FPT’s profit up by nearly 19 per cent in Q1

Monday, Apr 20, 2020 08:30

FPT, recording 18.9 per cent growth in pre-tax profit in the first quarter, has initiated measures to ensure business continuity and avoid risks amid the Covid-19 pandemic. — Photo courtesy of the company

FPT Corporation achieved revenue of VND6.63 trillion (US$282.6 million) and pre-tax profit of VND1.14 trillion ($48.6 million) in the first quarter of the year, a year-on-year increase of 17 per cent and 18.9 per cent, respectively, surpassing 2 per cent of its target.

Profit after tax reached VND937 billion ($39.94 million), up by 18 per cent year-on-year. Earning per share was VND1,101, up 18.7 per cent.

The pre-tax profit margin improved to 17.2 per cent compared to 16.9 per cent over the same period last year

The global IT services and telecom services were the growth engine for FPT, with profit before tax going up by 27 per cent and 29 per cent, respectively, to reach VND425 billion ($18.1 million) and VND401 billion ($17.1 million).

In addition, FPT has engaged in many large digital transformation projects, recording VND729 billion in revenue in the first quarter, up 55 per cent year-on-year.

Since many local companies are impacted severely by the pandemic, FPT's revenue and profit earned from domestic IT services and online advertising have been affected.

The overseas market brought the company VND2.89 trillion ($123.2 million) in revenue, up 26 per cent year-on-year.

Revenue from the Asia-Pacific market went up by 59 per cent in the period to top VND450 billion, accounting for 16 per cent of overseas revenue.

Revenue from the US market increased by 28 per cent, contributing VND675 billion to the top line. The Japan and EU markets enjoyed growth rates of 19 per cent and 17 per cent, respectively.

The company’s performance in the first quarter was not affected greatly by COVID-19, but due to the unpredictability of the virus outbreak, the operation of FPT is likely to be disrupted in the second quarter.

Its management board therefore has activated a wartime working mode and prepared different scenarios based on projections of the pandemic, ensuring business continuity and sidestepping risks. — VNS

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