Vietnamese companies post billions of dollars in revenue

Sunday, Mar 14, 2021 16:39

Vietnam Airlines' aircraft at Van Don international airport, Quang Ninh Province. — VNA/VNS Photo

Despite the turbulence of 2020, many Vietnamese companies across sectors from real estate, oil and gas, materials to retail on the stock market still posted billions of dollars in revenue.

Viet Nam National Petroleum Group (PLX) reported the highest revenue in 2020. Its fourth quarter results showed net revenue was VND123.9 trillion, equivalent to US$5.39 billion.

It was followed by Vingroup JSC (VIC), Mobile World Investment Corporation (MWG), Hoa Phat Group JSC (HPG) and Masan Group Corporation (MSN) with revenues reaching VND110.5 trillion ($4.8 billion), VND108.5 trillion ($4.7 billion), VND90.1 trillion ($3.9 billion) and VND77.2 trillion ($3.4 billion), respectively.

Other companies gaining billions of dollars in revenues included Vinhomes JSC (VHM) with VND70.89 trillion ($3.08 billion), Viet Nam Dairy Products JSC (VNM) with VND59.6 trillion ($2.95 billion), Binh Son Refining and Petrochemical Company Limited (BSR) with VND58 trillion ($2.5 billion), PetroVietnam Oil Corporation (OIL) with VND50 trillion ($2.2 billion), Vietnam Airlines JSC (VHN) with VND40.6 trillion ($1.8 billion) and PetroVietnam Power Corporation (POW) with VND29.7 trillion ($1.29 billion).

However not all of these companies posted outstanding performance compared to the year before (2019). Some companies like MSN, HPG and VHM thrived while others like PLX, OIL, BSR, HVN and VIC witnessed their revenues drop.

In 2020, PLX’s revenue dropped 34.6 per cent year-on-year, while OIL’s net revenue also declined by 36.6 per cent against 2019.

Meanwhile, MSN’s revenue doubled that of 2019 on the growth in its meat business and consumer goods. HPG also recorded spectacular performance last year with net revenue increasing 1.4 times. HPG’s crude steel production reached 5.8 million tonnes for the first time in 2020, double the amount of 2019.

Higher revenues, not higher profits

Despite gaining billions of dollars in revenue, MSN’s profit after tax still decreased by 78 per cent year-on-year to VND1.4 trillion.

The main reason for the fall in profit was the merger of VinCommerce and the rise in minority interest in Masan Consumer Joint Stock Company (MCH) due to the diversity of MSN's ownership, according to Masan.

Even though Vietnam Airlines (VHN) was on the list of big gainers in revenue, the carrier still posted a big loss in profit after tax last year. Its profit after tax was negative VND11.1 trillion. In 2019, the profit after tax was VND2.5 trillion.

The outbreak of COVID-19 was the main cause for the loss of the national carrier as it forced Vietnam Airlines to close international flights and restrict domestic flights. — VNS

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