VietJet Air
VietJet Air logo.svg
IATA ICAO Callsign
VJ VJC VIETJET[1]
Founded30 November 2007; 14 years ago (2007-11-30)
Commenced operations25 December 2011; 10 years ago (2011-12-25)
Operating bases
Frequent-flyer programVietjet Skyclub
SubsidiariesThai Vietjet Air
Fleet size77
Destinations143
Parent companySovico Holdings, HDBank
Traded asHOSEVJC
HeadquartersBa Đình, Hanoi, Vietnam
Key peopleNguyen Thi Phuong Thao (CEO)
Employees2000
Websitewww.vietjetair.com

VietJet Aviation Joint Stock Company (Vietnamese: Công ty Cổ phần Hàng không VietJet), trading as VietJet Air (or simply Vietjet), is an international low-cost airline[2] from Vietnam. It was the first privately owned new-age airline to be established in Vietnam, being granted its initial approval to operate by the Vietnamese Minister of Finance in November 2007.[3] As of its launch in December 2011, it became the second private airline to offer domestic service in Vietnam, as well as the fifth airline overall to offer civil domestic flights. VietJet Air is owned by Sovico Holdings, HDBank, other organisational investors, and individual stakeholders.

The carrier's launch was beset by long delays attributed to various causes, such as a global economic slowdown and regulatory issues. Despite the setbacks, VietJet Air's first flight was operated on 25 December 2011, flying from Ho Chi Minh City to Hanoi.[4][5] The carrier carried its 10 millionth passenger in December 2014,[6] and the 25 millionth passenger in December 2015.[7]

History

Foundation delays

The airline has its head office in the Vạn Phúc Diplomatic Corps in Ba Đình, Hanoi[8] It was the first privately owned airline to be established in Vietnam,[3] and as of its launch in December 2011, it became the second private airline (after Air Mekong) to offer domestic service in Vietnam, as well as the fifth airline overall not counting Indochina Airlines, which ceased operations in November 2009 to offer civil domestic flights, after Vietnam Airlines, Pacific Airlines, Air Mekong and the Vietnam Air Service Company (VASCO).[2] In its initial plan, the Hanoi-based airline stated its intention to offer flights to Ho Chi Minh City and Da Nang, gradually expanding its network to include other Asian destinations, such as Hong Kong, Bangkok, Singapore, and cities in southern China.[9] The airline's president and CEO is Nguyen Thi Phuong Thao from December 2011.[10]

Initially, VietJet had shown the intention to commence flights in late 2008 or early 2009.[9] Throughout the next few years, the expected launch date was repeatedly pushed back, first to late 2009, then mid-2010.[11] Airline officials gave different reasons for the delays, including increased fuel prices and other financial problems, as well as unresolved branding conflicts with the Civil Aviation Administration of Vietnam (CAAV).[12]

Although Malaysian budget carrier AirAsia announced in February 2010 that it planned to purchase a 30% stake in the airline through a joint venture agreement, the carrier rescinded its plans in October 2011, citing "a failure to obtain Vietnamese regulatory approvals".[13][14]

By February 2011, VietJet was said to be "completing final stages" prior to launch before its operation license expired in June.[15] The airline's maiden flight was eventually launched on 25 December 2011, flying from Ho Chi Minh City to Hanoi.[5]

Operations

The Vietnam aviation authority fined VietJet Air US$960 in 2012 for organizing five women of candidates in a local beauty contest to perform a Hawaiian themed-dance without first gaining permission to celebrate its maiden flight to the tourist hub of Nha Trang.[16]

On 9 February 2013, the airline launched its first international flight between Ho Chi Minh City and Bangkok, becoming the first Vietnamese private airline to enter the international market.

In February 2014, at the opening of that year's Singapore Air Show, the airline firmed up orders with Airbus for 60 A320 aircraft at a list price of $6.4 billion.[17] Previously, the airline had signed a Memorandum of Understanding with Airbus for 92 planes in the A320 family.[18]

In June 2015, at the Paris Air Show, Vietjet ordered six additional Airbus A321 single-aisle jets worth $682 million at list prices from Airbus to meet demand on some of its busiest routes;[19] Vietjet purchased a further 30 later that year at the Dubai Airshow, which included 21 A321neos along with 9 A321ceos.[20] In May 2016 during a state visit of US President Barack Obama, an order for 200 Boeing 737 MAX aeroplanes was signed, with deliveries to start in 2019.[21] In September 2016, CEO Nguyen Thi Phuong Thao announced an order for 20 A321 single-aisle aircraft from Airbus. The signing took place during a state visit of French President Francois Hollande.[22] During the 2018 Farnborough Airshow, Thai Vietjet, Vietjet's Thai subsidiary, ordered 100 Boeing 737 MAXs (80 MAX 10s and 20 MAX 8s) and 50 Boeing A321 NEOs.[23]

Public offering

Vietjet completed its initial public offering (IPO) on the Ho Chi Minh City Stock Exchange (HOSE) on 28 February 2017 at an initial price of VND 90,000 (US$ 4.02) per share. The share price immediately rose by 20%, the maximum allowed for newly listed companies. The airline raised $167 million from the listing, making it the biggest IPO on the Vietnamese stock market to date[24] and accounting for 1.5% of HOSE's capitalization at the time.[25]

Financials

According to pre-audited financial statements for 2019, Vietjet's air transport revenue reached VND41,097 billion. Profit before tax of air transport rose to VND3,936 billion, an increase of 21.4% in revenue and 29.3% in profit before tax year-on-year. Accumulated revenue was VND52,059 billion and consolidated profit was VND5,010 billion. Vietjet's total assets increased to VND47,608 billion, and equity rising to VND17,661 billion, an increase of 26% year-on-year.[26]

Destinations

Main article: List of VietJet Air destinations

VietJet Air serves 18 domestic and 26 international destinations.

Codeshare agreements

VietJet Air codeshares with Japan Airlines[27] and its subsidiary Thai Vietjet Air.

Fleet

As of September 2022, VietJet Air operates the following aircraft:[28][29]

VietJet Air Airbus A320
VietJet Air Airbus A320
VietJet Air Airbus A321
VietJet Air Airbus A321
VietJet Air Airbus A321neo
VietJet Air Airbus A321neo
Vietjet Air fleet
Aircraft In Service Orders Passengers Notes
C Y Total
Airbus A320-200 18 180 180
Airbus A321-200 38 220 220[30]
230 230[31]
Airbus A321neo 19 99 230 230[32]
240 240 Equipped with Airbus Cabin Flex configuration.[33]
Airbus A321XLR 20[34] TBA
Airbus A330-300 2[35] 2[36] 12 365 377[37]
Boeing 737 MAX 8 66[38] TBA The first 50 of them will be transferred to the Thai subsidiary[39][38]
Deliveries from 2024 to 2028.[40]
Boeing 737 MAX 10 106[38] TBA
Boeing 737 MAX 200 28[38] TBA
Total 77 321

Services

VietJet Air offers three service options (fares):

Accidents and incidents

Since commencing operations, VietJet Air has only suffered from non-fatal incidents:

See also

References

  1. ^ "JO 7340.2J Contractions" (PDF). Federal Aviation Administration. 10 October 2019. Retrieved 15 November 2019.
  2. ^ a b "Hàng không giá rẻ VietJet Air bay dịp tết". Tuổi Trẻ Online. 30 November 2011.
  3. ^ a b "Vietnamese government approves country's first privately owned airline". Forbes. 30 November 2007. Archived from the original on 7 March 2009.
  4. ^ "Kinh tế 24h VietJet Air chính thức cất cánh từ 25/12". Vietnam Economic Forum. 29 November 2011.
  5. ^ a b "VietJet Air to take off next month". Vietnam News Service. 30 November 2011. Retrieved 30 November 2011.
  6. ^ "VietJet Air welcomes its 10 millionth passenger". VietJet Air. Retrieved 11 February 2015.
  7. ^ "Vietjet receives the 24,999,999th passenger". VietJetAir.com. VietJet Air. Retrieved 23 December 2015.
  8. ^ "[1]." "VIETJET AVIATION JOINT STOCK COMPANY, Head office: Block 1, Apartment 2C, Van Phuc Diplomatic Corps, Ngoc Khanh Ward, Ba Dinh District, Ha Noi, Viet Nam"
  9. ^ a b "VietJet website: FAQ". Archived from the original on 7 November 2007. Retrieved 10 January 2020.
  10. ^ "Foreign boss leads Vietnam's first private airline".
  11. ^ VIETJET AIR to launch the first flight in Quarter IV Archived 2011-09-01 at the Wayback Machine. March 10, 2009. VietJet Air.
  12. ^ VietJet Air seeks to delay launch for 5th time Archived 2012-03-20 at the Wayback Machine. June 16, 2010. Tuoi Tre.
  13. ^ "AirAsia calls off Vietnam joint venture". Agence France-Presse. 12 October 2011.
  14. ^ [2] Archived 2012-09-07 at archive.today
  15. ^ "Vietjet Air prepare to launch the first flight". Valc.com. Retrieved 4 January 2015.
  16. ^ "Vietnam Airline Fined for In-Flight Bikini Show". August 9, 2012. Archived from the original on August 13, 2012. Retrieved August 9, 2012.
  17. ^ Manila Bulletin. "VietJetAir orders 63 Airbus A320s for major fleet expansion". Manila Bulletin - Latest Breaking News - News Philippines. Retrieved 4 January 2015.
  18. ^ Manila Bulletin (24 September 2013). "Vietnam's VietJet seen close to major Airbus order". Manila Bulletin - Latest Breaking News - News Philippines. Retrieved 4 January 2015.
  19. ^ "Vietjet signs several major contracts at Paris Air Show 2015". www.vietjetair.com. 17 June 2015. Retrieved 8 August 2022.
  20. ^ "Airbus, Vietjet Announce Deal for 30 Planes at Dubai Airshow". VOA. 10 November 2015. Retrieved 8 August 2022.
  21. ^ John Boudreau; Nguyen Dieu Tu Uyen (22 May 2016). "Boeing Wins $11.3 Billion Order for 100 Planes From VietJet". Bloomberg. Retrieved 30 July 2016.
  22. ^ Orban, André (6 September 2016). "Vietjet to expand its Airbus fleet with new order for 20 A321s". Aviation24.be. Retrieved 8 August 2022.
  23. ^ Darkunde, Mahesh (25 July 2022). "Vietjet confirms 200 Aircraft Boeing Order at Farnborough International Airshow". Aviation A2Z. Retrieved 8 August 2022.
  24. ^ Woodhouse, Alice; Peel, Michael (28 February 2017). "VietJet shares surge after Vietnam's biggest public listing". Financial Times. Retrieved 8 August 2022.
  25. ^ "Vietjet Shares To Be Officially Listed On Hose". www.vietjetair.com. Retrieved 8 August 2022.
  26. ^ "How Vietjet is overcoming the pandemic" (Press release). Bangkok Post. 17 April 2020. Retrieved 17 April 2020.
  27. ^ "japan-airlines-and-vietjet-to-commence-codeshare-flights - news - VietJetAir.com - Enjoy Flying!". www.vietjetair.com. Retrieved 3 January 2021.
  28. ^ "Vietjet Air Fleet Detail and History". planespotters.net. Retrieved 13 April 2017.
  29. ^ "Airbus orders and deliveries". Airbus. February 2019. Archived from the original on 8 March 2019. Retrieved 22 April 2019.
  30. ^ TITC. "Vietjet Air receives first Airbus' A321". Vietnam National Administration of Tourism (in Vietnamese). Retrieved 3 January 2021.
  31. ^ "vietjet-receives-the-worlds-first-ever-230seat-a321ceo-with-sharklets - news - VietJetAir.com - Enjoy Flying!". www.vietjetair.com. Retrieved 3 January 2021.
  32. ^ "VietJet receives first A321neo aircraft". en.nhandan.org.vn. Retrieved 3 January 2021.
  33. ^ "PICTURES: VietJet receives first 240-seat 'Cabin Flex' A321neo". Flightglobal. Retrieved 26 September 2019.
  34. ^ "Vietjet orders A321XLR and signs Airbus training services agreement". Airbus. 28 October 2021.
  35. ^ "Welcoming the brilliant summer VietJet-receives more wide body A330 aircraft to serve passengers". VietJet Air. Retrieved 1 April 2022.
  36. ^ VnExpress. "Vietnam, France sign billion-dollar agreements during PM Chinh's visit - VnExpress International". VnExpress International – Latest news, business, travel and analysis from Vietnam. Retrieved 4 November 2021.
  37. ^ "Updated: Vietjet Air is preparing for A330 operation - Airliners.net". www.airliners.net. Retrieved 4 November 2021.
  38. ^ a b c d "VietJetAir now expects B737 MAX deliveries from 2024". ch-aviation. Retrieved 15 September 2022.
  39. ^ Seet, Charlotte (20 July 2022). "VietJet Reiterates Commitment To 200-Aircraft Boeing Order". Simple Flying. Retrieved 21 July 2022.
  40. ^ "VietJet's 200 Boeing 737 MAXs Set To be Delivered From 2024". Simple Flying. 12 September 2022. Retrieved 15 September 2022.
  41. ^ "skyboss". www.vietjetair.com. Retrieved 27 August 2019.
  42. ^ "VietJet receives first A321neo aircraft". en.nhandan.org.vn. Retrieved 27 August 2019.
  43. ^ "Máy bay VietJetAir hạ cánh sai đường băng" [VietJet airplane landed on wrong runway]. Vietnam Net (in Vietnamese). 23 October 2014.
  44. ^ "ASN Wikibase Occurrence # 180077". Aviation Safety Network. Retrieved 26 July 2017.
  45. ^ "Xem xét phạt Vietjet vụ người mẫu bikini trên chuyên cơ chở U23" [Fines considered for bikini model case on plane carrying U23] (in Vietnamese). 29 January 2018.
  46. ^ Nguyen, Quy (12 September 2018). "Máy bay Vietjet bị mưa đá làm nứt kính buồng lái" [VietJet aircraft was hit by hail and cracked the cockpit window]. Kinh Te & do thi (in Vietnamese). Retrieved 4 August 2019.
  47. ^ Editorial, Reuters (30 November 2018). "VietJet plane makes troubled landing, minor injuries to some passengers". Reuters. Retrieved 4 December 2018.
  48. ^ "Máy bay đi nhầm đường lăn, một máy bay khác sắp hạ cánh phải bay lên lại" [Aircraft steered onto the wrong taxiway, another plane had to go-around] (in Vietnamese). Tuoi Tre. 12 July 2019. Retrieved 4 August 2019.
  49. ^ Cong, Huu (14 June 2020). "Aircraft skids off runway in HCMC amid heavy rains". VnExpress International. Retrieved 14 June 2020.