2019-04-11

Vietjet announces its audited financial statement for 2018: Core business continues to increase 49%, Remarkable performance on international revenue

 
(Taipei, April 11, 2019) –Vietjet Aviation Joint Stock Company (HOSE code: VJC) announced its audited financial statements for 2018, which exceeds its plan. Vietjet continued to have a year of high and sustainable growth in 2018. The airline’s total number of passengers transported in 2018 reached 23 million, leading Vietnam’s domestic market with 66 international routes, accounting for nearly two-thirds of its entire flight network.

Audited business results of 2018 showed its total revenue of VND53,577 billion (TWD71.31 billion) and VND5,816 billion (TWD 7.74 billion) profit before tax.

Remarkably, in the context of rising oil prices by 30%, air transport revenue reached to VND33,779 billion (around TWD 44.96 billion) and air transport profit before tax was VND3,045 billion (around TWD 4.053 billion), increasing respectively by 49.8% and 48.9% over the previous year, which showed the company’s ability to grow revenue and its good cost management. It can be seen that Vietjet’s strong growth in 2018 comes from its core business of air transport services.

Vietjet has a good record of paying high dividends from year to year, from 50% to 70% in both cash and shares. Thanks to its high and continuous growth, abundant cash resources, Board of Directors of VJC has submitted to its shareholders 2018 dividend payment at the rate of 55%, higher than the previous approved plan.

As to December 31st, 2018, the total consolidated assets reached VND39,086 billion (around TWD 52.02 billion), an increase of 23.5% year on year; equity was VND14,038 billion (TWD 18.69 billion), up 32.5% year on year. The Company’s cash balance as at December 31st, 2018 was VND7,165 billion (TWD 9.53 billion). Debt to equity ratio decreased to 1.78 in 2018 from 1.99 in 2017. Similarly, net debt per equity ratio was very good, sharply decreased to 0.39 in 2018 from 0.71 in 2017.

In 2018, Vietjet has been the leading the domestic market in terms of transported passengers and strongly developed international flight network, operated 118,923 flights on 105 routes, including 39 domestic and 66 international ones, covering destinations in Vietnam and Japan, Hong Kong (China), Singapore, South Korea and Taiwan (China), Thailand, Myanmar, Malaysia, Cambodia, China. The international network expansion strategy of Vietjet was highly promoted in order to increase the foreign currency collection from ticket sales and to take advantage of lower fuel price at international markets. The proportion of international revenue surpassed domestic revenue and reached 48% of total air transport revenue.

In 2018, load factor of the year reached to over 88.06%, the technical reliability was 99,64% and the on-time performance (OTP) stood at 84.2%. Vietjet began to receive and operate the new generation A321neo aircraft which could save up to 16% fuel cost, contributing to decreasing Vietjet’s operating costs in the coming years. Vietjet's fleet as of 31st December 2018 was one of the youngest over the world with just average 2.82 year old.

Vietjet also has been successfully qualified with "IOSA International Air Safety" 3rd certificate in September 2018. Vietjet's safety-operating indicators have been among the leading airlines in the Asia-Pacific region and awarded the highest ranking for safety with 7-stars in 2018 by the world’s only safety and product rating website AirlineRatings.com.

Vietjet's continuous and sustainable development in the past few years and business results exceeding the 2018 plan, continuing to bring values, efficiency to investors, create momentum to fulfill the mission of offering flying opportunities to everyone, becoming the regional and international airline.