Nineteen State-owned groups and corporations under the Commission for the Management of State Capital at Enterprises (CMSC) achieved total pre-tax profit of VND34.2 trillion (US$1.5 billion) in 2021, exceeding the annual plan by 70 per cent.

The information was released at a conference to review the work in 2021 and deploy tasks in 2022 held on weekend in Ha Noi by CMSC.

The 19 bodies earned total revenue of VND821.3 trillion, equivalent to 99 per cent of the annual plan and up by 8 per cent compared to 2020.

The total amount of money they contributed to the State budget was VND62.4 trillion, 27 per cent higher than the whole year’s plan.

Thirteen out of 19 corporations and groups completed and exceeded the annual revenue plan. In contrast, six enterprises did not fulfil revenue targets, namely Viet Nam Electricity (EVN), Vietnam Airlines (VNA); The Airports Corporation of Viet Nam (ACV), The Viet Nam Railways Corporation (VNR), the Viet Nam National Coffee Corporation (Vinacafe) and Viet Nam Southern Food Corporation (Vinafood 2).

There were 14 out of 19 groups and corporations that completed and exceeded the before-tax profit plans for the year; 14 completed and exceeded the budget payment plan; five achieved higher profits than annual plans and in 2020.

Among the group of five units achieving higher profits than planned, the Viet Nam Oil and Gas Group (PetroVietnam) recorded VND40.7 trillion in pre-tax profit, up by 139 per cent of the yearly plan and up 105 per cent over the same period of 2020.

Viet Nam National Shipping Lines (Vinalines) recorded VND2.9 trillion in consolidated pre-tax profit in 2021, up by 474 per cent compared to 2020 and exceeding 204 per cent of the annual plan.

At the Chemical Industry Group (Vinachem), profit before tax reached VND1.73 trillion. In 2020, this group recorded a consolidated loss of up to VND2.16 trillion. In 2021, the group planned to experience another loss of VND1.22 trillion.

For the Viet Nam National Oil and Gas Group (Petrolimex), the consolidated pre-tax profit last year was VND3.82 trillion, up 171 per cent over the previous year and exceeding 14 per cent of the yearly plan.

At the conference, Deputy Prime Minister Le Minh Khai said that the CMSC and the 19 corporations have successfully implemented the “dual goals" of fighting the COVID-19 pandemic, while maintaining production and business activities, contributing to the recovery and socio-economic development of the whole country.

In 2022, Deputy Prime Minister requested the CMSC to strengthen its capacity, strengthen the inspection and supervision tasks, especially financial supervision and investment supervision.

Khai requested that CMSC remove difficulties and reform administrative procedures, improve the investment and business environment to create the most favourable conditions for corporations to recover and develop production, to overcome negative impacts caused by the pandemic.

For the companies, the Deputy Prime Minister requested they conduct measures to prevent and control the COVID-19 pandemic to ensure safety for workers’ health and income, at the same time, strive to complete the highest level of the business plans in 2022; improve production and business efficiency; invest according to strategies and plans and in accordance with the market economic mechanism, to ensure efficiency and sustainable development.

Deputy Chairman of CMSC Nguyen Ngoc Canh said CMSC would continue to effectively handle outstanding loss-making projects that were behind schedule and inefficient, continue to accelerate the restructuring of State-owned enterprises, promote the process of equitisation and rearrangement of enterprises under 19 groups and corporations.

Although recording positive business results in the context of the pandemic, CMSC leaders said that capital management activities at enterprises still had shortcomings and limitations.

This includes the settlement of a number of tasks that have not yet met the prescribed deadlines such as financial statements; the plan for profit distribution and setting up of funds in 2020; as well as corporate financial supervision reports.

The main reasons for the limitations and shortcomings were CMSC's heavy workload, diversified fields, limited human resources, lack of experienced and qualified employees. — VNS