10 leading retail companies in Vietnam in 2018 receive certificates(Photo: VNA)
 
Hanoi (VNA) - The Vietnam Oil and Gas Group (PetroVietnam) topped the Profit500 Ranking, which listed the 500 most profitable companies in Vietnam in 2018.

The ranking, which was announced by the Vietnam Report Joint Stock Company in Hanoi on November 29, aimed to honour enterprises that are profitable, have potential to become key pillars of the Vietnamese economy and contribute to the introduction of Vietnamese brands to the international business community.

The Viettel Military Industry and Telecoms Group, Samsung Electronics Vietnam, Honda Vietnam, PetroVietnam Gas Joint Stock Corporation (PV Gas), Vietnam Dairy Products Company (Vinamilk), Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank), Hoa Phat Group, Vietnam Joint Stock Commercial Bank for Industry and Trade (Viettinbank) and Vingroup also made into the Top 10.

PetroVietnam’s total revenues reached 499.5 trillion VND (21.47 billion USD) in the first 10 months of 2018, 21.1 percent higher than the set target and up 23.6 percent year-on-year.

In the reviewed period, the group contributed 90.9 trillion VND (3.9 billion USD) to the State budget, 23.2 percent higher the yearly target.

According to the Vietnam Report’s survey, the average pre-tax profit of the top 500 most profitable companies in 2017 grew more than 65 percent from 2016. The sectors with the highest return on asset (ROA) and return on equity (REO) were telecommunications, information technology, pharmaceuticals, healthcare, transportation, food, beverages and cigarettes.

The survey said most business insiders expect technology to remain the leader in attracting investment.

Technology was the most common answer among enterprises (51.4 percent of respondents), construction and real estate (40 percent) and retail (34.3 percent).

In the Profit500 Ranking, the companies with the highest average pre-tax profits are in telecommunications, information and technology. The enterprises have potential to show stable growth profit indicators.

While the world is moving towards the Fourth Industrial Revolution, the application of technology in Vietnamese businesses is still in its early stages due to lack of capital, infrastructure and a skilled workforce.

Businesses expect the Fourth Industrial Revolution to help cut their costs, optimise efficiency and increase market share.

In the 2018 Profit500, the number of firms in construction, building materials, real estate (14.8 percent), electricity (12.8 percent), finance (11.2 percent), and food, beverages and cigarettes (10.4 percent) accounted for a majority of businesses on the list.-VNA