Fashion
Military-run telecom group Viettel, one of Vietnam’s three largest mobile service providers, recorded a pre-tax profit of VND1 trillion (US$41.2 million) from its overseas investments in the first half of 2017, a 156 percent year-on-year increase, according to Viettel’s latest report.
The report, which reviews the business results of Viettel’s overseas investments in nine markets, showed that in H1, Viettel’s revenue rose by 25 percent compared to the same period last year, to VND14 trillion ($600 million). Particularly, revenue in Peru posted the highest growth rate of 82 percent, following by Burundi at 38 percent, East Timor at 29 percent and Haiti at 15 percent.
The positive results came from revenue generated by mobile phone telecommunication services, especially new services such as 4G, e-wallet and large information technology projects for governments and businesses.
The projects include the line connecting East Timor, Laos population management system, transmission channel for the Mozambique Ministry of Home Affairs and Ministry of Higher Education, Science and Technology, and a tax payment system for Burundi.
Viettel also received positive signs from Lao market, with its Unitel brand maintaining its leading position with four million subscribers. Its Telemor brand in East Timor has been granted a new frequency to expand its network, thus bringing in a revenue of several million US dollars.
The favorable exchange rate in Viettel’s overseas markets also contributed towards good business results.
The achievements are expected to be a pre-condition for a higher growth rate for the group this year. Viettel has targeted a strong growth rate of 35 percent, with around 50 million subscribers, in 2017. Revenue from overseas investment has been set at VND32 trillion ($1.4 billion) and its growth rate at 29 percent this year.
The group plans to complete building network infrastructure in its tenth market, Myanmar, this year, as well as create modern broadband infrastructure for 4G in these markets.
Viettel currently has operations in 9 overseas markets including Laos, Cambodia, East Timor, Cameroon, Haiti, Mozambique, Burundi, Peru, and Tanzania, with operations in Myanmar expected to begin in the first quarter of next year.
Viettel earned VND226.5 trillion in revenue in 2016, equal to 100 percent of its annual plan, while pre-tax profit was VND43.2 trillion, or 101 percent of its annual plan. The military-run company had 7.4 million new subscribers as at the end of 2016, bringing its total to 90 million.
