Vietnam's tour operator Vietravel announces full exit from Vietravel Airlines

Vietravel, one of Vietnam’s largest tour operators, will divest its entire stake in Vietravel Airlines by year-end, drawing a close to its turbulent venture into aviation during five years.

Vietravel (UPCoM: VTR) plans to offload more than 18.4 million shares, equivalent to over 14% of the carrier’s charter capital, before December 31.

The expected transaction value is estimated at under 10% of the company’s total assets based on its audited Q3/2024 financial statements.

Vietravel chairman Nguyen Quoc Ky said the divestment marks a strategic reallocation of resources, allowing Vietravel to refocus on its core tourism, services, and trade operations.

Vietravel Airlines is preparing to rebrand and operate independently from the Vietravel ecosystem to improve transparency and build its own market identity.

Vietravel Airlines was approved in April 2020 with charter capital of VND700 billion ($26.55 million) as a dedicated travel-focused carrier initially wholly owned by Vietravel. It began commercial operations in January 2021, but immediately faced pandemic shutdowns that sent losses soaring.

The airline posted losses of VND860 billion ($32.62 million) in 2021 and VND559 billion ($21.2 million) in 2022, pushing accumulated losses to around VND1 trillion ($37.93 million).

Losses deepened to nearly VND1.5 trillion ($56.9 million) in 2023, wiping out its equity and leaving shareholder capital at negative VND103 billion ($3.91 million). Payables reached roughly VND1.19 trillion ($45.99 million).

Performance improved in 2024, when the carrier reported its first quarterly profit of about VND10 billion ($379,320) and secured approval in November to raise charter capital to VND1.3 trillion ($49.31 million).

Last December, T&T SuperPort, T&T Airlines, and BVIM Fund Management JSC, all part of the T&T Group ecosystem, became strategic shareholders of Vietravel Airlines, providing a major boost to the carrier.

Following the move, Vietravel Airlines doubled its charter capital to VND2.6 trillion ($98.62 million), expanded its fleet, and opened new routes.

In the first half of 2025, Vietravel Airlines operated 2,209 flights, served 400,000 passengers, achieved an average load factor of 88%, an on-time performance (OTP) rate of 87%, and maintained a good safety record.