Vietjet records 2,496 billion dong profit after tax in 2016

Eleanor Steed
By Eleanor Steed April 5, 2017 12:28

Vietjet records 2,496 billion dong profit after tax in 2016

Vietjet has posted revenue and profit after tax in 2016 of VND27,499 billion and VND2,496 billion, reflecting an increase of up to 39% and 113% respectively as compared to 2015. Profit after audit in 2016 increased by VND206 billion as cost of goods sold was brought down sharply to only VND435 billion. Earnings per share (EPS) ranked high among the top 20 largest capitalisation companies in the two Vietnam stock exchanges at VND9,586.

The airline attributes the positive numbers to its “relentless efforts in growing its network, its clever enhancement on the exploitation of available routes as well as its brilliant application of advanced technology in cost management.”

Technical reliability for the A320/321 fleet is 99.57%, while its on-time performance was rated 83.6%. By the end of 2016, Vietjet’s market share of domestic passengers hit a record of 41%, the airline reports.

Vietjet also recently launched the new Hanoi – Siem Reap route on 30 March 2017 and the company plans to operate four additional domestic routes and 22 international routes, bringing the total route number to 86.

At the close of December 2016, Vietjet’s total assets tally at VND20,063 billion, an increase of 67% compared to the same period in 2015; whereas equity reached VND4,734 billion, an increase of 120%. Unallocated profit after tax was VND1,703 billion, not including dividend advanced to shareholders in 2016, which was VND1,478.5 billion.

Recently, Vietjet also successfully made a private offering of 22.3 million shares, earning more than VND1,660 billion in equity surplus. With the above un-distributed profit and share premium, the Board of Directors of Vietjet plans to submit to the shareholders a plan proposing to pay dividends and bonus at a high rate (excluding advanced dividend) for year 2016 during its Annual General Meeting 2017, which is scheduled to be held in late April.

On February 28, Vietjet listed 300 million shares on the Ho Chi Minh Stock Exchange with the floor price of VND90,000 per share.  By the end of trade on 31 March 2017, a month after listing, VJC shares closed at VND128,100 per share, amounting to a growth of 42%. VJC shares were particularly favoured by foreign investors and foreign investors’ net buying has been done for the last 10 consecutive sessions.

Eleanor Steed
By Eleanor Steed April 5, 2017 12:28