Research On DF Airline Financial Risk Evaluation And Control Study

With the complex evolution of the international situation and the national economy entering a new normal,China’s economy,trade and tourism industries are booming,and the air transportation industry is also accelerating with the pace of the times.The air transportation industry is a basic and pioneering industry related to the country’s economic development and people’s daily travel,and plays a vital role in our economy.However,in recent years,affected by international politics,economic situation,jet fuel price,exchange rate changes and other factors,the shipping industry is also facing great challenges.Especially,factors such as Sino-US trade friction,global outbreak of New Crown Pneumonia and Russia-Ukraine war have made airlines face huge financial risks.Based on the current business environment of airlines,the thesis argues that it is of great practical importance to analyze their financial risks and explore the control measures for the risks.Based on this,the thesis summarizes the existing research results and reviews the current status of the research by sorting out the background,significance and the current status of domestic and foreign research;outlines the concept of financial risk and related theoretical foundations;introduces the basic situation of DF Airlines as a case object and identifies the risks of the company based on financial indicators,including financing risk,investment risk,operational risk,cash flow risk and exchange rate risk.The evaluation model is constructed by applying hierarchical analysis and improved efficacy coefficient method,and the evaluation level and results are used to provide the managers with measures to deal with and control financial risks.From the evaluation results,it can be concluded that DF Airlines is in a deadlock of exhausted debt servicing,weak development,and stagnant profitability,and needs to reflect and improve on capital structure and capital flow,national policies and strategic layout,market consumption and its own competitiveness,and formulate relevant feasible plans to optimize the existing business strategies,from promoting a comprehensive strategic layout,improving internal control management,strengthening aviation fuel cost control,and innovating multiple ways to increase revenue.A series of recommendations are made in terms of promoting the overall strategic layout,improving internal control management,strengthening fuel cost control and innovating multiple ways to increase revenue.The paper will help DF Airlines to have a deeper understanding of its own financial situation,provide some guidance for the evaluation and control of its financial risk,and give some reference value for other airlines.