VNPT's restructuring plan gets green light

Deputy Prime Minister Vuong Dinh Hue has approved the Vietnam Posts and Telecommunications Group (VNPT)’s restructuring plan for 2018-2020.

A VNPT emloyee gives advice to a customer

With the plan, VNPT hopes to become a strong State-owned economic group, a leading digital services supplier in Vietnam and a digital transaction centre in Southeast Asia and Asia.

The group is aiming for an average turnover growth of at least 6.5 percent a year and annual average profit increase of at least 10.8 percent by 2020, and at least 7.7 percent and over 11 percent, respectively, during 2021-2025.

The group will provide telecommunications and information technology products, media products, provide consultancy and maintenance for telecommunications, information technology and media buildings, as well as manufacturing, importing and exporting telecommunications, IT and media products.

Following the restructuring plan, VNPT will establish the VNPT Information Technology Company, merge the VNPT Hospital of Nursing – Rehabilitation in Hai Phong city into the Hospital of Post and Telecommunications in Hanoi and maintain the Vietnam Telecom Services Corporation.

The group earned revenue of VND 144.7 trillion (US$6.36 billion) in 2017, an increase of 7 percent over the previous year. Its pre-tax profit reached VND 5.1 trillion (US$ 224.4 million), up by 21 percent.

VNPT paid more than VND 4 trillion (US$176 million) to the State budget in 2017, up by 9.3 percent.

It has 34.1 million mobile subscribers and 4.6 million broadband subscribers as of the end of 2017.

(Source: NDO)