Global airlines are fast running out of cash due to Coronavirus epidemic.
Global airlines are fast running out of cash after cutting capacity by 90% or even grounding entire fleets due to the broad travel restrictions to contain the spread of the coronavirus, calling into question the survival of several firms.
The outbreak of the flu-like virus has wiped 41%, or $157 billion, off the share value of the world's 116 listed airlines, with many using up their cash so fast they can now cover less than two months of expenses, a Reuters analysis showed.
The industry's main global body, the International Air Transport Association (IATA), estimates the sector needs up to $200 billion in government support to help airlines survive.
The following charts show airlines' liquidity ratios, and their changes in cash and debt levels against core earnings:
Airlines' change in cash levels
Photo Credit: Reuters
Airline firms' net debt-to-equ ratioality
Cash on hand by region
Photo Credits: Reuters
Airline firms' debt-to-EBITDA ratios
Photo Credit: Reuters
Airline market cap
Photo Credit: Reuters
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