SriLankan Airlines - Strategic Options Review
Nyras were retained to carry out a strategic options review of viability and opportunities for SriLankan Airlines, a state-owned flag carrier. The Sri Lankan government had set a requirement for the business to deliver break-even profitability within two years, and the airline asked Nyras to help address issues with both financial performance and excess future aircraft orders.
Nyras’ team of strategic, commercial and finance experts worked closely with the airline management, Board of Directors and senior government officials to identify a number of realistic and achievable strategic options, addressing revenue, costs, balance sheet and aircraft commitments with potential solutions provided for each.
When analysis was complete, our team, together with the SriLankan Airline’s executive committee, prepared initial presentations containing strategic options, findings and recommendations for the Board of Directors, and then to government ministers. Following these meetings, Nyras was asked to write a detailed report with the evidence, findings and recommendations of each strategic option, complete with financial evaluations in terms of profit, cash flow and balance sheets.
This report enabled the government to clearly understand the underlying performance and issues facing their national airline, and to implement a number of critical restructuring initiatives.