Airport operator profits down sharply

By Anh Tu   February 1, 2021 | 07:36 pm PT
Airport operator profits down sharply
Aircraft are parked at Tan Son Nhat International Airport in Ho Chi Minh City on April 15, 2020. Photo by VnExpress/Quynh Tran.
The Airports Corporation of Vietnam has reported a 79 percent fall in net profits in 2020 to VND1.7 trillion ($73.9 million).

The company, which runs all 22 civil airports in Vietnam, earned revenues of VND7.8 trillion, down 57.5 percent.

It achieved a loss of VND356 billion in the second quarter, the first quarterly loss since 2016, but saw a revival in subsequent quarters.

The aviation industry will recover in 2021 with the advent of coronavirus vaccines, SSI Securities Corporation has forecast.

Its analysts expect ACV’s net profits to rise by over 170 percent to VND4.7 trillion.

Viet Capital Securities Company forecast the company’s net profit to increase by an average of 24 percent annually between 2026 and 2035 owing to the operation of Long Thanh International Airport, whose operator it will be.

Only 66 million passengers passed through the country's airports in 2020, a 43.5 percent decrease given the impacts of the Covid-19 crisis and unfavorable weather conditions.

Twenty-two airports across Vietnam accommodated 424,000 safe flights operated by 68 foreign and five Vietnamese carriers last year, down 548 flights from 2019, according to the Civil Aviation Authority of Vietnam.

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