Vietnam's oil shipping major PVTrans to pay record high dividend

By Thuy Yen, Thai Ha
Mon, June 16, 2025 | 3:51 pm GMT+7

PetroVietnam Transportation Corporation (PVTrans), a subsidiary of state-owned Petrovietnam, will issue nearly 113.9 million shares to pay 2024 dividends, raising its charter capital to VND4,699 billion (over $180 million).

In Q2/2025, PVTrans reported after-tax profit of VND277 billion ($10.62 million), down 9% year-on-year. Photo courtesy of the company.

In Q2/2025, PVTrans reported after-tax profit of VND277 billion ($10.62 million), down 9% year-on-year. Photo courtesy of the company.

Per PVTrans's (HoSE:PVT) annoucement, June 20 will be the last registration date to make the list of shareholders for 2024 share dividend payment, at a rate of 32% - its all-time high.

The payment will be derived from undistributed profit after tax in 2024. At the end of last year, the company had VND1,348.7 billion ($51.7 million) in undistributed profit after tax. After paying the dividends, there will be VND206 billion left.

Last year, the oil and gas transportation company reported record revenue and profit after tax of VND11,732 billion and VND1,470 billion ($56.35 million), respectively, up 22% and 20.3% against 2023.

In addition to increasing the efficiency of fleet exploitation, the company liquidated ships during the year, generating an additional operating profit of VND180 billion ($6.9 million). This is the basis for the firm to pay a record dividend for 2024.

On the Ho Chi Minh Stock Exchange (HoSE), after peaking at VND30,000 apiece in June 2024, PVT shares began to fall sharply to the bottom in early April (VND20,000) - the time when President Trump announced shocking reciprocal tariffs. PVT recovered to VND24,900 ($0.95)/share as of 2:30 p.m. on Monday.

Uncertain industry context with falling freight rates

At its 2025 AGM held at the end of April, PVTrans leaders assessed that the transportation market is directly affected by the global tariff situation in the context of increasing protectionism and populist policies threatening globalization.

Geopolitical turbulences have caused strong disruptions to shipping routes and trade between countries. After a period of rapid growth in 2022-2024, current freight rates are being adjusted down by about 10-20% compared to the average in 2024, especially in the bulk ship and product segments.

At the same time, the shipbuilding market is accelerating again to compensate for the shortage of supply and replace old ships that have been dismantled, creating a new balance of supply and demand.

The company's business results have been closely linked to oil price movements. From April 2024, oil prices continuously decreased, from the $91/barrel range to the $62/barrel range at the end of May.

The prices have recently rebounded to the $75/barrel range after news of Israel's attack on Iran escalated tensions in the Middle East, raising concerns about disruptions in oil supplies.

PVTrans's board of directors believes that managing and limiting risks related to oil price fluctuations is necessary to maintain stability in business operations.

For domestic transportation contracts, freight rates are flexibly adjusted according to oil price fluctuations. For the international market, PVTrans prioritizes operating ships in the form of time charters, in which ship owners do not have to pay fuel costs.

Given this context, PVTrans set a target of VND10,300 billion ($394.9 million) in revenue and VND960 billion ($36.81 million) in after-tax profit for this year, down 12% and 25% respectively from 2024. Dividends returned to 10%.

Historically, PVTrans has a tradition of setting business targets much lower than the previous year and often exceeding them. This year, the board of directors said that it will strive for 2025 business results to continue to grow compared to 2024.

In the first quarter of the year, the company reported revenue of VND2,790 billion, up 10%, but after-tax profit decreased by 9% to VND277 billion ($10.62 million). The reasons were lower fares and lower gross profit margins.

The company said that in 2024, PV Trans and its member units invested in eight new ships, bringing the total fleet to 58 ships, with a total tonnage of more than 1.7 million DWT.

The parent company alone was only able to invest in two out of four ships due to unfavorable market conditions. The ship investment plan was carried forward to 2025 with a budget of VND3,525 billion ($135.15 million).

This year, the approved investment portfolio of the entire corporation is 19-24 ships, of which the parent company will invest in 3-6 ships.

However, due to the uncertain market situation, PVTrans plans to invest in only about 7-8 ships, focusing on Aframax crude oil ships, VLGC gas ships, chemical ships, and MR product ships.

On the Ho Chi Minh Stock Exchange, PVT shares closed Monday at VND24,950 ($0.96) apiece.

Comments (0)
  • Read More
Central Vietnam province reviews investment proposal for thermal power project after Thai EGATi pullout

Central Vietnam province reviews investment proposal for thermal power project after Thai EGATi pullout

Authorities in the central province of Quang Tri are evaluating a proposal from Power Generation JSC 1 (EVNGENCO 1), a subsidiary of state utility Vietnam Electricity (EVN), to take over the Quang Tri thermal power plant project, following the withdrawal of Thai investor EGATi.

Energy - Tue, September 16, 2025 | 1:44 pm GMT+7

Amata to sell stakes worth $46 mln in Vietnam units to Novaland-tied buyers

Amata to sell stakes worth $46 mln in Vietnam units to Novaland-tied buyers

Amata VN, the Vietnam arm of Thailand’s leading industrial park developer Amata, has approved a plan for its subsidiary Amata City Long Thanh Urban JSC (ACLT) to sell its remaining 51% stakes in two entities to local developer Novaland-linked buyers.

Real Estate - Tue, September 16, 2025 | 12:19 pm GMT+7

Vietnam already meets FTSE's criteria for stock market status upgrade: Finance Minister

Vietnam already meets FTSE's criteria for stock market status upgrade: Finance Minister

Vietnam has fulfilled the criteria for a stock market status upgrade by FTSE Russell through reforms aimed at facilitating foreign investment inflows into its market, said Minister of Finance Nguyen Van Thang.

Economy - Tue, September 16, 2025 | 9:36 am GMT+7

Banks should be allowed to distribute, invest in mutual fund certificates: Vietnam's finance ministry

Banks should be allowed to distribute, invest in mutual fund certificates: Vietnam's finance ministry

The Ministry of Finance is proposing a key reform that would allow commercial banks to invest in and distribute mutual fund certificates, as part of a broader plan to restructure the investor base and foster the development of Vietnam’s fund management industry.

Finance - Tue, September 16, 2025 | 8:00 am GMT+7

E-commerce boom a major driver of Vietnam's packaging paper industry growth

E-commerce boom a major driver of Vietnam's packaging paper industry growth

Vietnam's paper packaging industry is entering a period of strong growth, with an average annual growth rate forecasted at 10% until 2030.

Companies - Mon, September 15, 2025 | 10:20 pm GMT+7

Vietnam needs support from UK in developing international financial center: Deputy PM

Vietnam needs support from UK in developing international financial center: Deputy PM

Permanent Deputy Prime Minister Nguyen Hoa Binh has called on the UK and the City of London to continue supporting and accompanying Vietnam in promoting and introducing its international financial center (IFC).

Finance - Mon, September 15, 2025 | 10:12 pm GMT+7

Vietnam enforces 8% capital adequacy ratio for banks from Sept 15

Vietnam enforces 8% capital adequacy ratio for banks from Sept 15

Commercial banks and foreign bank branches in Vietnam must maintain a minimum capital adequacy ratio (CAR) of 8%, including at least 4.5% in Tier 1 core capital and 6% in Tier 1 capital, starting from September 15.

Banking - Mon, September 15, 2025 | 10:04 pm GMT+7

Tool for wood traceability management debuts in Vietnam

Tool for wood traceability management debuts in Vietnam

The Vn-WoodID application has been officially launched in Vietnam, becoming a key tool contributing to wood traceability.

Companies - Mon, September 15, 2025 | 10:00 pm GMT+7

Sun Group, US Embassy foster aviation-hospitality cooperation

Sun Group, US Embassy foster aviation-hospitality cooperation

Sun Group, in collaboration with the US Embassy in Vietnam, hosted the US – Vietnam Aviation Partnership Roundtable on September 12, bringing together 15 leading American corporations in aviation, technology, and financial services, opening up opportunities to position Phu Quoc as a new aviation and tourism hub in the region.

Companies - Mon, September 15, 2025 | 9:54 pm GMT+7

Vietnam tops Thai giant SCG’s overseas markets with 9% revenue contribution in H1

Vietnam tops Thai giant SCG’s overseas markets with 9% revenue contribution in H1

Vietnam remained the largest overseas market for Thailand’s Siam Cement Group (SCG) in the first half of 2025, contributing 9% of consolidated sales.

Companies - Mon, September 15, 2025 | 8:10 pm GMT+7

Central Vietnam to have new airport Mang Den

Central Vietnam to have new airport Mang Den

Procedures to adjust Vietnam's airport system planning, including the addition of Mang Den Airport in central Vietnam, are being proceeded, according to the Ministry of Construction.

Infrastructure - Mon, September 15, 2025 | 5:16 pm GMT+7

Vietnam's government seeks to position country as 'regulated hub for digital assets in Asia': Dragon Capital

Vietnam's government seeks to position country as 'regulated hub for digital assets in Asia': Dragon Capital

The Vietnamese Government has advanced the regulation of digital assets, with a resolution launching a five-year pilot framework for issuance and trading. This framework signals the Government’s intent to position the country as a regulated hub for digital assets in Asia, which could attract new capital inflows, write Dragon Capital analysts.

Economy - Mon, September 15, 2025 | 2:20 pm GMT+7

Agribank introduces sizable $4.17 bln preferential credit package

Agribank introduces sizable $4.17 bln preferential credit package

Right from the beginning of 2025, Agribank launched a substantial preferential credit package worth VND110 trillion ($4.17 billion) to support individual customers.

Companies - Mon, September 15, 2025 | 1:32 pm GMT+7

'Precious space' in Vietnam's monetary policy

'Precious space' in Vietnam's monetary policy

The Federal Reserve's continued cuts in 2025, with the most recent in September, are considered a valuable policy "space" for the State Bank of Vietnam (SBV) to maintain low interest rates to support growth without having to worry too much about exchange rates.

Economy - Mon, September 15, 2025 | 10:15 am GMT+7

Vietnam’s central bank sells $1.5 bln to stabilize currency: broker MBS

Vietnam’s central bank sells $1.5 bln to stabilize currency: broker MBS

The State Bank of Vietnam (SBV) intervened in the foreign exchange market by selling approximately $1.5 billion via 180-day cancelable forward contracts from August 25-26, in an effort to ease pressure on the Vietnamese dong, according to a recent report by MB Securities (MBS).

Banking - Mon, September 15, 2025 | 8:04 am GMT+7

Hanoi aims to break ground on $11.4 bln Red River Boulevard & Landscape project by Jan 2026

Hanoi aims to break ground on $11.4 bln Red River Boulevard & Landscape project by Jan 2026

A consortium of “tunnel king” Deo Ca Group and real estate developer Van Phu Invest has been assigned by the Hanoi People’s Committe to prepare an investment proposal for the VND300 trillion ($11.37 billion) Red River Boulevard & Landscape project.

Real Estate - Mon, September 15, 2025 | 7:55 am GMT+7