Vietjet’s Q3 net loss at nearly $42 million on travel restrictions

Khanh Minh Monday | 11/02/2020 15:07

A Vietjet aircraft seen at Lien Khuong Airport in the central highlands town of Da Lat. Photo by Shutterstock/PixHound.

Budget carrier Vietjet has recorded a net loss of more than VND971 billion ($42 million) in the third quarter of this year due to flight restrictions imposed to prevent pandemic.

Vietnam’s second largest airline in terms of market share reported third quarter revenue drop by 79 percent year-on-year to VND2,809 billion ($121 million), according to its financial statement.

In the nine-month period, the air carrier recorded VND925 billion ($40 million) in net loss from VND3,681 billion ($159 million) profit a year earlier. Revenue fell to VND13.8 trillion ($596 million) from VND38 trillion ($1.6 billion).

The budget air carrier transported more than three million passengers in the quarter and opened eight new domestic routes, bringing the total number of routes to 52.

The second Covid-19 outbreak in the last week of July and throughout August brought down travel demand again. The total number of domestic flights plunged 35 percent to just over 15,000 in this period.

As of end-September, the total asset of the carrier dropped 7 percent to VND45,304 billion ($1.95 billion).