Vietnam Airlines turns a profit in 2024

Vietnamese flag-carrier Vietnam Airlines ended 2024 with a consolidated pre-tax profit of around US$307.8 million.

The figure is a vast improvement after the past four years which were marked by losses for the airline.

In the consolidated financial statement, Vietnam Airlines reported a total revenue of US$4.26 billion, reflecting a 16.5 percent increase from 2023’s total.

The statement also showed that the airline’s revenue and profit figures are now at the highest they have been in recent years.

Relevant details

In Q4-2024, Vietnam Airlines earned a total revenue of close to US$1.07 billion, a year-on-year increase of 11.5 percent.

Cost reductions throughout the year enabled the airline to earn a gross profit of around US$174.64 million, making it a fourth consecutive quarter marked by profits.

Vietnam Airlines’ profitability in the past year may be attributed to the full recovery of global flight networks throughout 2024, along with the introduction of new routes and codeshare partnerships with other airlines.

Domestic ticket prices in Vietnam also rose significantly in the first half of the year, with some routes seeing an increase of up to 20 percent on average.

Thanks to this development, Vietnam Airlines’ executive board is planning to present a new proposal to shareholders regarding the issuance of new shares to boost charter capital and update its restructuring plan for this year.