Ho Chi Minh City: Vietjet Aviation Joint Stock Company (HoSE: VJC) records positive performance in Q1/2023, an outcome of a stable domestic flight operation and the airline’s international network expansion.

As recorded in the Q1/2023 financial statements, Vietjet’s air transport revenue reached VND12,880 billion (approx. RM2.4 billion) while the after-tax profit was VND168 billion (approx. RM31.8 million), an increase of 286% and 320% YoY respectively. Ancillary revenue, in particular, was reported at VND4,312 billion (approx. RM816 million), accounting for more than 33% of the total revenue.

The company’s consolidated revenue and after-tax profit were VND12,898 billion (approx. RM2.4 billion) and VND173 billion (approx. RM32.7 million), respectively.

In the first three months of the year, Vietjet safely operated 31,300 flights and transported nearly 5.4 million passengers, a growth of 57% and 75% YoY respectively. Meanwhile, the airline’s load factor averaged 85%, while the technical reliability rate was 99.59%.

Vietjet’s air cargo volume in the first quarter totalled more than 14,800 tons, up by 20% YoY.

International passenger transport remained the highlight, accounting for nearly 45% of the total passenger transport revenue and 30% of total flight and passenger numbers.

As of March 31, 2023, the airline’s assets totalled more than VND69,200 billion (approx. RM13.1 billion), with the debt-to-equity ratio at 1, while the liquidity ratio at 1.3, both remained within the safe range of the aviation industry standards. 

Vietjet has paid the State up to VND1,053 billion (approx. RM199.3 million) of direct and indirect taxes and fees.

This performance results from Vietjet’s sound business strategy in the context of a post-pandemic economy. In Q1/2023, the airline introduced ten new routes, four domestic and six international routes, thereby bringing the airline’s total routes to 105 (55 domestic and 50 international).

Since early 2023, Vietjet has increased the frequency of flights connecting Hanoi and HCM City with other localities to meet the travel demand for family reunions and added more flights to tourist destinations.

The airline also pioneered new international routes from Vietnam to India, Kazakhstan and Australia. It also added new destinations in high-performing markets like Japan, South Korea and Thailand, attracting investment and tourism to Vietnam.

Vietjet also focused on implementing programs to optimize and manage operation costs, contributing to positive performance in Q1/2023.

Vietjet has set its sights on maintaining its position as a market leader and targets to achieve even better performance in the following quarters and the year. The airline also aims to grow strongly in the international market this year through research and investing in high-potential routes while pioneering the opening of new routes.

The airline expects to expand its fleet to 87 aircraft, operating 139,513 flights with 25.7 million passengers onboard in 2023.

In addition to air service, Vietjet also has its sights set on offering consumption services on an e-commerce platform with an absolute focus on technology programs to accelerate digital business, bringing customers more excellent and satisfactory experiences. The newly-introduced Skyboss Business product on the A330 aircraft and the loyalty program SkyJoy received positive feedback from most passengers. The number of Skyboss Business passengers is gradually increasing, while SkyJoy has so far over 3 million members.

*Based on an exchange rate of 1.00000 VND = 0.00019 MYR