Vietjet Aviation Joint Stock Company · HOSE:VJC
Vietjet Aviation Joint Stock — Q1 2023 Earnings Presentation
24 slides from Vietjet Aviation Joint Stock's earnings presentation, May 2023
Slide 1: Q1.2023 Business Performance Result and Update
Vietjet Aviation Joint Stock Company Q1.2023 BUSINESS PERFORMANCE RESULT AND UPDATE May 2023 0
Slide 2: Disclaimer
Disclaimer Information contained in our presentation is intended solely for your reference. Such information is subjected to change without notice, its accuracy is not guaranteed and it may not contain all material information concerning the company. Neither we nor our advisor makes any representati
Slide 3: Contents
Contents I. Company Overview II. Key Investment Highlights III. Strategic Initiatives IV. Notable Events 2
Slide 4: Company overview
Company overview Vietjet is the market leader and a pioneer in Low-Cost Carrier (LCC) in Vietnam Business overview Domestic market share by capacity (Q1.2023) • Established in 2007, Vietjet is a leading regional low-cost carrier and Vietnam’s first private airline to be granted operations permit and
Slide 5: Development milestones
Development milestones Vietjet has operated with the incredible growth in aircraft fleet and route networks Fleet DEVELOPMENT MILESTONES 2023 (as of 31 Mar 2023) ◼ Vietjet commenced direct 2022 flights to (Sydney, Melbourne, Brisbane) Australia 77 ◼ Vietjet received 2 A330 2021 ◼ Vietjet opened 20 n
Slide 6: Contents
Contents I. Company Overview II. Key Investment Highlights III. Strategic Initiatives IV. Notable Events 5
Slide 7: Key investment highlights
Key investment highlights 1 # 1 LCC in Vietnam with a strong operational capability Best positioned to benefit from Vietnam’s attractive macro story and strong government 2 incentives for the Vietnam’s Aviation sector Consistently and strongly focusing on building and maintaining the best-in-class c
Slide 8: LCC in Vietnam with a strong operational capability
1 Key investment highlights # 1 LCC in Vietnam with a strong operational capability #1 LCC with 42% domestic market share 2nd Largest fleet in Vietnam with 77 aircrafts number of aircraft 93 2% Other Airlines 5% 77 11% 42% 30 10 5 3 40% …Vietjet among the fastest-growing airlines in APAC with total
Slide 9: LCC in Vietnam with a strong operational capability: operating metrics
1 Key investment highlights # 1 LCC in Vietnam with a strong operational capability Number of passengers Number of flights (million) (thousand) 20.6 116.3 76.1 12.1 40.8 5.4 5.4 31.3 3.1 19.9 2020 2021 2022 Q1.2022 Q1.2023 2020 2021 2022 Q1.2022 Q1.2023 Load factor Aircraft utilization (%) (hours/ai
Slide 10: Best positioned to benefit from attractive macro story
2 Key investment highlights Best positioned to benefit from attractive macro story and strong government incentives for Vietnam’s Aviation sector Highest GDP per capita growth across ASEAN Highest personal disposable income growth across ASEAN Large LCC market with ample growth opportunities 6.8% 9.
Slide 11: Airport infrastructure and regulation changes
2 Key investment highlights Best positioned to benefit from attractive macro story and strong government incentives for Vietnam’s Aviation sector Huge potential development opportunities for airport infrastructure Changes in regulations to support the airline industry Lao Cai Airport (Cam Con Commun
Slide 12: Best-in-class cost structure
3 Key investment highlights Consistently and strongly focusing on building and maintaining the best-in-class cost structure Vietjet has the one of the lowest CASK (ex-fuel) amongst its regional and global peers in 2022 Asia Other regions Average: 5.81 Average: 5.05 2.7 5.6 5.3 5.4 7.0 6.7 3.1 2.6 7.
Slide 13: Cost, cost & cost! A strong focus on cost
Cost, cost & cost! A strong focus on cost 12
Slide 14: Resilient operational performance: asset base and capital structure
4 Key investment highlights Resilient operational performance to support comprehensive strategy towards building diversified aircraft asset portfolio Stable asset base scale up with additional aircraft asset Well balanced capital structure with c.60% long-term resource (US$ million) Current asset No
Slide 15: Revenue and profit growth
4 Key investment highlights Resilient operational performance to support comprehensive strategy towards building diversified aircraft asset portfolio Airline and consolidated revenue achieved at 285% and 185% y-o-y Ancillary revenue made up 33% of total revenue growth in Q1.2023 respectively (US$ mi
Slide 16: Young and modern fleet with large aircraft orderbook
5 Key investment highlights Young and modern fleet with significant commercial and financial potential being secured by a large aircraft orderbook Fleet overview Diversified and fast growth of Vietjet’s air fleet 77 aircraft, 73 leased and 4 owned Owned 1 1 4 1 4 Total fleet 71 76 75 77 77 Aircraft
Slide 17: Digital airline ecosystem and all-in-one loyalty platform
6 Key investment highlights Comprehensive strategy in building digital airline ecosystem and all-in-one loyalty platform Fully integrated technology management system allowing Vietjet to achieve better profitability and proficiency Digital pilot-to-maintenance Enterprise resource planning Flight dat
Slide 18: Strong brand recognition and awards
7 Key investment highlight Strong brand recognition in Vietnam and across the region providing sustainable competitive advantage Most Valued Airline of the Year in Asia 2022 Best Cabin Crew Service in ASIA 2022 2022 Best Low-cost Airline Awards 2022 2022 The best new Fintech product “Fly First – Pay
Slide 19: Experienced board of directors and management
8 Key investment highlights Experienced board of directors and management committed to investors’ best returns Mdm. Nguyen Thi Phuong Thao Mr. Dinh Viet Phuong Mdm. Ho Ngoc Yen Phuong Chairwoman BOD member, CEO BOD member, EVP & CFO • Madam Nguyen Thi Phuong Thao is one of • Dr. Phuong has more than
Slide 20: Contents
Contents I. Company Overview II. Key Investment Highlights III. Business outlook IV. Notable Events 19
Slide 21: 2023 Business outlook
2023 STRATEGIC GROWTH PLANNING 2023 Business outlook Flight network development Branding and Partnership 1 4 • Expand widely the domestic route network • Maintain and strengthen the company’s outstanding especially the key routes; strengthen the domestic branding by improving our services (ground se
Slide 22: Contents
Contents I. Company Overview II. Key Investment Highlights III. Business outlook IV. Notable Events 21
Slide 23: Notable events
Notable events Vietjet has achieved remarkable milestones in reaching momentous agreements with key partners and opening new routes to international destinations Vietjet announced to commence direct flights connecting Vietnam and Australia starting on 31/03/2023. Vietjet will operate modern and comf
Slide 24: Thank you
Thank you 23
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