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The information content of earnings releases by global airlines

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  • Gong, Stephen X.H.
  • Firth, Michael
  • Cullinane, Kevin

Abstract

This paper provides a systematic assessment of the usefulness of earnings releases by global airlines. Utilizing a standard event study methodology, it is found that the sample as a whole does not possess significant information content. The information content of earnings is found to be related to the size of the releasing firm but no clear differences are detected for airlines from different accounting clusters. Several possible explanations are offered for the lack of strong earnings information content in the context of global airlines.

Suggested Citation

  • Gong, Stephen X.H. & Firth, Michael & Cullinane, Kevin, 2006. "The information content of earnings releases by global airlines," Journal of Air Transport Management, Elsevier, vol. 12(2), pages 82-91.
    • Handle: RePEc:eee:jaitra:v:12:y:2006:i:2:p:82-91
    DOI: 10.1016/j.jairtraman.2006.01.001
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    Cited by:

    1. Maneenop, Sakkakom & Kotcharin, Suntichai, 2020. "The impacts of COVID-19 on the global airline industry: An event study approach," Journal of Air Transport Management, Elsevier, vol. 89(C).
    2. Stephen X. H. Gong, 2008. "Event Study in Transport Research: Methodology and Applications," Transport Reviews, Taylor & Francis Journals, vol. 29(2), pages 207-222, May.
    3. Nicolau, Juan Luis & Sharma, Abhinav, 2022. "A review of research into drivers of firm value through event studies in tourism and hospitality: Launching the Annals of Tourism Research curated collection on drivers of firm value through event stu," Annals of Tourism Research, Elsevier, vol. 95(C).
    4. Daniela Penela & Miguel Palma, 2023. "Risk Factor Disclosures in the US Airline Industry Following the COVID-19 Pandemic," Risks, MDPI, vol. 11(2), pages 1-24, February.
    5. Wang, Huabing & Gao, Xiang, 2020. "Oil price dynamics and airline earnings predictability," Journal of Air Transport Management, Elsevier, vol. 87(C).

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