Mr. Nguyen Quoc Ky speaks at an event of Vietravel Airlines - Photo: Vietravel Airlines
Recently, Vietravel Tourism Joint Stock Company (VTR) issued a resolution of the Board of Directors on withdrawing all of the more than 18.46 million shares it holds at Vietravel Airlines. The transaction value is determined to be less than 10% of the total assets of the enterprise, more than 3,134 billion VND, as of the end of the third quarter of 2025.
Vietravel abandons "indispensable piece"
After divestment, Vietravel Airlines' shareholder structure will include Vietravel Group, T&T Airlines, T&T SuperPort, BVIM fund and a number of individual shareholders.
Mr. Do Vinh Quang - son ofSHB Bank Chairman Do Quang Hien - is currently Chairman of the Board of Directors of Vietravel Airlines.
Immediately after that, the airline added more aircraft, increased its charter capital to VND2,600 billion, and expanded its network of operations on key domestic routes and many famous tourist destinations.
Mr. Nguyen Quoc Ky - Chairman of the Board of Directors of Vietravel Tourism Group - said that the restructuring helps the business return to its core strengths. In this roadmap, Vietravel Airlines will switch to a new brand name, independent of the Vietravel ecosystem.
Vietravel's parting with Vietravel Airlines was surprising because when it was first established, Mr. Ky emphasized that this was an indispensable part of the business.
Vietravel's financial pressure
In 2019, to prepare for the Vietravel Airlines project, Vietravel issued VND700 billion in bonds. This bond has a term of 24 months, interest rate of 9.25%/year for the first 15 months and increases to 11% for the remaining term.
The 2020 financial report shows that the company invested more than VND700 billion in Vietnam Airlines Travel Company Limited. This is a term deposit at a financial company, which is frozen to ensure compliance with regulations on minimum capital for flights.
The report also said that in the same year, the bond loan matured. Short-term financial leasing loans and debts skyrocketed from over VND237 billion at the end of 2019 to VND1,092 billion at the end of 2020. Short-term financial leasing loans and debts decreased from nearly VND714 billion to over VND20 billion. Total outstanding debt is VND1,112 billion.
By the end of 2022, total short-term and long-term loans will decrease to more than VND721 billion. As of September 30, 2025, this figure is at VND930 billion.
While at the end of 2018, total debt was only nearly 115 billion VND, the previous year it was more than 30 billion VND.
Vietravel's loan and financial leasing debt structure - Chart: NGUYEN NGUYEN
Right at the time of launching Vietravel Airlines in 2020, the COVID-19 outbreak caused tourism business activities to almost freeze, and planes could not take off for a while. Net revenue plummeted from 7,432 billion VND in 2019 to 1,518 billion VND, 913 billion VND the following year. The company lost 99 billion VND after tax in 2020 and continued to lose 350 billion VND the following year.
Meanwhile, financial expenses continuously increased from 10 billion VND (2018) to 119 billion VND (2021). Even in 2020, this expense was equivalent to 64% of gross profit. From 2022 to now, Vietravel's business activities have improved but this ratio is still around 20%.
Vietravel's gross profit and financial expense structure - Chart: NGUYEN NGUYEN
In the first 9 months of 2025, Vietravel's net revenue reached VND5,438 billion, a slight increase of 1% over the same period last year. However, after-tax profit only reached VND11 billion, down nearly 65%. Of which, Q3 profit was just over VND4 billion, down nearly 71%. Due to input costs causing the cost of goods sold to increase by nearly 4%, financial expenses increased by nearly 11% due to the impact of foreign exchange rate fluctuations.
Vietravel leaders said the decision to divest will help optimize financial resources, improve investment efficiency, return on equity, and increase flexibility in cooperation with airlines instead of maintaining direct ownership investment activities.
Recently, SHS Securities Company has an analysis report assessing that the aviation industry is entering a fierce competition between airlines. Vietnam Airlines and Vietjet Air dominate, accounting for more than 86% of the domestic market share. Airlines such as Bamboo Airways, Pacific Airlines and Vietravel Airlines are making efforts to expand their market share through restructuring, strategic innovation and flight network expansion.
In addition, large enterprises have also begun to enter the market with the establishment of Sun Group Corporation, Sun PhuQuoc Airways. The competitive pressure in this industry is increasing, promoting service improvement and business model diversification.
Source: https://tuoitre.vn/vi-sao-vietravel-thoai-sach-von-khoi-vietravel-airlines-khep-lai-cuoc-choi-tien-ti-20251129084047514.htm
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