Purpose of the thesis Managerial challenges during the Covid-19 pandemic on the example of the Croatia Airlines Group is to present an analysis of the financial sustainability of operations and the challenges of managing Croatia Airlines d.d. and its affiliates in the observed time period with an emphasis on the analysis of the current crisis caused by the pandemic of a new strain of coronavirus. In the first part of the paper, a theoretical framework of management characteristics of modern business operations is set. After that, the theoretical basis of business management in a crisis is presented with a review of the current crisis caused by the pandemic of a new strain of coronavirus. In the last part, an analysis of the financial sustainability and operations of the Croatia Airlines Group in the observed period was made, with suggestions and alternative strategic management solutions for the company in the future. Croatia Airlines, as the national airline of the Republic of Croatia, represents an important aspect of the Croatian transport infrastructure from its establishment three decades ago until today. Due to poor business results, the company has already undergone a restructuring process with the aim of achieving business sustainability. However, the conclusion of financial analysis indicates significant financial difficulties of the company, which were further exacerbated by the current crisis. However, it should be noted that the current crisis is unprecedented in the history of the air transport industry. In this sense, the positive aspect is the strong interest of the owner, the Republic of Croatia, in supporting the company in the current circumstances, as well as future directions of development. In addition to the urgent financial assistance package that should enable business continuity, efforts should be made to select the best recovery strategies and future alternative development that will enable long-term improvement of the competitive position and financial sustainability of the Group's operations.