Forbes: ‘FPT among most valuable Vietnamese brands’

This is the seventh consecutive year that FPT has reached the Top 50 most valuable brands in Vietnam voted by Forbes Vietnam.

The ceremony to honor the Top 50 leading brands in Vietnam 2019 voted for by Forbes Vietnam was recently held on August 15 at GEM Center, District 1, Ho Chi Minh City. On behalf of Director of FPT Ho Chi Minh – Mr. Nguyen Tuan Hung received the award.

FPT is the only technology brand in the Top 10 and Top 20 with a value worth at least $100 million each.  

Forbes Vietnam said it used the method that its parent magazine in the US uses to calculate a brand’s contribution to business performance.

After selecting a preliminary list of 100 companies with the highest brand recognition, product coverage and consumer awareness, Forbes calculated earnings before interest and taxes (EBIT) then determined the contribution by the company’s intangible assets in a certain industry. 

On behalf of FPT, Mr. Nguyen Tuan Hung – FPT HCM Director received the honor of Top 50 leading brands in Vietnam 2019 voted by Forbes Vietnam from Mr. Pham Phu Ngoc Trai, Chairman of Global Integration Business Consultants (GIBC) and Ms. Chu Thi Thu Hang – Editor-in-Chief of Culture Newspaper – Forbes Vietnam.

Forbes used data from companies’ balance sheets which were either published by their own or through independent financial sources. 

The brand’s value was based on a price-to-earnings ratio (P/E) within a certain sector or comparison with listed companies of the same industry (for unlisted companies).

By the end of the first half of 2019, FPT’s revenue and profit before tax reached VND 12.5 trillion and VND 2.1 trillion, increasing by 22.2 per cent and 26.8 per cent over the same period, respectively.

Acting as the main growth driver of FPT, the technology sector recorded revenue and earning before tax (EBT) of VND 6.9 trillion and VND 855 billion, respectively, up 27.6 per cent and 44.4 per cent respectively over the same period. In which, their foreign market revenue reached VND 4.9 trillion, up 37.8 per cent and profit before tax was VND 742 billion, an increase of 39.5 per cent. All foreign markets have good revenue growth of over 26 per cent. Of which, the US market achieved the highest revenue growth, up 85.8 per cent over the same period.

With the strategy of focusing on digital transformation, the revenue of this sector brought VND 1.6 trillion to FPT, an increase of 40.9 per cent over the same period, contributing 34 per cent of the total revenue of the technology sector in foreign markets. (This proportion in the first 6 months of 2018 is 33 per cent).

After the first half of 2019, the foreign market brought FPT a revenue of VND 5.2 trillion, up 34.0 per cent and VND 802 billion of EBT, up 36.1 per cent over the same period in 2018. 

Recently, in “Digital transformation in the global market – FPT’s opportunity” held in early June, Mr. Nguyen Van Khoa presented about three main pillars of FPT including resources, technology and digital transformation; the Business situation of different sectors; Telecommunications, Education and financial picture of FPT in the next 3 years.

FPT’s CEO said that with the current resources, FPT’s digital transformation business will contribute greatly, even accounting for 50 per cent of the Group’s revenue in the next 5-10 years. It is expected that the technology sector will reach USD 1 billion in revenue, contributing 60 per cent of the Group’s revenue in 2021. The foreign market will account for 73 per cent of technology revenue.