Comparative Financial Analysis of Ryan Air & Easy Jet for Financial Assignment

Comparative Financial Analysis of Ryan Air & Easy Jet for Financial Years ending 2010, 2011 and 2012 - Assignment Example Its headquarter was moved to Geneva which became the first base outside UK. Today EasyJet has in its service 175 aircrafts over 400 routes in 27 countries. In 2009, EasyJet catered to passengers with 50% having passports of countries other that UK. In the year 2010 EasyJet faced a number of major problems that posed a threat to its efficient service. There was the eruption of Eyjafjalla volcano that produced ash which induced problems in European airspace. Then there were incidents like heavy snowfall and major ATC industrial activities. All these along with various functional problems provide immense challenge to the performance level of EasyJet. It was the integrity and dedication towards work that stimulated the employees of EasyJet to continue to provide uninterrupted world class service. EasyJet is efficiently capable to take in its wings the opportunities available for consistently increasing profit in European short-haul aviation. Along with this growth, EasyJet stresses on co st reduction strategies and embracing pathways for more revenue. All these elements have the potential to ensure continuous growth of functional cash making. In the beginning of 2011 the Board decided to start the practice of dividend payments during profitable phases without ignoring the fact that the company always need to have a strong financial base with a prudent balance sheet. This will be a stimulating factor for the shareholders in profitable years even as the company continues to enjoy market share (EasyJet: Annual reports & accounts 2011, pp.4-7). Ryanair Ltd. is an Irish airline was established in the year 1984 by the Ryan family with the assistance of only 25 people. Ryanair’s inaugural flight had its daily route from Waterford in Ireland to London Gatwick. The first operating aircraft was a 15-seater Bandeirante that could carry 5,000 passengers. Headquarter of the company is situated at Dublin Airport. Focus on