Vinasun Corporation recorded a net loss of nearly 14 billion VND for the first half of the year, including over 20 billion VND in the second quarter. This marks the company's first loss since the fourth quarter of 2021, when it faced eight consecutive quarters of losses due to the Covid-19 pandemic, which forced it to scale back operations and even temporarily cease business.
For the first six months, Vinasun's revenue reached nearly 420 billion VND, a 7% decrease compared to the same period last year. Gross profit for this period was 72 billion VND, a sharp decline from the first half of the previous year. Concurrently, both financial and administrative expenses increased. These results are significantly below the company's previously set targets of 903 billion VND in revenue and 32 billion VND in after-tax profit.
The company attributes the losses primarily to fierce competition in the ride-hailing market. Vinasun was once a leading traditional taxi operator in the southern region. At its peak in 2016, the company employed over 17,000 people, mostly drivers, and generated more than 4,500 billion VND in revenue. However, intense competition from ride-hailing apps like Grab and Uber, and more recently Xanh SM, has gradually eroded the company's performance. Last year, Vinasun's revenue was 882 billion VND, its lowest in 17 years.
Vinasun's management forecasts that 2026 will continue to present numerous challenges, including tighter consumer spending and ongoing competition from industry rivals. Tran Anh Minh, Deputy General Director of Vinasun, stated at the annual general meeting in late april that the market share race with technology-based ride-hailing companies has intensified each year. He affirmed that the company remains resolute, focusing on its primary goal of achieving profitability every year.
"Vinasun is seeking and developing new business projects to ensure resilience remains excellent", Minh told shareholders.
Concurring, Ta Long Hy, Chairman of the Board of Directors of Vinasun, noted that many traditional brands have struggled in the market share battle against tech-based ride-hailing services such as Grab and Xanh SM. However, he highlighted the positive sign that Vinasun continues to operate, planning for slow growth while awaiting opportunities for rapid acceleration.
Beyond its traditional taxi and contract passenger transport services, Vinasun is exploring new cooperation opportunities in the transport, technology, consumer goods, and payment sectors. The company plans to invest in over 300 new hybrid vehicles this year, aiming to expand its fleet to approximately 2,350 units.
On the stock market, Vinasun's share price is currently around 6,600 dong, a four-year low. The company's market capitalization is less than 500 billion VND.
Phuong Dong
