Illustrative image (Source: Vietnam Airlines)

Hanoi (VNA) – The national flag carrier Vietnam Airlines and its subsidiaries posted combined revenue exceeding 76 trillion VND (3.34 billion USD) in 2016, up more than 10 percent year on year.

Of the total, profit before tax amounted to almost 2.5 trillion VND (110 million USD), an annual increase of 140 percent and a gain of 7 percent compared to the yearly plan.

The airline alone reeled in nearly 59.1 trillion VND (2.6 billion USD) in revenue and 1.6 trillion VND (70.4 million USD) in profit before tax. It contributed approximately 4.9 trillion VND (215.6 million USD) to the State budget, up about 11 percent from 2015.

Last year, Vietnam Airlines received and put into use ten Boeing 787-9 Dreamliners and six Airbus A350-900 XWB. It operated more than 133,000 flights, carrying 20.6 million passengers and 264,000 tonnes of goods.

The carrier was also certified as a four-star airline by the UK-based airline and airport rating organisation SkyTrax, which also ranked Vietnam Airlines third on its list of most improved airlines across the world in 2016.

Meanwhile, it has completed equitisation and is scheduled to step into the Unlisted Public Company Market (UPCoM) on January 3, 2017.

The aviation corporation also signed up with a Japanese strategic partner - ANA Holdings Inc., which acquired 8.77 percent stake in Vietnam Airlines.

The corporation said positive growth of the aviation sector and feasible management policies were key to its success last year, and better market distribution among carriers – Vietnam Airlines, Jetstar Pacific and VASCO – has established a flight network that better suits passengers’ demand.

While Vietnam Airlines focuses on 4-star services on major domestic and international flights, low-cost Jetstar Pacific prioritises domestic routes that enable competitive prices and short international routes. VASCO, meanwhile, caters for provincial airports that are yet to accommodate big aircraft.  

A recent report from the Centre for Asian-Pacific Aviation (CAPA) showed that Vietnam Airlines held 45 percent and 60 percent of market share of the major Hanoi – Ho Chi Minh air route and of the entire aviation market in Vietnam, respectively.

Vietnam Airlines leaders noted that safe flights and 4-star services, fulfilling more than 90 percent of SkyTrax requirements, as well as stronger partnerships with Jetstar Pacific, Cambodia Angkor Air and VASCO continue to be priorities of this year.-VNA