Vietnam Airways reported a loss for the sixth quarter in a row, elevating the gathered loss to just about VND 17,800 billion, formally detrimental fairness.

Vietnam Airways Company – JSC (Vietnam Airways) has simply introduced its monetary report for the second quarter of 2021.

Within the context of the difficult improvement of the Covid-19 epidemic, worldwide routes can’t be reopened and home routes are additionally restricted, Vietnam Airways’ income continues to be low at solely 6,537 billion VND.

In comparison with the identical interval final 12 months, Vietnam Airways’ income elevated by about 9%, but when the air transport section alone, the nationwide airline’s income decreased by greater than 10%.

In the meantime, the price of Vietnam Airways exceeded 10,000 billion dong, up 13% over the identical interval. Because of this, Vietnam Airways has a gross lack of practically 3,500 billion dong, up 22% in comparison with the earlier 12 months’s loss.

Vietnam Airlines reported a 6th quarter loss in a row, raising its accumulated loss to nearly 17,800 billion dong, officially negative equity - Photo 1.

After paying every kind of bills, Vietnam Airways reported a lack of VND 4,471 billion from enterprise actions, a loss earlier than tax of VND 4,466 billion and a internet lack of VND 4,449 billion.

In 6 months, Vietnam Airways achieved internet income of practically 14,000 billion dong and a loss earlier than tax of 8,450 billion dong. Income decreased by 44% and losses elevated by 64% in comparison with the primary half of 2020.

Thus, the lack of Vietnam Airways was decrease than anticipated. Beforehand, in response to info from the Common Assembly of Shareholders in mid-July 2021, Vietnam Airways anticipated a lack of about 10,788 billion dong within the first 6 months of the 12 months.

Vietnam Airlines reported a loss for the 6th quarter in a row, raising the accumulated loss to nearly VND 17,800 billion, officially negative equity - Photo 2.

Vietnam Airways forecasts that worldwide guests to/from Vietnam within the close to future will nonetheless be official friends, consultants, repatriates… whereas the principle clients are vacationers (which accounts for 90 % of demand) has not but recovered as earlier than the epidemic. Within the context of the difficult improvement of the epidemic within the nation, repatriation flights may even lower sharply as a result of difficulties in home isolation services. On account of restricted passenger operations, cargo operations nonetheless play an necessary function for Vietnam Airways.

In accordance with a report in June of the Ministry of Planning and Funding, the overdue debt of Vietnam Airways at the moment reached VND 6,240 billion and was falling into an especially troublesome state of affairs, on the verge of chapter whereas different airways Business banks haven’t seen the Authorities’s VND 12,000 billion rescue bundle, so they don’t enable Vietnam Airways to additional disburse or renew or grant credit score strains. Vietnam Airways is presently dealing with the chance of authorized proceedings with a excessive quantity of overdue money owed, and the chance of not with the ability to pay the due short-term loans at banks.

The monetary report of Vietnam Airways exhibits that, as of June 30, 2021, Vietnam Airways has a debt of VND 34,462 billion, together with short-term loans of VND 14,180 billion and long-term loans of VND 20,282 billion. Complete loans elevated by simply over 400 billion dong in comparison with the start of the 12 months, however short-term loans elevated by practically 3,000 billion, whereas long-term loans decreased.

By July 2021, Vietnam Airways has signed an settlement with Three banks to borrow a refinancing bundle of VND 4,000 billion.

By the top of June 2021, Vietnam Airways formally detrimental fairness of VND 2,750 billion, gathered lack of VND 17,771 billion.

Vietnam Airlines reported a loss for the 6th quarter in a row, raising the accumulated loss to nearly VND 17,800 billion, officially negative equity - Photo 3.

Ha My

By Enterprise and Advertising