HANOI UNIVERSITY
FACULTY OF MANAGEMENT AND TOURISM
FINANCIAL MANAGEMENT PROJECT:
VIETJET BUSINESS PERFORMANCE
IN 5-YEAR PERIOD
Tutorial 11: 12h20 – 14h
Tutor: Nguyen Thi Minh Hang
Nguyen Thi Ha Vy 1904000120
Vu Anh Tu 1704040107
Tran Lan Chi 1804040025
Hoang Minh Thao 1904000102
Nguyen Van Bao Minh 1904000079
Hanoi, May 2021
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TABLE OF CONTENTS
Excutive Summary ……………………………………………………………………………………. 3
PART 1.……………………………………………………………………………………………… 4
I. Introduction ……………………………………………………………………………… 4
II. The financial information ………………………………………………………………. 4
III. Financial Ratios Calculation …………………………………………………………… 5
IV. Comparative Analysis …………………………………………………………………………………………. 6
V. Dupont and perform analysis …………………………………………………………. 10
VI. Weaknesses and strengths of Vietjet ……………………………………………………. 11
PART 2..……………………………………………………………………………………………….. 12
I. Free cash flow …………………………………………………………………………….. 12
II. Average growth rate ……………………………………………………………………. 13
III. WACC ……………………………………………………………………………………14
IV. Value of the equity and then intrinsic value of a share ………………………………. 14
V. Suggestion ………………………………………………………………………………. 15
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Executive Summary
In order to fully comprehend a company’s worth and results, people must
look through its financial reports. For this reason, we use trend analysis and
comparative analysis to determine whether the company is a good investment
or whether it has the potential and reputation to pay its debts or not.
Furthermore, the financial analysis also helps each company in identifying
their own strengths and weaknesses, allowing them to take steps to improve
their strengths and resolve their weaknesses. Based on VJC’s current
financial condition, the analysts would value the firm and estimate the
intrinsic value of its stocks. Moreover, financial analysis information
provides investors recommendations with the most detailed summary when
making investment decisions. Recognizing the value of financial analysis in
the business world, our team agreed to investigate VietJet Company’s
financial situation in 2020
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PART 1: Assess a company through its financial information:
I. Introduction
VietJet Aviation Joint Stock Company trading as Vietjet was established on July 23, 2007 with 3
main shareholders: TC group, Sovico Holdings and HD Bank. The company was formally
launched with an initial charter capital of 60 billion VND. On February 2017, the firm began
trading on Ho Chi Minh City Stock Exchange under the ticker symbol VJC, making it the first
airline in Vietnam to be listed on the bourse. Currently, Vietjet is an official member of
International Air Transport Association (IATA)
At the present, Vietjet is operating flight network covering destinations in Vietnam and about 30
destinations in the region to ThaiLand, Singapore, Malaysia, Myanmar, Korea, China, Japan,
HongKong. Vietjet as an affordable airline is one of the main drivers of growth in Vietnam’s
aviation market, surpassing other means. Moreover, Vietjet also provide goods and services
consumption needs through e-commerce technology applications. With many times being honored
in Vietnam and from abroad, such as being in the top 500 leading brands in Asia in 2016, Vietjet
also received a certificate of merit from Prime Minister for its grand contribution to the local
aviation industry
II. The financial information
To have more knowledge about the strengths and weakeness of Vietjet Air Joint Stock company,
we collected a balance sheets and income statements through over the years from 2017 to 2020.
VIETJET AIR JOINT STOCK COMPANY (trillion VND)
INCOME
STATEMENT
2017
2018
2019
2020
Net revenue
42.30
53.58
50.60
18.21
Gross profit
6.55
7.49
5.62
(1.57)
Net operating profit
5.30
5.80
3.85
(2.40)
Net profit after tax
5.07
5.34
3.81
0.07
BALANCE SHEETS
Current assets
17.67
19.08
24.46
24.50
Total assets
31.66
39.09
48.86
47.09
