Vietnam Airlines’ pre-tax profit above VND2 trillion mark for 1st time

A report by the national flag airline indicated that its consolidated revenue in 2018 amounted to VND100 trillion and its consolidated pre-tax profit was 15% higher than estimated, reaching nearly VND2.8 trillion.

Its parent company, Vietnam Airlines Corporation, made VND73.5 trillion in revenue and VND2 trillion in pre-tax profit in 2018, 2.7% above its full-year target. 

In addition, the carrier’s financial indexes were improved, with its operating profit margin reaching 4.38% and its debt-to-equity ratio being lowered to threefold, compared to the start of 2018.

The airline conducted some 142,000 flights and transported 22 million passengers and 350,000 tons of cargo last year. The carrier had an on-time performance rating of up to 90%.

Its fleet of aircraft continued to be expanded and upgraded in 2018, with additional two wide-body Airbus A350 jetliners and three narrow-body A321neo aircraft.

The rise in revenue and profit at the carrier resulted from its sound plans to meet the demand of passengers and the transport market, efficiency in providing services, an increase in available seats and cuts in spending, mainly on fuel, according to Vietnam Airlines.

As for its 2019 plan, the airline will deploy a series of major plans, including completing procedures related to equitization, increasing its charter capital and shifting to the Hochiminh Stock Exchange; meeting a target to develop its fleet in the 2021-2025 period; and applying advanced information technology to its operations.