SSI – RESEARCH INSTITUTIONAL RESEARCH & INVESTMENT ADVISORY Airport Corporation of Vietnam (ACV: UPCOM) BUY - 1Y Target Price: VND 58,500 Current price: VND 46,900 Kim Nguyen The first stage of growth
[email protected] +84 8 3824 2897 ext. 2140 2016 business preview: 2016 GPM supported by encouraging sales volume and no maintenance expense 28 December 2016 ACV held an investor meeting on 15th December 2016. The followings are key INDUSTRIALS - VIETNAM takeaways from the meeting: Key figures The company announced estimated business results for 2016, which are quite Market cap (USD mn) 4,747 positive. ACV estimated 2016 net revenue of the parent company to achieve VND Market cap (VND bn) 107,988 13,393bn (+23% YoY) and PBT to achieve VND 4,079bn (+97% YoY). GPM is Outstanding shares (mn) 2,177 estimated to achieve 38%, a significant improvement from 23.6% in 2015. The 52W high/low (VND 1,000) 56/35.2 upbeat performance in earnings can be attributed to: Average 3M volume (share) N.a Average 3Mvalue (USD mn) N.a Sales volume growth. In 2016, ACV estimates total passenger volume through Average 3M value (VND bn) N.a its terminals to record 81.1mn passengers (+28% YoY and vs. 24% YoY in Foreign ownership (%) 3.19 2015), in which international passengers will total 23.9mn (+25% YoY) and State ownership (%) 95.4 domestic passengers are expected to reach 57.2mn passengers (+30% YoY). Management ownership (%) N.a The number of flights will reach 562K (+26% YoY). Cargo and parcel volume may record 1.035 mn tons (+6% YoY).