Author(s)

Dayuan Wei

Corresponding Author

Dayuan Wei

ABSTRACT

The improvement of the human’s life quality has facilitated the growth of tourism, and consequently boomed the hotel industry in the past decades. Nevertheless, the outbreak of COVID-19 pandemic in 2020 has severely struck the tourism as well as the hotel industry, contributing to a large change for hotel companies’ financial performance and indicators between the previous and present periods. In order to present the variation of hotel companies’ financial performance, this article examines their financial condition by the application of the ratio analysis and also conducts a case study of the research into the Hilton company to show a practical case under this special circumstance. The results illustrate that the profitability became weaker in the whole hotel industry with no significant liquidity issues arising in this period but the industry might have solvency risks in the future.

KEYWORDS

COVID-19 pandemic, ratio analysis, case study