VN’s technology giant (FPT) reports high growth
VN’s technology giant (FPT) reports high growth
The Việt Nam’s technology giant FPT reported strong growth in 2023 during its annual general meeting of shareholders held in Hà Nội on Wednesday.
Investors registered to participate in the shareholders' meeting on Wednesday. — Photo FPT |
The company reports that its 2023 revenue and pre-tax profit increased by 19.6 per cent and 20.1 per cent, respectively, compared to the previous year.
Bùi Quang Ngọc, the vice chairman of the Board of Directors, highlighted the milestone achievement of reaching US$1 billion in revenue from IT services for foreign markets. Ngọc emphasised that this achievement was not only significant for FPT but also for the Vietnamese people as a whole, as it fulfilled a long-standing dream.
Nguyễn Văn Khoa, FPT's General Director, further expressed optimism about the company's future prospects, stating that after reaching the $1 billion milestone, the targets of $5 billion and $10 billion are within reach. He also mentioned the company's expansion into foreign markets, with the opening of five new offices, four M&A deals and investments in renowned technology companies in the US and France.
Khoa noted that being a billion-dollar company has made it easier for FPT to attract talent and recruit skilled individuals. In line with this growth, FPT established FPT Automotive in 2023, which plays a vital role in the automotive technology supply chain. The market size for this sector is projected to reach $116.6 billion by 2032. Consequently, FPT promptly recruited 1,500 engineers upon the establishment of FPT Automotive.
Additional share issue to hike capital
This year, FPT has set a revenue target of VNĐ61.8 trillion (approximately $2.5 billion) and a pre-tax profit target of VNĐ10.8 trillion. This represents an 18 per cent increase compared to the 2023 results. If achieved, it will be a record high profit for the company and the seventh consecutive year of growth.
FPT's Board of Directors has submitted a cash dividend payment plan for 2023 to the shareholders for approval. The plan proposes a cash rate of 20 per cent, equivalent to VNĐ2,000 per share held, with 10 per cent of the dividend being advanced in 2023 and the remaining 10 per cent expected to be paid in the second quarter of 2024, subject to approval.
FPT plans to increase its charter capital by issuing over 190 million new shares, which will increase its charter capital to over VNĐ14.6 trillion ($584 million). The issuance is expected to take place after shareholders' approval and no later than the third quarter of 2024.
