Viettel Global reports profit surge
Viettel Global reports profit surge
Telecom giant Viettel Global Investment JSC has made VND1.17 trillion ($50.5 million) in pre-tax profits after reporting a loss last year.
Viettel Global, which covers overseas investments by military-run Viettel Group, had made a VND15.77 billion ($681,000) loss in the same period last year, according to the company’s audited consolidated financial statements.
Revenues in the first six months reached VND7.9 trillion ($341 million), down 1.5 percent year-on-year, but a sharp decrease in the cost of sales improved profits, the company’s management board said.
In the first half of the year, the company focused more on its core business of telecommunications, raised its average revenue per user (ARPU) and cut down the sale of equipment with low profit margins. This raised the company’s operating profit margin (excluding financial income) to 35.3 percent from 26.4 percent in the same period last year.
Revenue in Southeast Asia, especially driven by growth in the Cambodian market, accounted for 53 percent of Viettel Global’s revenue in the first six months, followed by Africa with 33 percent and South America with 14 percent.
Viettel Global was established in 2006 to spread Viettel Group’s presence in foreign markets. It currently operates in ten markets, namely Cambodia, Laos, Timor Leste, Mozambique, Burundi, Haiti, Peru, Cameroon Tanzania and entered Myanmar last year.
Viettel Global said it has plans to enter new markets, mainly in ASEAN.
Viettel Global is one of the largest enterprises on Vietnam’s Unlisted Public Companies Market (UPCoM) in terms of both asset and market capitalization. As of June 30, the company's total assets were VND59 trillion ($2.54 billion), of which equity accounted for VND25 trillion ($1.08 billion).
