Superdong Shipping Company's Profits Drop 'Because Tourists Say Phu Quoc Is Expensive'

Superdong Kien Giang - a company that operates 16 high-speed boats and two ferries from the mainland to the island - said its third-quarter profits fell by half as tourists feared high costs in Phu Quoc.

The recent financial report shows that the after-tax profit of Superdong - Kien Giang High-Speed Boat Joint Stock Company (SKG) decreased by more than 42% compared to the third quarter of 2022, to VND 7.8 billion. Except for the third quarter of 2021 - the peak period of the epidemic, this is the lowest profit in the third quarter of SKG in the past 10 years. This figure also decreased significantly compared to the highest profit in nearly 5 years in the second quarter.

Profit decreased mainly due to revenue in the period falling by more than 20%, reaching more than VND91 billion.

Superdong - Kien Giang is a company that operates 16 high-speed boats and two ferries transporting passengers, vehicles, and goods from the mainland to Phu Quoc, Nam Du, Con Dao, and Phu Quy. This is one of the shipping lines holding a large market share in sea transport to the famous tourist islands.

Superdong - Kien Giang's leadership said there were two main reasons leading to the above results.

Firstly, information about tourism in Phu Quoc is often "ripped off" and the high prices lead tourists to move to places with lower costs.

In fact, Phu Quoc tourism has faced many difficulties in recent times, with many businesses suffering losses. On the occasion of the September 2 holiday, the city only welcomed more than 19,000 overnight guests, down nearly 40% compared to the same period last year, and the room occupancy rate was only about 27%. According to statistics, visitors to Phu Quoc by air account for about 60%, the rest by boat. Currently, most flights and boats to the island are empty.

In addition, the company also mentioned the second reason for the decline in revenue is the weather from July to September with continuous storms and rains, especially during the peak summer season and the September 2nd holiday. Superdong had to stop all routes at one point, many passengers canceled their trips, and passengers who had already traveled to the island could not return. As a result, tourists were more afraid of traveling during the stormy season.

SKG said it is expecting the move of the People's Committee of Kien Giang province and related departments and agencies in finding solutions to restore Phu Quoc tourism. Internally, the company plans to reallocate the operating schedule of routes in accordance with the current number of visitors to optimize costs. At the same time, the company also implements many promotional programs to stimulate tourism.

A Superdong speedboat sailing offshore. Photo: SKG — A Superdong speedboat sailing offshore. Photo: *SKG*

According to the plan, this year Superdong will upgrade four high-speed trains to put them into operation on the Rach Gia - Phu Quoc, Ha Tien - Phu Quoc, and Rach Gia - Nam Du routes. The Rach Gia - Phu Quoc route will be guaranteed to have all high-speed trains. The company also wants to maintain a continuous train schedule with competitive fares.

SKG will also invest in three new ships to operate the Ho Chi Minh City - Vung Tau route, restore the Phu Quoc - Nam Du and Rach Gia - Hon Nghe routes. The company is researching to expand potential routes in Kien Giang and other provinces and cities.

Siddhartha

Source link