Software giant FPT posts rising revenue

Viet Nam’s software giant FPT announced on Monday that it had posted a revenue of VND4.27 trillion (US$224 million) in the first quarter this year, an increase of 8.7 per cent over the same period last year.

The group earned a pre-tax profit of VND455 billion ($23.9 million), 157 per cent of its plan, 16.2 per cent increase over the same period last year.

Deputy General Director Le Trung Thanh said after-tax profit of the parent company reached VND290 billion ($15.2 million), representing an increase of 32.1 per cent against the same period last year.

Thanh said earning-per-share was VND2,021 ($0.1), progressing 29.8 per cent against the same period last year.

The performance in the first quarter was attributed to improvements in software exports, distribution, training, telecoms and integrated system services.

In the distribution sector, the group focused on distributing high added-value products by expanding its range of hi-tech products such as personal computers, laptops and mobile phones and network equipment. By the end of the first quarter, the distribution sector earned a revenue of VND3.11 trillion ($163 million) making a profit of more than VND150 billion ($7.8 million). In the telecoms sector, the group continued to increase its coverage to 31 cities and provinces.

In the software sector, the group expands its market to other countries. Accordingly, revenue from the US and EU markets reached a growth rate of 81 per cent and 86 per cent respectively.

The integrated system sector saw a slow start in the first quarter, prolonging hardware supply projects. However, Thanh believed signed contracts would lift business performance for the rest of the year.

The group’s shareholders have approved a 58.3 per cent dividend on last year’s profits, of which a 25 per cent cash dividend has already been paid. The remainder would be paid in shares before June 30 this year.

The group also plans to offer bonus shares this year at a ratio of 4:1, as well as pay a dividend on this year’s profits of at least 15 per cent.

The group continues to pursue the “e-Citizens” strategy, concentrating intensively on core businesses, appealing for synergy among member companies to introduce products and services.

VIETNAMNEWS

Tags: FPT, Vietnam IT, Vietnam IT market, Vietnam software market