Viettel Global, the international telecoms arm of Vietnam’s military-backed Viettel Group, posted revenues of almost VND14.9 trillion (USD659.4 million) in 2015, news agency Tuoi Tre reports, citing a report by financial site Dau Tu Online. The company’s 2015 net profit dropped to VND500 billion, meanwhile, representing the company’s lowest bottom line since 2012.
In Africa, Viettel’s subsidiaries in Mozambique, Cameroon, Tanzania, and Burundi collectively generated sales of VND4.9 trillion, up 25% on an annual basis. Despite the improved top line though, the company incurred nearly VND2.6 trillion in losses, almost triple the deficit reported in 2014. Viettel Global attributes its losses in Africa to volatile FOREX markets in the region.
In Southeast Asia, meanwhile, Viettel Global’s revenue – through its units in Laos, Cambodia, and Timor Leste – also saw a decline, dropping 9% year-on-year to VND6.18 trillion. The post-tax profit in Asia slumped 28% y-o-y to VND1.23 trillion. Finally, Latin America – where Viettel has a presence in Haiti and Peru – contributed VND213 billion profit, compared to a VND87 billion loss in 2014.
As previously reported by TeleGeography’s CommsUpdate, Viettel is now poised to enter a tenth international market, in the shape of Myanmar. The group will form a joint venture (JV) with a consortium of eleven local companies – the Myanmar special purpose vehicle (SPV) – and the Ministry of Defence’s Star High Public Company, with the two Myanmar entities taking a 51% stake in the JV, whilst Viettel will hold the remaining 49%.