VNG losses deepen on ZaloPay

Its gross revenue only fell 1.8% to over VND2 trillion, but gross profits tumbled by 16% to VND884.8 billion as costs of goods sold rose 14%.

Financial income also dropped by 39%, while financial, selling and management expenses all increased double-digit.

In the first six months VNG invested VND680 billion in Zion, raising its investment there to VND2.56 trillion on provision of VND2.1 trillion.

Zion remained one of the key factors dragging VNG's results down. Last year the subsidiary lost VND1.21 trillion, resulting in losses of VND72 billion for the parent.

The tech unicorn planned revenues of VND10.18 trillion and losses of VND993 billion this year.