FPT : Eight-month profit before tax up a 16% yoy increase

In the first eight months of 2017, FPT's revenue and profits indicators all showed healthy growth. Consolidated revenue was VND 27,340 billion, up 11% YoY, equivalent to 100% of the YTD targets. Profit before tax (PBT) was VND 1,992 billion, increasing by 16% YoY and equal to 100% of the YTD target. Profit after tax (PAT) was VND 1,697 billion, up 15% YoY.

Year-to-date PAT attributable to parent company's shareholders was VND 1,303 billion, up 16% YoY. Year-to-date EPS was VND 2,460 in the eight-month period, up 16% YoY.

FPT's core business segments all achieved high growth. Specifically, the Technology and Telecom sectors' profit before tax was up 28% and 13% YoY, respectively.

FPT's overseas markets recorded revenue of VND 4,216 billion, up 16% YoY, and PBT of VND 628 billion, up 24% YoY, accounting for nearly one-third of the consolidated PBT.

The Distribution and retail sector has achieved 99% of revenue and PBT targets for the year to-date, in which, the retail segment continued to perform outstandingly with its YTD revenue up 25% and YTD profit before tax up 44% YoY.

In August, FPT has sold 30% of the shares in FPT Digital Retail JSC (FPT Retail). Consequently, FPT will sell a maximum of 10% of shares in FPT Retail to retail investors through IPO, and list the stock on Ho Chi Minh City Stock Exchange (HOSE) by April 2018 as the latest.

Also in the early September, FPT has signed the investment cooperation contract with Synnex Group. Accordingly, Synnex, a USD-33-billion revenue corporation, and the world's third largest IT, telecom, and IC component distributor will invest to own 47% in FPT Trading.

After successfully completing the divestiture in the distribution and retail subsidiaries and de-consolidating the performance of such companies from the consolidated financial statements, the two core sectors including Technology and Telecom will be the key growth driver with 95% contribution to the total revenue of FPT. Besides, pre-tax margins will improve significantly from the current 7.4% to 14.6%.