Vietjet Aviation Joint Stock Company · HOSE:VJC
Vietjet Aviation Joint Stock — H1 2023 Earnings Presentation
27 slides from Vietjet Aviation Joint Stock's earnings presentation, Oct 31, 2023
Slide 1: 1H.2023 Business performance results
1H.2023 Business performance results 0
Slide 2: Disclaimer
Disclaimer Information contained in our presentation is intended solely for your reference. Such information is subject 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 representation
Slide 3: Contents
Contents I. Company Overview II. Key Investment Highlights III. Business Outlook IV. Notable Events 2
Slide 4: Company overview
Company overview Vietjet is a market leader and a pioneer in Low-Cost Carrier (LCC) in Vietnam Business overview Vietjet has dominated domestic aviation market (1H.2023) • Established in 2007, Vietjet is a leading regional low-cost carrier and Vietnam’s first private airline to be granted operations
Slide 5: Development milestones
Development milestones Vietjet has operated with an incredible growth in aircraft fleet and route networks Fleet DEVELOPMENT MILESTONES 2023 (as of 30 June 2023) Vietjet commenced direct 2022 flights to (Sydney, Melbourne, Brisbane) Australia 82 Vietjet received 4 A330 2021 Vietjet opened 20 n
Slide 6: Flight Network
Flight Network Vietjet has one of the most extensive network in Vietnam and is well-positioned for international routes Astana Almaty Seoul Daegu Tokyo Hiroshima Busan Nagoya Fukuoka Osaka New Dehli Taipei Ahmedabad Ha Noi Taichung Tainan Hong Kong Kaohsiung Chiang Mai Mumai Da Nang Bangkok Vietjet’
Slide 7: Products and services
Products and services Leveraging complete digital platforms to provide full suite of air services and deliver exception experience for Vietjet’s passengers All-in-one loyalty platform Diversified fare classes SKYJOY 10 million members Fly first, Pay later Travel insurance HDBank-Vietjet Travel Credi
Slide 8: Sustainable Development
Sustainable Development Continuation of investment on “green” aviational solutions and commitment to Fly Net Zero by 2050 Modern and young fleet Owning one of the youngest and modern fleet 82 aircrafts with average age of 5.5 years, operating with economical and flexible costs Issuance of Environmen
Slide 9: Contents
Contents I. Company Overview II. Key Investment Highlights III. Business Outlook IV. Notable Events 8
Slide 10: 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 11: LCC in Vietnam with a strong operational capability
1 Key investment highlights # 1 LCC in Vietnam with a strong operational capability #1 LCC with 40% domestic market share 2nd Largest fleet in Vietnam with 82 aircrafts number of aircraft 91 3% Other Airlines 82 7% 16% 40% 30 10 5 3 34% …Vietjet among the fastest-growing airlines in APAC with total
Slide 12: LCC in Vietnam with a strong operational capability
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 12.1 65.9 9.1 52.5 40.8 5.4 2020 2021 2022 1H.2022 1H.2023 2020 2021 2022 1H.2022 1H.2023 Load factor Aircraft utilization (%) (hours/a
Slide 13: 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 14: Government incentives for Vietnam's aviation sector
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 Sa Pa Airport (Lao Cai) Reducti
Slide 15: Best-in-class cost structure
3 Key investment highlights Consistently and strongly focusing on building and maintaining the best-in-class cost structure Vietjet maintained the lowest CASK (ex-fuel) comparing to Asian and Global LCCs 1H.22 1H.23 Vietjet Asia LCCs Global LCCs 5.1 5.8 5.4 4.5 2.9 2.7 2.7 CASK CASK Ex fuel Vietjet
Slide 16: Cost, cost & cost! A strong focus on cost
Cost, cost & cost! A strong focus on cost 15
Slide 17: 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) Audited Current
Slide 18: Revenue and profit performance
4 Key investment highlights Resilient operational performance to support comprehensive strategy towards building diversified aircraft asset portfolio Airline and consolidated audited revenue achieved at 69% and 85% Ancillary revenue made up 40% of total revenue y-o-y growth in 1H.2023 respectively (
Slide 19: Young and modern fleet and 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 fleet 82 aircrafts, 78 leased and 4 owned Owned 1 1 4 1 4 Total fleet 71 76 75 77 82 Aircraft uti
Slide 20: 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 21: Strong brand recognition and awards
7 Key investment highlights Strong brand recognition in Vietnam and across the region providing sustainable competitive advantage Top 50 Sustainable Development Businesses Vietnam 2023 2023 Best Low-Cost Airline Onboard Hospitality for 2023 Best Ultra Low-Cost Airline 2023 2023 Vietnam’s Best Valuab
Slide 22: 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 23: Contents
Contents I. Company Overview II. Key Investment Highlights III. Business Outlook IV. Notable Events 22
Slide 24: Business Outlook
2023 STRATEGIC GROWTH PLANNING Business Outlook Flight network development Branding and Partnership 1 4 • Expand widely the domestic route network • Maintain and strengthen the company’s especially the key routes; strengthen the outstanding branding by improving our services domestic leader position
Slide 25: Contents
Contents I. Company Overview II. Key Investment Highlights III. Business Outlook IV. Notable Events 24
Slide 26: Notable events
Notable events Vietjet has achieved remarkable milestones in reaching momentous agreements with key partners and opening new routes to international destinations In Q2 2023, Vietjet announced direct flights to Hiroshima (Japan) and Brisbane (Australia), and increased the frequency of routes to and f
Slide 27: Thank you
Thank you 26
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