Vietjet Aviation Joint Stock Company Business Results Updated 2019 - PowerPoint PPT Presentation

Vietjet Aviation Joint Stock Company Business Results Updated 2019 0

Contents i Business overview ii Operation highlights iii Financial highlights iv Events & Awards v Business strategies 1

Business Overview Business description Strong passengers growth As of 31/12/2019 [million passengers] Having commenced operations in December 30 Current price VND 146,200 2011, VietJet had grown rapidly to become the 25 23 24 largest airline in Vietnam after only 4 years of Market Cap USD 3.4bn operations. Went public in the country’s then- 17 18 Foreign Room USD 670mn largest IPO in Feb 2017, with market 14 capitalization having tripled since then to 12 9 State Ownedship 0.0% reach ~USD 3.0bn 6 6 3 One of the youngest and fastest growing Outstanding shares 523.8mn 1 fleets in the world, further sustained by a large 0 order book ~200 aircraft to be delivered by 2025 Fully listed shares 541.6mn '12 '13 '14 '15 '16 '17 '18 '19 One of the most of cost efficient airlines in the world with CASK 3.9 cents, CASK ex-fuel Growing Fleet 2.4 cents in 2019. [# aircrafts] 90 Load factor remains at 87.1% , amongst the VJC Peers VNI 78 80 high in Asia Pacific, despite aggressive growth. 64 70 P/E (ttm) 18.5x 20.1x 15.8x 60 52 50 ROE 7.6% 28.7% 14.7% 41 40 30 30 ROA 0.7% 9.7% 2.4% 19 20 10 5 10 0 As of 31/12/2019 '12 '13 '14 '15 '16 '17 '18 '19 Including 9 Wet lease aircraft source: VN's securities companies, stock exchanges 2

Q4 2019 Business Overview Continue to expand international flight network, Vietjet reports its airline revenue in Q4.2019 increased by 25% compare to the same period last year. In air transport business, the ancillary revenue contributing an important part in growth Q4, equivalent to 29.4% of the total passenger transport revenue Maintained a high growth in expanding new market, especially international routes. The total number of routes was 139, an increase of 34 routes year on year, mainly international ones. The airline has operated almost 139 thousand safe flights, transported more than 25 million passengers Vietjet continues to maintain its leading market share position in the domestic Vietnam market for Q4.2019. Vietjet achieved an average load factor of 87.1% in 2019. 3

Vietjet's Route Network Map 139 routes 44 95 international domestic routes routes 4

i Business overview ii Operation highlights iii Financial highlights iv Events & Awards v Business strategies 5

Strong Operational Performance 15% Avg. Aircrafts operating following A/C delivery Expanding Routes Capacity [#mn seats] 65.7 35 139 28.7 30 50.6 25 105 25 39.7 90 87 19 20 33.6 16 15 10 5 0 '16 '17 '18 '19 '16 '17 '18 '19 '16 '17 '18 '19 Growth passengers [#mn pax] Growth RPK [#billion Passenger Km] Remain high Load Factor [%] 33 88.1% 88.1% 88.0% 87.0% 25 28 23 20 17 14 14 '16 '17 '18 '19 '16 '17 '18 '19 '16 '17 '18 '19 6

Vietjet's Young Fleet Young, modern and fuel efficient fleet, driving lower maintenance & fuel cost in the long term Average age of aircraft fleet Asia Europe / Middle East average: 5.80 years average: 6.8 years 8.32 8.11 6.60 5.91 5.44 5.37 4.98 5.70 3.21 2.82 FY2018 9M'19 Cebu Pacific AirAsia IndiGo Thai AirAsia Air Arabia Wizz Air Ryanair easyJet Source: VJC Type of AC of Vietjet Fleet 40 35 33 35 29 30 26 25 23 25 22 20 14 (*) 15 10 10 6 5 1 0 2016 2017 2018 2019 7 A-320 A-321 CEO A-321 NEO (*) : including 1 aircraft A321 Neo ACF 240

Cost, cost & cost! A strong focus on cost 8

i Business overview ii Operation highlights iii Financial highlights iv Events & Awards v Business strategies 9

Sustainable Financial Performance Growth in profitability Unit: billion VND Revenue - consolidated Profit before tax – consolidated (*) EBITDAR Adj. [excld gain SLB] - Airline -14% +15% -3% CAGR: CAGR: CAGR: +24% +23% +28% 53,577 5,816 52,060 13,432 5,303 5,011 11,682 42,303 7,824 27,499 6,392 2,703 '16 '17 '18 '19 '16 '17 '18 '19 '16 '17 '18 '19 Revenue - airline Profit before tax - airline +29% +21% CAGR: CAGR: 41,098 +37% +34% 33,867 3,936 22,644 3,045 15,884 2,045 1,622 '16 '17 '18 '19 '16 '17 '18 '19 (*) In year 2018, VJC received 16 A/Cs vs. 07 A/Cs (2019) compensated by other trading revenue. 10 (*) Airline profit still increased by 29% in 2019 vs.2018.

Financial Ratios Sustainable ratios performance Unit: billion VND Total Asset – Consolidated +22% Total Equity – Consolidated +26% CAGR: CAGR: 47,608 17,662 +33% +55% 39,086 14,039 31,658 10,594 20,063 4,734 '16 '17 '18 19 '16 '17 '18 '19 Asset increase 22%; long term asset accounted 44% Equity increase by 26%. Current Ratio – Consolidated Borrowings to Equity – Consolidated Liabilities (*) to Equity – Consolidated 1.44 1.56 2.13 1.48 1.47 1.11 1.20 1.13 0.71 0.67 0.94 0.39 '16 '17 '18 '19 '16 '17 '18 '19 '16 '17 '18 '19 Keep good ratio vs. its ratio in average industry [1.0x – 1.5x] More room to expand borrowings for CAPEX Plan Good ratio compared with average industry [2.0x – 3.0x] 11 (*) liabilities excluding provision source: VJC Consolidated Financial Statement Q4.2019

Ancillary Revenue Rapidly growing thank to continuous operational growth Unit: billion VND Revenue structure Ancillary revenue over the years Percentage of Ancillary vs. Total Airline Revenue +35% CAGR: 11,322 28% +47% 25% 24% 1.40% Passengers 22% 8,410 28.10% 5,477 Ancillary (incld. cargo) 3,553 70.50% Others (*) '16 '17 '18 '19 '16 '17 '18 '19 FS YTD.2019 Ancillary revenue mainly includes the revenue Inflight sales of souvenirs, food and beverage, duty free products and from baggage consignment and surcharges, advertising packages cargo transfer, sales revenue on aircraft (food, drinks, souvenirs) and advertising revenue. The proportion of ancillary revenue to the total passenger transportation revenue increased from 22.2% in 2016 to to 27.6% in 2019. Pre-flight purchases such as seat selection, Vietjet was named in the top 12 airlines in the priority services, checked baggage, in flight world in terms of percentage of ancillary revenue services and travel insurance over the total revenue by CarTrawler YearBook 2019. (*)Others includes revenue from A/C rental, training, purchase of right options and financing services…… 12

i Business overview ii Operation highlights iii Financial highlights iv Awards & Events v Business strategies 13

Events Vietjet President & CEO Nguyen Thi Phuong Thao continued to be in the top 100 most powerful women in the world according to Forbes listing. Vietjet President & CEO Nguyen Thi Phuong Thao named ‘Asia-Pacific CEO of The Year’ at the 2019 Aviation 100 Awards held today in Hong Kong. Chairwoman Nguyen Thanh Ha and interesting sharing about aviation training at Skilling Up Vietnam 2019 Forum. Inked deal with Airbus to order 20 latest-generation A321XLR aircraft. Attended the Vietnam brand exhibition in Myanmar 2019, International Tourism EXPO Japan 2019, Vietnam Tourism Forum 2019, Diwali Carnival 2019 cultural festival, Smart IoT & Cyber Security Summit 2019 (SICS 2019), the "Incredible India Tourism Roadshow" Workshop, 2019 Winter International Travel Fair in Kaohsiung… 14

Events Announced new routes to Seoul to celebrate 30th anniversary of ASEAN – South Korea relations. Lauching Hanoi, Ho Chi Minh City - New Delhi (India), Ho Chi Minh City – Pattaya routes, Da Nang to Tokyo (Haneda), Taipei, Singapore, Hong Kong routes, Bangkok to Chiang Rai, Udon Thani routes. Welcomed the 10 millionth passenger in 2019 to Khanh Hoa. Welcomed the 1 millionth passengers to Thanh Hoa in 2019, served 2.2 million passengers after 5 years of takeoff in Thanh Hoa. Provided 2.5 million seats for the Lunar New Year of 2020. Welcomed new 240-seat A321neo ACF aircraft. Vietjet, SWIFT247, Grab introduces super express delivery service in Da Nang. Vietjet thanks 100 million passengers with “Fly around Asia and hunt for the 1kg golden aircraft” program. Signed an International Syndication Loan Agreement. 15

Vietjet operates the first A321neo ACF aircraft with 240 seats over the world 16 16

Events Vietjet aircraft began the journey "I love my Fatherland“. Participated in the Kizuna Ekiden Relay Race 2019 – Running for traffic safety "Flying up the dreams" with gifts for teachers. Accompanied with Miss Universe Vietnam 2019, Futsal Championship Southeast Asia Cup HDBank 2019, Terry Fox Run 2019. "Blooming in the Sky" at Dalat Flower Festival 2019. Offered a year of flying around Asia for the two national SEAGAMES football teams, coaching staff and their families. 17

Awards CAPA names Vietjet “Asia Pacific Low Cost Airline of the Year 2019”. Vietjet named ASEAN’s Best Aviation Enterprise at 2019 ASEAN Business Awards. Won “Best Ultra Low-Cost Airline” Award for third consecutive year. 18

Thank you Enjoy flying