The airline also targets pre-tax profit of more than VND2.4 trillion (US$105.4 million) this year, while that of the parent company will be at VND1.95 trillion (US$85.6 million).
The information was revealed during the annual shareholders’ meeting of Vietnam Airlines held in Hanoi on May 10. It was the third meeting since the company completed equitisation in 2015, to discuss a series of important issues including the modification of the internal management regulations.
At the meeting, the shareholders discussed a report on business performance in 2017 and main targets of the business plan in 2018, along with auditing financial statements in 2017 and plans for the distribution of profits and dividends. They also approved a plan to sell the carrier’s shares on the Ho Chi Minh Stock Exchange (HOSE) this year.
In 2017, Vietnam Airlines conducted 140,000 flights carrying 22 million passengers. The corporation earned a record pre-tax profit of over VND3.15 trillion (US$135.1 million), surpassing the yearly target by 92.6% and posting a year-on-year increase of 21.3%.
The parent company raked in more than VND64.9 trillion in revenue and VND1.9 trillion in pre-tax profit, exceeding the set target by 52% and registering a year-on-year rise of 11.7%.
Vietnam Airlines maintained its four-star rating by Skytrax for two consecutive years.
The on-time performance index (OTP) reached 90.2% for departures and 83.2% for arrivals, putting Vietnam Airlines among the top 10 airlines with the best OTP in the globe.
In 2017, Vietnam Airlines continued receiving national and international recognition with a number of prestigious awards, most notably being listed on the 10 strongest brands of Brand Finance.
Vietnam Airlines’ market capitalization was valued at over VND60.6 trillion (US$2.65 billion) on March 30, 2019 (VND49,400 per share), up 38% compared to the time its share debuted on the Unlisted Public Company Market (Upcom) at VND39,200 per piece.
In Q1 2018, Vietnam Airlines’ consolidated profit hit nearly VND25.5 trillion (US$1.12 billion), while the parent company raked in about VND18.6 trillion (US$816.82 million), up 13% year-on-year. Pre-tax profit of the corporation reached VND1.46 billion (US$64.12 million) in the period, a rise of 6.2% compared to its yearly target.
Currently, Vietnam Airlines has a total chartered capital of over VND12.27 trillion (US$535.5 million). The State is holding 86.16% of the airlines’ chartered capital, Japan’s ANA Holdings Inc 8.77%, and the remaining belong to other shareholders.