2019-05-07

Vietjet’s international revenue reaches up to 55% in Q1/2019

Vietjet’s air transport revenue grew nearly 28% year on year. Air transport profit before tax reached to VND923 billion, up to 25.3% year on year, consolidated profit before tax reached VND1,648 billion, increased 11.3% compared to the same period of 2018. In QI/2019, the Company did not have sale and leaseback transaction. In the same period last year, Vietjet had 4 sale and leaseback transactions.
(Ho Chi Minh City, May 6, 2019) - Particularly in the first quarter of 2019, Vietjet launched four international routes, two domestic routes, increasing the total number of routes to 111 ones. The proportion of international revenue surpassed domestic revenue and reached 55% of the total air transport revenue. International routes have a large market development capacity and high profit margins and also help the airlines increase its foreign currencies revenue from ticket sales and take advantage of lower fuel price at international markets. Vietjet operated 33,646 flights in the first quarter of 2019 on its flight network covering destinations in Vietnam and Japan, Hong Kong (China), Singapore, South Korea, Taiwan (China), Thailand, Myanmar, Malaysia, Cambodia, and China etc. Vietjet’s fleet also has operation at Dubai and Doha airports. Accordingly, Vietjet’s core revenue from air transport in this year’s first quarter reached VND10,071 billion, an increase of nearly 28%, of which ancillary revenue reached VND2,647 billion, up 45.1% year on year. The proportion of ancillary revenue (having high profit margin) in air transport revenue continued to increase from 23.1% in QI/2018 to 25.4% at the end of 2018 and reach to 26.3% at the end of QI/2019. Consequently, business results in QI/2019 kept exceeding its plans with consolidated revenue reaching VND13,636 billion, consolidated profit after tax was VND1,463 billion, equivalent to increment of 9% and 7% year on year respectively.
For the first quarter, Vietjet has completed 23.4% of this year’s revenue plan and 26.5% of the profit plan. As to March 31st, 2019, equity was over VND15,507 billion, an increase of 34.6% year on year and up 10.5% compared to 2018.
In April, Vietjet has organized the Annual General Shareholders’s Meeting and evaluated the three-year targets setting at IPO. In early 2017, being one of the first companies choosing international IPO standard (Reg S), Vietjet set plan the two-year 2017 – 2018 growth aiming to get more than VND90,785 billion in total revenue and VND7,801 billion in profit after tax. The results exceeded its expectation in the prospectus when in 2017 and 2018 the new age carrier had VND95,880 billion revenue and VND10,409 profit after tax, equivalent to 105% and 133% of the plan.
Vietjet has decided to pay 2018 dividend at the rate of 55%, which higher than the rate of 50% approved at last year’s annual general shareholders’ meeting.
With good business results, regional and international flight network expansion plan as well as cost management, operation quality management abilities, Vietjet expects to keep positive growth in 3 year targets that Board of Management reported to Annual General Shareholders’ Meeting, maintain its leading position in domestic passenger transportation, effectively expand international routes, consider investment opportunities for infrastruture, terminals, technical services, ground services, training to promote the airline’s advantages, efficiency when expanding to provide aviation services.