FPT profit up by 14 per cent in first half

Wednesday, Jul 22, 2020 07:49

FPT enhances communication with customers via online channels. The company in the first half of the year enjoyed good growth in revenue and profit before tax despite the Covid-19 pandemic. — Photo courtesy of the company
FPT Corporation overcame challenges due to the Covid-19 pandemic in both the global and domestic market to achieve positive financial results in the first half of the year, especially in core business lines.

Its total revenue and profit before tax (PBT) went up by 9 per cent and 14 per cent over the same period last year to reach VND13.6 trillion (US$589.3 million) and VND2.4 trillion ($104 million), respectively.

Its PBT margin was slightly up at 17.8 per cent compared to 17.1 per cent in 2019.

Earnings per share reached VND2,078, up 14.1 per cent year-on-year.

In many of FPT's core foreign markets, governments have implemented social distancing and lockdowns, making it difficult to approach clients. But thanks to its right business strategy, growth in revenue and PBT in its global IT services segment was at 18 per cent and 21 per cent year-on-year, accounting for 43 per cent and 37 per cent of its total.

Total value of newly signed contracts increased 16 per cent in the first half of the year. In particular, FPT outbid other global competitors to become the strategic partner of a leading automotive company in the US in a $20 million IT project.

In the domestic, the business lines that provide essential needs such as telecom services and education operated well throughout the lockdown period. Telecom services’ revenue and PBT posted VND5.2 trillion and VND833 billion, up 12 per cent and 22 per cent. Of the figure, broadband revenue and PBT increased by 10 per cent and 18 per cent.

COVID-19 has accelerated the demand for digital technology. In the first six months of 2020, revenue from digital transformation recorded VND1.7 trillion, up 65 per cent, signaling how crucial it has been for businesses to adopt digital technology during the pandemic.

The company also introduced a complete digital solutions portfolio to help enterprises recover and thrive after the pandemic by optimising costs, automatising process, and enhancing innovation and security. — VNS

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