Airports operator ACV posts first quarterly loss in four years

The Airports Corporation of Vietnam has reported a net loss of VND356 billion ($15.46 million) in Q2, the first quarterly loss since 2016.

Vietnam aviation, Airports Corporation of Vietnam, loss, pandemic, Covid-19

The consolidated financial statements of the state-owned company, which operates 21 airports, show revenues fell 76.6 percent year-on-year to around VND1.05 trillion ($45.3 million).

With the Covid-19 pandemic hitting the aviation industry hard, ACV said it cut expenses such as cost of goods sold, cost of sales and other operating and management costs, but still was not able to offset the sharp drop in revenues.

In the second quarter last year ACV had made a consolidated post-tax profit of VND1.7 trillion ($73.19 million), while in the first quarter of this year it was VND1.55 trillion ($66.73 million).

With the pandemic flaring up again in Vietnam, ACV said passenger numbers for the full-year are expected to fall by 41 percent to 69.2 million. Cargo is set to fall 13 percent to 1.3 million tons.

The company said it plans to prioritize the construction of a second terminal at Phu Bai International Airport in the central province of Thua Thien-Hue and a third terminal at Tan Son Nhat International Airport in Ho Chi Minh City in the next two years.

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