Originally Posted by
Bula
AerialPerspective you are correct, if however, a little myopic. Of course it's creative accounting to bring forward asset depreciation, however it's not negative in saying that. Its a financial management tool.
I'm sure can you can agree it is never that simple.
What The, Have a look at VAH. Year on year increasing revenue yet profits are few and far between due to being heavily leveraged (like all airlines), and decreasing shareholder equity (massive share and cash deal with Hinan Group).
It's not that simple either.
I agree Bula, none of it is that simple. In VA's case, cashflow seems to come from endless injections of billions of dollars from the owners (or most of them).