Airport Corporation of Vietnam plans significant stock dividend distribution

Airport Corporation of Vietnam plans significant stock dividend distribution

The company's Board of Directors has approved the issuance of more than 1.4 billion shares as part of this dividend payout, which will be drawn from the retained earnings as of December 31, 2023.

Đà Nẵng International Airport, a subsidiary of ACV. — VNA/VNS Photo

The Airport Corporation of Vietnam (ACV) has announced a significant plan to distribute dividends amounting to over 64.5 per cent in the form of stock. 

The company's Board of Directors has approved the issuance of more than 1.4 billion shares as part of this dividend payout, which will be drawn from the retained earnings as of December 31, 2023.

The dividend distribution ratio stands at 64.58 per cent, translating to a ratio of 100:64.58. This means that shareholders holding 100 shares will receive an additional 64.58 shares. Any fractional shares resulting from this distribution will be canceled.

The expected timeline for this issuance will commence once the State Securities Commission (SSC) provides a written notice confirming the receipt of all necessary documentation. This is anticipated to occur this year.

Additionally, during the recent Annual General Meeting of Shareholders, ACV stated that it is awaiting approval from relevant authorities regarding the distribution of profits for the remaining portion of 2024. As a result, the company will seek shareholder approval either through written consent or by convening an extraordinary general meeting once the necessary consent is obtained.

As of the end of 2024, ACV reported retained earnings exceeding VNĐ10.25 trillion (US$392.2 million). 

This amount includes nearly VNĐ3.1 trillion earmarked for the development investment fund and over VNĐ943 billion for employee bonuses and management rewards, leaving more than VNĐ6.2 trillion available for distribution pending official approval.

For 2025, ACV aims for total revenue of approximately VNĐ22.2 trillion, up 2 per cent from 2024. However, profit before tax is projected to decline by 17 per cent to VNĐ10.5 trillion. The company has outlined a capital investment plan of over VNĐ39.8 trillion.

In the first quarter of 2025, ACV recorded revenues of nearly VNĐ6.4 trillion, reflecting a 12.5 per cent increase year-on-year and achieving 28.6 per cent of its annual target. Profit for the same period reached VNĐ3.9 trillion, up 6.5 per cent and fulfilling 36.7 per cent of the yearly goal. 

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