Fleet Financing

Vietjet Launches 2022 Plans at AGM | Company

by Vietjet General meeting of shareholders 2022 (Photo courtesy of Vietjet)

City of HCM (VNA) – Vietjet Aviation Joint Stock Company (HoSE: VJC) held the 2022 Annual General Meeting of Shareholders on May 28 to review its pandemic-resilient business performance, the final five-year term of the Board of Directors, and to vote on the 2021 audited financial statements and development plan for 2022.

The global aviation industry has gone through the most difficult and unprecedented period in its long history. Vietjet, however, emerged from the pandemic with its pioneering spirit, patience and robust inner strength.

Vietjet would have achieved a consolidated revenue of 12.875 billion VND (about 555 million USD) in 2021 with an after-tax profit of 80 billion VND (about 3.4 million USD). As of December 31, 2021, Vietjet’s assets amounted to nearly 51.654 billion VND (about 2.22 billion USD). Its debt ratio remained at 0.9 while the liquidity ratio was at 1.6 – all were considered good indicators in the aviation industry.

In 2021, Vietjet rebounded and expanded its flight network, providing more opportunities for everyone to fly, and partnered with localities contributing to the country’s economic recovery. Last year, the airline operated 40,000 flights, carrying more than 5.4 million passengers on more than 50 domestic and international routes. It also airlifted over 63,000 tonnes of cargo, recording 200% year-over-year revenue growth.

The airline has operated several flights to airlift doctors, police and soldiers to locations affected by the pandemic; delivered millions of doses of Covid-19 vaccine and partnered with strategic partners in the Sovico Group to grant medical services, including ambulances, breathing apparatus, test kits and hospital beds to many localities.

Vietjet launches 2022 plans at general meeting of shareholders hinh anh 2Vietjet aircraft (Photo: VNA)

At the end of 2021, Vietjet has a fleet of 76 aircraft serving 44 domestic destinations and 95 international destinations. To prepare for the post-pandemic recovery, Vietjet signed a strategic partnership agreement with Airbus on aircraft order deliveries and cooperation to develop the airline’s wide-body fleet in addition to further supporting the aftermath. -pandemic.

Vietjet has invested in a fleet of wide-body Airbus A330-300s following the low-cost model, ushering in a new era of longer-range flight routes. The two sides also recently reached an agreement to continue their order contract with long-term cooperation programs aimed at making Vietnam a regional and global aviation hub.

Shareholders present at the meeting adopted a resolution on the business plan for 2022, in which Vietjet plans to expand its fleet to 82 aircraft, operating 100,000 flights and carrying 18 million passengers.

Shareholders also voted to pass a resolution to pay a 20% stock dividend on accumulated undistributed profits from the years before the pandemic.

The airline expects to earn more than 22.3 trillion VND (approximately $959 million) in air travel revenue and profit this year.

Vietjet, since its first flight in 2011, has pioneered the use of e-tickets to replace paper tickets and the implementation of e-commerce. In 2022, the airline is expected to continue expanding its application of advanced technologies, automation and innovation; strengthening the digital sector of companies in air transport, freight and logistics; and the growth and expansion of air services, including ground handling, training, financing, project investment and other services.

Vietjet has deployed SFC02, including solutions to optimize fuel consumption in aircraft operations, thereby reducing environmental pollution. In the coming years, the airline will continue the program of monitoring and managing the fuel consumption and CO2 emissions of civil aircraft, with the aim of reducing emissions and preventing climate change.

Acknowledging that 2021 has been a difficult year for the aviation industry, Vietnamese Deputy Transport Minister Le Anh Tuan, representing the Vietnamese government, however praised the fact that Vietjet had overcome it with resilience and demonstrated its efforts and commitment. commercial success.

He said Vietjet has actively resumed domestic and international routes after the pandemic was brought under control, even opening new routes to Japan, the Republic of Korea and India. He hoped that Vietjet’s newly added wide-body Airbus A330 fleet preparing to fly to Australia and Europe would bring more success to the airline.

Civil Aviation Authority of Vietnam Deputy Director Dinh Viet Son recognized Vietjet’s contributions to the country’s aviation safety and service quality. He highly regarded Vietjet as a model of flexibility and adaptability to hold firm through the pandemic while seeking new opportunities to expand air travel.

“Following the pattern of ‘Flying in the Digital Age’, vietjet has found the right path that matches the (digital) orientation of the government, especially in the aviation sector, which demands the highest security and state-of-the-art technology, and also matches the current trend in the world said Son.

The meeting also approved the profit distribution plan in 2021 and the dividend payment plan in 2022; bond issue plan; plan to increase the share capital; and elected members of the Board of Directors for the term 2022-2027 with independent members confirmed experts in the fields of insurance and aviation./.