In first 3 months of 2021, Vietravel’s ‘rookie’ aviation lost nearly 73 billion dong

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Vietnam Traffic Marketing and Tourism Joint Stock Company (Vietravel) recorded consolidated revenue in the first quarter of more than VND 277 billion, down nearly 65% ​​year-on-year. In which, tourism service revenue dropped the most with over 535 billion dong, only nearly 72 billion dong. Air ticket sales also dropped by more than half, to 70.6 billion dong.

Revenue dropped sharply, while administrative costs and financial expenses (mainly interest) increased over the same period, causing this travel giant to have an after-tax loss of more than 72.8 billion dong only in the first quarter. This is nearly double the first quarter of 2020 and about 80% of Vietravel’s loss for the whole year. At the same time, it also shows that the return outbreak earlier this year has seriously affected Vietravel’s business activities.

After being directly affected by the pandemic, Vietravel lost nearly VND 80 billion in the first half of last year. By the third quarter, this business broke the circuit of losses and only lost more than 16 billion dong in the last quarter of 2020.

As of March 31, Vietravel’s balance balance list recorded negative unmistbuted net profit of more than VND 102.2 billion, an increase of VND 65.2 billion compared to the beginning of the year and exceeding the equity of this enterprise (about VND 102 billion). Vietravel’s total capital reached VND 2,042 billion, an increase of more than VND 180 billion compared to the beginning of the period, of which, liability was about VND 1,940 billion, an increase of VND 251 billion.

In 2021, according to the annual report, Vietravel aims to serve more than 682,000 visitors, revenue 6,243 billion VND, gross profit 379 billion VND. These figures increase by 196%, 411% and 153% respectively over the previous year. However, Vietravel only targets a pre-tax profit of 10 billion dong.

Vietravel’s airline took off at the end of last year and has a fleet of three aircraft. According to Vietravel’s financial statements, by the end of the first quarter the cost for this aviation project is nearly 59 billion dong.

Source: vietnamfinance.vn – Translated by fintel.vn