Margins
Finnair's profitability margins were significantly impacted by fuel costs, which have been rising due to various factors including higher capacity and increased costs related to environmental regulation. The airline's efforts to mitigate these effects through hedging strategies have only partially offset the negative impact on its bottom line. As a result, Finnair's operating expenses, excluding fuel, have also seen an increase, further eroding its profitability margins.
Solvency
In Q2 2026, Finnair's gearing is at a relatively low level of 57.7%. Looking ahead, it appears that gearing will continue to decrease over the next two years, reaching -28.8% in Q4 2027. The average gearing for the period is around 140.8%, indicating significant fluctuations throughout the time frame.
Return on Equity and Assets
Finnair's Return On Equity (ROE) in Q2 2026 is 13.1%. However. The ROE is expected to increase from Q2 2026 to Q4 2027, with values ranging from 13.1% in Q2 2026 to 26.4% in Q4 2027. The average ROE across all periods is -10.3%.
Finnair's Return On Assets (ROA) in Q2 2026 is expected to be around 2.6%. Looking ahead, we anticipate a steady increase in ROA over the next two years, reaching approximately 8.0% by Q4 2027. The average ROA for the period is roughly 1.7%.
Asset Turnover Ratio
Asset Turnover Ratio is calculated as revenue / total assets.
Disclaimer
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