Viettel reports massive revenue and profit

January 03, 2018 | 15:41
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Despite the global telecommunications market nearing saturation, telecommunication services providers, namely VNPT, MobiFone, and especially military-run Viettel, still reported soaring revenue and profit figures.
Viettel has closed a spectacular 2017, with skyrocketing revenue and profit

Notably, in 2017, Viettel acquired VND250.8 trillion ($11.04 billion) in revenue, and VND44 trillion ($1.94 billion) in profit, signifying increases of 9.4 and 12 per cent, respectively. Viettel’s profit is nine times higher than that of VNPT and eight times higher than that of MobiFone. Viettel’s profit made up 60 per cent of the total profit of state-owned economic groups.

The revenue from the domestic telecommunications market contributed to 65.5 per cent of Viettel’stotal revenue, while 13.55 per cent came from foreign markets.

From research and manufacturing, the company’s revenue was valued at VND12.5 trillion ($550.44 million). Besides, this year, Viettel licensed 25 inventions, tripling the figure of 2016.

Viettel contributed VND41.14 trillion ($1.81 billion) to the state budget, up 2.3 per cent on-year. This money is disbursed in three sectors, namely education-training, population-healthcare, and science-technology.

Along with sweet business results, Viettel was certificated as the firm having the largest profit according to Vietnam Report, as well as the firm paying the largest taxes and the firm having the largest brand value. With the brand valuation of $2.6 billion, Viettel ranked 49th of the 500 largest telecommunication corporations on the world.

In 2018, Viettel targets earning VND277 trillion ($12.19 billion) in revenue, up 10.5 per cent, with VND45.5 trillion ($2.003 billion) in profit, up 3.2 per cent on-year. The company's accumulated number of 4G users is expected to reach 17 million by the end of this year.

Viettel’s 10 greatest moments in 2017

  1. Viettel was officially recognised as a defence and security firm of Vietnam

As a state-owned enterprise operating in the defence sector, Viettel has been very lively, developing successfully in the fields of economics and national defence.

With the products of the A1 project, Viettel helps the Military Science and Technology Institute and the General Department of Defence Industry to approach projects quicker by shorter transfer and receipt processes.

  1. Viettel’s brand value reached $2.6 billion

On December 5, 2017, Brand Finance, the world’s leading independent brand valuation and business strategy consulting firm, published the list of Vietnam’s 50 largest brands. Accordingly, Viettel ranks first with the brand value of nearly $2.6 billion, doubling the value of the second-ranking firm. In comparison with foreign telecommunication firms, Viettel ranks 17th in Asia and the second in Southeast Asia.

  1. Viettel recognised as the firm having the largest profit and paying the most in taxes in Vietnam
  2. Opening the Myanmar office, marking Viettel’s 10th foreign market

On August 26, Viettel organised the opening ceremony of its join venture in Myanmar with total registered investment capital of $1.8 billion, of which Viettel holds 49 per cent.

  1. Viettel became the first telecommunications firm to remove roaming charges for people in three countries

From January 1, 2017, Viettel removed roaming charges for phone calls among its subscribers in Vietnam, Laos, and Cambodia.

The move will allow subscribers of Viettel in Vietnam, Unitel in Laos, and Metfone in Cambodia to make phone calls to each other at the same price as domestic calls. Unitel and Metfone are Viettel’s subsidiaries in Laos and Cambodia.

This policy marks Viettel as the first mobile service provider to remove roaming charges for subscribers of its networks abroad.

  1. Viettel implements 4G service at record speed

On April, 18, 2017, Viettell officially implemented its nationwide 4G network with the coverage ratio of 95 per cent of the population. With 36,000 transceiver stations (BTS) to serve 4G services, it took Viettel six months to popularise its 4G services around the country, while it took Vietnam 20 years to implement 2G services.

Along with the domestic market, to date, the company has implemented 4G services in five markets, including Cambodia, Laos, Burundi, Peru, Haiti, and Timor-Leste.

  1. Major General Nguyen Manh Hung was voted as one of the ten people having the largest impact on the Internet’s development in Vietnam during the past ten years

Major general Nguyen Manh Hung had made great contributions to the implementation of 3G and 4G services nationwide.

In 2013, Hung was also the first d of a telecommunication firm to announce a fixed broadband development strategy to build national telecommunications infrastructure as the basis of broadband cellular networks and broadband applications. Up to now, Viettel's optical fibre network has a length of 356,000 kilometres, which is enough to wrap nine rounds around the earth.

  1. Viettel successfully studied and manufactured military and telecommunications equipment

On June 1, 2017, Viettel announced the successful implementation of its third online billing system named vOCS.

After six years of development, braving multiple failures in the testing procedure, Viettel officially finished its new vOCS system version 3.0 and put it into operation. Within six months, Viettel managed to transfer 90 million subscribers to the new billing system.

Viettel’s new vOCS 3.0 can manage up to 24 million subscribers per site, which is double the capacity of the world’s current largest billing system. In addition, vOCS 3.0 is designed to be fully customisable for each subscriber, a function entirely unique for the product. Thanks to its self-developed vOCS system, Viettel has saved more than $70 million on investment costs.

The successful launch of Viettel’s new OCS system for the 90 million subscribers in Vietnam and the total of 140 million in six countries, forges the path for the Vietnamese company to become one of the largest OCS providers worldwide.

Besides, Viettel manufactured 1,000 BTS to provide 4G services in East Timor (Timor-Leste) and Vietnam. Viettel expects that by 2020, it will manufacture telecommunication infrastructure to meet 70 per cent of its demand.

Regarding the military, in 2017, Viettel completed the production of 34,000 information equipment, switchboards, dozens of radars, as well as 13,800 kilometres of optical fibre.

  1. Viettel became the leading information security firm in the Vietnamese cyberspace
  2. Viettel started a large-scale restructuring initiative to increase professionalism and put customers as its priority
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By By Ha Vy

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