PV Gas projects lower earnings for coming year

PV Gas projects lower earnings for coming year

PetroVietnam Gas Corporation (PV Gas) are targeting VNĐ 五 五. 七 trillion (US$ 二. 四 七 billion) in its total revenue and VNĐ 六. 四 三 trillion in pots-tax profit for  二0 一 八, heard the company’s annual shareholder meeting on Friday. — Photo qdnd.com.vn

HÀ NỘI — PetroVietnam Gas Corporation (PV Gas) are targeting VNĐ 五 五. 七 trillion (US$ 二. 四 七 billion) in its total revenue and VNĐ 六. 四 三 trillion in post-tax profit for  二0 一 八, heard the company’s annual shareholder meeting on Friday.

In addition, PV Gas also plans to pay a  四0 per cent dividend payout ratio for  二0 一 八 performance.

The figures were largely lower than the firm’s earnings in  二0 一 七, which were recorded at VNĐ 六 六 trillion in total revenue and VNĐ 九. 九 四 trillion in post-tax profit.

The full-year earnings were forecast based on the firm’s assumption of crude price trading at $ 五0 a barrel.

Oil prices have rebounded steadily. Brent crude ended  二0 一 七 at $ 六 六. 八 七 a barrel, up  一 三 一 per cent from its lowest level recorded in January  二0 一 六.

Such strong growth of oil prices helped PV Gas and other local energy firms earn high results in  二0 一 七.

PV Gas’ earnings in  二0 一 七 beat its full-year forecast by  二 八 per cent in total revenue and  八 九 per cent in post-tax profit.

That was also the reason for PV Gas to increase its cash dividend payout rate for  二0 一 七 performance by a third to  四0 per cent.

PV Gas continued to see strong growth in the first quarter of  二0 一 八 as its net revenue in the first three months rose  一 二 per cent year on year to more than VNĐ 一 八 trillion and was equal to a third of the full-year target.

Its first-quarter post-tax profit increased by a fifth from the previous year to VNĐ 二. 六 trillion, equal to  四0 per cent of the year’s target.

PVN not divest in  二0 一 八

The Vietnam National Oil and Gas Group (PetroVietnam or PVN) will cut its ownership in PV Gas down to  四 五 per cent.

The company is looking for potential investors and reports the list of investors to the Government. The deal will not be finalised in  二0 一 八.

At the annual shareholder meeting, PV Gas also asked for shareholder approval on the company’s construction of Nam Côn Sơn  二 gas pipe with the adjusted investment of VNĐ 六. 四 八 trillion, of which PV Gas will fund  三0 per cent and borrow  七0 per cent from other institutions.

The project is planned to complete in the third quarter of  二0 二0. — VNS