Vietnam Airlines announces revenue of over 93 trillion VND

Airlines are gradually recovering. Photo: Dang Nam

View of Vietnam Airlines Shareholders' Meeting. Photo: Nguyen Son

At the 2024 Annual General Meeting of Shareholders, Vietnam Airlines recorded consolidated revenue of VND93,265 billion, nearly 30% higher than the same period last year and approaching the peak level of the pre-pandemic period. In 2024, Vietnam Airlines aims to balance revenue and expenditure with many flexible solutions.

According to Vietnam Airlines, in recent times, the aviation industry has continued to face many obstacles from geopolitical conflicts that disrupt supply chains, fuel prices remaining high at over 105 USD/barrel, and unfavorable fluctuations in interest rates and exchange rates.

Domestically, slowing domestic economic growth has led to weaker travel demand this year. Internationally, the key Northeast Asia market has recovered more slowly than expected.

Despite these difficulties, Vietnam Airlines still transported more than 24.1 million passengers and 230 thousand tons of cargo, up 16.4% and 5.8% respectively over the same period.

At the 2024 Annual General Meeting of Shareholders, Mr. Nguyen Ngoc Canh - Vice Chairman of the State Capital Management Committee at Enterprises expressed his hope that Vietnam Airlines will continue to promote these achievements and achieve more positive results in 2024. The State Capital Management Committee will continue to closely monitor and support Vietnam Airlines to overcome all difficulties and develop sustainably.

Mr. Dang Ngoc Hoa - Chairman of the Board of Directors of Vietnam Airlines said: "In 2024, the aviation business environment will still face many challenges from the global geopolitical and economic situation. Based on the forecast of the business environment, Vietnam Airlines has developed key goals, directions and tasks. In particular, the airline focuses on implementing the restructuring project, with comprehensive solutions on restructuring assets, capital sources, investment portfolio, organizational structure and corporate governance innovation. The main goal is still to reduce remaining losses, moving towards balancing revenue and expenditure in 2024".

Vietnam Airlines determined that in 2024, the world economy and politics will still be difficult with prolonged geopolitical conflicts and fuel prices remaining high at 104 USD/barrel. USD interest rates remain high, affecting foreign exchange rates and input costs. Global passenger output is forecast to fully recover compared to 2019, but Asia-Pacific needs more time, especially Northeast Asia. Macro risks and airport infrastructure overload are still latent. The issue of engine manufacturer Pratt & Whitney recalling engines globally is causing a shortage of aircraft, affecting operations.

However, domestically, the macro-economic picture has many positive points such as the Vietnamese economy is expected to grow steadily, the domestic aviation market is expected to grow by 6%-8%. This is the basis for Vietnam Airlines to continue to set a big target of reducing the remaining losses and aiming to balance revenue and expenditure.

To achieve this goal, Vietnam Airlines is implementing synchronous production and business solutions. For the international market, the airline will expand its international flight network with new routes to Western Europe and Southeast Asia in 2024. For the domestic market, the airline will adjust flight frequencies to suit market demand, maintain its main market share on key routes and increase capacity on tourist routes. The Corporation proactively develops operational plans according to planning scenarios, improving product and price management capacity.

Regarding the fleet, Vietnam Airlines focuses on preparing for investment in the narrow-body aircraft project and the A321ceo aircraft configuration conversion project to improve operational efficiency, meet market demand and develop in line with the fleet restructuring orientation. The Corporation will also complete investment preparation for the synchronous service complex at Long Thanh International Airport to move to the investment implementation phase.

Source: https://laodong.vn/kinh-doanh/vietnam-airlines-cong-bo-doanh-thu-hon-93-nghin-ti-dong-1355684.ldo