Viettel outdoes VNPT second year in a row

According to a recent report from the Ministry of Information and Communications (MIC), in 2013 Viettel saw VND162.8 trillion ($7.7 billion) in total revenue, achieving its annual target and up 15.2 per cent against 2012.

Estimated pre-tax profit was VND35 trillion ($1.6 billion) with taxes of VND13.5 trillion ($647 million), rising 19.4 per cent against 2012.

VNPT on the other hand reported total revenue of VND119 trillion ($5.6 billion) in 2013, paying VND7.894 trillion ($376 million) in taxes. Its estimated profit for the year was VND9.265 trillion ($441 million).

In 2012 the state telco posted more than VND130 trillion ($6.2 billion) in total revenue, but saw lower profits of VND8.5 trillion ($404 million).

In terms of revenue, Viettel surpassed VNPT by more than VND43.8 trillion ($2 billion) and exceeded it in profits by VND25.8 trillion ($1.2 billion).

2012 was the first year military-run Viettel eclipsed VNPT’s business performance when the former reported total revenue of VND140 trillion ($6.6 billion) against the latter’s VND130.5 trillion ($6.2 billion). Viettel’s profits of VND24.5 trillion ($1.1 billion) nearly tripled those of VNPT.

The MIC report also showed that VNPT’s biggest revenue growth in 2013 came mostly from content services, 45 per cent against 2012, with cable and broadband services hiking by 26 per cent.

The report’s figures showed that by the end of 2013, VNPT had 40.4 million mobile phone subscribers, only 78 per cent of those it had by the end of 2012, explaining why the telco’s revenue from mobile services in 2013 was nearly the same as the previous year.

Also in 2013, VNPT asked the MIC’s permission to provide cable television services throughout the country based on existing infrastructure. It is likely to receive the go-ahead in the near future.

Viettel’s revenue came primarily from its mobile network as it continues to attract subscribers and has taken the lead both in respect to revenue and number of subscribers.

In its most recent count, Viettel reported 54.25 million mobile subscribers, up 1.81 million against the end of 2012. Also in 2013 Viettel saw nearly 2.15 million new 3G subscribers and 44,000 new Internet and broadband subscribers.

According to Viettel deputy general director Nguyen Manh Hung, by 2015 up to 40 per cent of the group’s workforce will focus on developing applications and telecom services would account for half of the group’s total global revenue.