to gain a better understanding of the company's business.

WMI's 'Air Canada Inc (AC.A) : Company Profile and SWOT Analysis' report utilizes a wide range of primary and secondary sources, which are analyzed and presented in a consistent and easily accessible format.

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									Air Canada Inc.

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Air Canada Inc.                                                         Financial Snapshot

                                                                        Operating Performance
Fast Facts
Headquarters Address
                                    Air Canada Centre, Dorval, H4S      The company reported revenue of US$12,236 million
                                    1Z3,Canada                          during the fiscal year 2012 (2012). The company's
                                                                        revenue grew at a CAGR of 3.77% during 2008–
Telephone                           + 15144225000
                                                                        2012, with an annual growth of 4.32% over 2011. In
                                                                        2012, the company recorded an operating margin of
Fax                                 + 15144225789                       3.65%, as against 1.54% in 2011.

Website                             www.aircanada.com
                                                                        Revenue and Margins
                                    AC.A, Toronto Stock ExchangeAC.B,
Ticker Symbol, Stock Exchange
                                    Toronto Stock Exchange

Number of Employees                 24,500

Fiscal Year End                     December

Revenue (in US$ million)            12,236




SWOT Analysis

Strengths                           Weaknesses                          Return on Equity

Strong market position              Limited liquidity position          The company recorded a return on equity (ROE) of
                                                                        0.00% for 2012, as compared to its peers, WestJet
                                                                        Airlines Ltd. (Ticker: WJA), Republic Airways Holdings
Strong operating performance                                            Inc. (Ticker: RJET) and Exchange Income
                                                                        Corporation (Ticker: EIF), which recorded ROEs of
Opportunities                       Threats                             16.46%, 9.99% and 8.61% respectively. The
                                                                        company reported an operating margin of 3.65% in
                                                                        2012.
Growth in global airline traffic    Entry of low-cost carriers

Positive outlook for Canadian T&T                                       Return on Equity
                                    Government regulations
industry

Strategic growth initiatives        Increasing fuel prices




                                                                        Liquidity Position

                                                                        The company reported a current ratio of 0.94 in 2012,
                                                                        as compared to its peers, WestJet Airlines Ltd.,
                                                                        Republic Airways Holdings Inc. and Exchange Income
                                                                        Corporation, which recorded current ratios of 1.38,
                                                                        0.85 and 1.90 respectively. As of December 2012, the
                                                                        company recorded cash and short-term investments
                                                                        of worth US$2,046 million, against US$511 million
                                                                        current debt. The company reported a debt to equity
                                                                        ratio of -1.16 in 2012 as compared to its peers,
                                                                        WestJet Airlines Ltd., Republic Airways Holdings Inc.
                                                                        and Exchange Income Corporation, which recorded
                                                                        debt to equity ratios of 0.50, 4.13 and 0.78
                                                                        respectively.




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Air Canada Inc. - SWOT Profile                                                                                  Page 1
Air Canada Inc.

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TABLE OF CONTENTS

1     Business Analysis ................................................................................................................................... 5
    1.1       Company Overview ......................................................................................................................................... 5
    1.2       Business Description ....................................................................................................................................... 6
    1.3       Major Products and Services ........................................................................................................................... 7
2     Analysis of Key Performance Indicators ............................................................................................... 8
    2.1       Five Year Snapshot: Overview of Financial and Operational Performance Indicators ....................................... 8
    2.2       Key Financial Performance Indicators .................................................................
								
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