Leadership change at Petrolimex amid dividend payout announcement

Leadership change at Petrolimex amid dividend payout announcement

The company’s Board of Directors has officially resolved to terminate Đào Nam Hải's position and suspend his membership on the board.

A customer buying petrol at a station of Petrolimex in Hà Nội. — VNA/VNS Photo

Petrolimex, Việt Nam's leading petroleum distributor, is undergoing significant changes as it announces the dismissal of CEO Đào Nam Hải, effective May 30.

The company’s Board of Directors has officially resolved to terminate his position and suspend his membership on the board. This decision follows a series of administrative adjustments within the organisation aimed at enhancing operational efficiency and governance.

As part of the transition, Phạm Văn Thanh, chairman of the Board, will temporarily oversee the management of Petrolimex. This interim leadership aims to maintain operational stability while the company evaluates its strategic direction in light of the recent changes.

Meanwhile, Petrolimex is also preparing to disburse over VNĐ1.5 trillion (US$58.5 million) in dividends for the year 2024, reflecting a payout ratio of 12 per cent.

This translates to VNĐ1,200 per share for shareholders, with the record date set for June 11 and payment scheduled for June 24.

With more than 1.27 billion shares currently outstanding, the total dividend distribution underscores Petrolimex’s commitment to returning value to its investors despite the recent challenges it has faced.

The company’s financial performance has been a mixed bag.

In the first quarter of 2025, Petrolimex reported a net revenue of about VNĐ67.9 trillion, down nearly 10 per cent from last year. The profit before tax saw a significant drop of 75.1 per cent to about 358.4 billion, while the net profit fell by 81.4 per cent, highlighting the pressures the company is currently navigating in a competitive market.

However, Petrolimex has set ambitious targets for 2025, projecting a consolidated revenue of VNĐ248 trillion, an increase of 87 per cent year-on-year, alongside a profit before tax target of VNĐ3.2 trillion.

The company is optimistic about achieving these goals, driven by a robust domestic market and strategic initiatives aimed at enhancing operational efficiencies. 

Bizhub