Vietnam Airlines’ pre-tax profit for the first half of 2025 was VND6.68 trillion (US$255 million), a 19.3% increase year-on-year, thanks to booming demand.
Revenues were up 10% at VND58.68 trillion, according to its financial results.
The profit figure was more than double the estimate made earlier by CEO Le Hong Ha at the company’s annual general meeting in June.
It has exceeded the full-year target.
The state-owned carrier said a jump in travel demand, especially in the second quarter, boosted performance.
Revenues from domestic services jumped 26.2% year-on-year in the second quarter, while international sales went up by 15.8%.
The company also benefited from a decline in aviation fuel prices this year. The average global price of Jet A1 fuel was $86-88 per barrel, 11% lower than last year’s average.
Nevertheless, Vietnam Airlines has adopted a cautious outlook for this year, with its management wary of external risks, particularly geopolitical tensions that could inflate fuel costs.
Ha said the Iran-Israel conflict forced Vietnam Airlines to reroute all flights between Vietnam and Europe to ensure safety.
This added 25 minutes of flight time per leg and fuel expenses.
There are also foreign exchange risks since roughly 65% of the airline’s operating costs are denominated in foreign currencies.
The recovery of both the international and domestic aviation markets marks a rise in competition.
Average ticket prices are trending downward after a post-pandemic rise, he added.
