Vietnam Airlines and Deloitte just release their financial report on the first half of 2020.
After the first half of the year, the airline's revenue reached VND 24,944 billion (~$1.069.231,05), down more than half over the same period due to the influence of Covid-19 translation. This is also the main reason why the company saw a net loss of 6,678 billion dong (~$286.256,61) after the first 2 quarters of the year, while the same period profit was 1,517 billion dong (~$65.027,15).
However, this is the main problem:
However, in this report, the auditor emphasized that the short-term debt of Vietnam Airlines has exceeded short-term assets, with the amount of 18,444 billion VND (by the end of June). During the last operating period, this airline also recorded a loss of 6,678 billion dong and net cash flow from operating activities was negative 5,362 billion.
According to Deloitte, these conditions, coupled with a debt of over VND 18,000 billion in excess of short-term assets, indicate the existence of uncertainties that could significantly affect the ability to operate continuously of the Vietnamese biggest carrier.
To save the situation, VN's shareholders agreed to sell up to 9 A321-231ceo built-in 2007-2008. Besides that, VN was also hinting that it will have a new investor:
Currently, VN is in the process of negotiating with a partner to complete the signing of a formal agreement to sell shares in an associate. Based on the approval of the competent authorities and the results of the current negotiations, the business expects the transfer to be completed this year.
One year ago, VN was still a worthy carrier with high profit and ambitious plans. Now... hope that best thing will happen to this 70 years old carriers. VN is currently having around 100 airframes, which 70 of them are A321ceo/neo and the remains are A350 and B787.