Vietjet’s profit hits new height in 2017

Vietjet Aviation Joint Stock Company (HOSE code: VJC) recorded a strong yearly increase of 103% taking its 2017 after-tax profit to more than VND5 trillion (US$223 million).

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A Vietjet Air aircraft. (Photo: Vietjet Air)
This profit also surpassed by 150% the target set earlier, according to its 2017’s audited consolidated financial results released last week.

During the year, the company’s net revenue stood at VND42.3 trillion, an increase of nearly VND45 billion while cost of sales decreased from VND36.3 trillion to VND35.75 trillion.

Profit attributed to shareholders of the parent company increased from VND4.52 trillion to more than VND5 trillion, equivalent to an increase of VND546 billion. Earnings per share (EPS) stood at VND11,356, an increase of 73% year on year.

With an increase of profit attributable to shareholders of the parent company, Vietjet’s unallocated profit up to December 31, 2017 topped VND5.8 trillion.

Previously, the company raised its 2017 dividend payout from 50% to 60% due to the positive business results. Vietjet advanced the 2017 cash dividend payment at the rate of 30% and planned to pay the other 30% dividend by shares. 

Vietjet is the first airline in Vietnam to operate as a new-age airline with low-cost and diversified services to meet customers’ demands. It provides not only transport services but also uses the latest e-commerce technologies to offer various products and services for consumers. Vietjet is a member of the International Air Transport Association (IATA) with the IATA Operational Safety Audit (IOSA) certificate.

The airline was also named as one of the Top 500 Brands in Asia 2016 by global marketing research company Nielsen and the “Best Asian Low Cost Carrier” at the TTG Travel Awards 2015, which compiles votes from travelers, travel agencies and tour operators in throughout Asia and Asia’s Best Employer Brand by the Employer Branding Institute and World HRD Congress for many years. The airline was also rated as one of the top three fastest growing airline brands on Facebook in the world by Socialbakers.

Currently, the airline boasts a fleet of 56 aircraft, including A320s and A321s, and operates 385 flights each day. It has already transported more than 55 million passengers on a network featuring 82 routes in Vietnam and across the region to international destinations such as Thailand, Singapore, the Republic of Korea, Taiwan, Hong Kong, China, Malaysia, Indonesia, Myanmar and Cambodia.

Looking ahead, the airline plans to further expand its network across the Asia Pacific region. To prepare for this plan, Vietjet has signed agreements with the world’s leading aircraft manufacturers to purchase more brand-new and modern aircraft.

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