For 11 consecutive years, FPT was honored in the Top 50 Best Listed Companies
Forbes Vietnam has just announced the “List of 50 best listed companies” in 2023, most of the businesses were honored as industry leaders or have established competitive advantages. FPT is one of the rare enterprises that continuously appear in the rankings for 11 consecutive years.
According to the Organizing Committee, the 2023 list does not have many new names compared to the list of recent years. In 2022, the profits of listed companies in general and the list of the 50 best listed companies in particular hit a record. Total profit after tax of 50 companies on the list reached VND 228,096 billion, up 18% compared to the list in 2022. Total revenue reached VND 1,490,453 billion, up 24.9%.
“This is the 11th consecutive year that FPT is in the list of 50 best listed companies by Forbes Vietnam. 2022 also recorded the brightest point in FPT’s development history: sales of newly signed IT services with foreign markets reached US$1 billion, an increase of nearly 40% compared to the previous year. Revenue from digital transformation services also increased strongly by 33%, reaching VND 7,349 billion. FPT targets 1 million domestic customers and benefits from the government’s disbursement of investment in digital transformation of public projects,” writes Forbes Vietnam.
In 2022, the Technology sector contributes 58% of revenue and 43.9% of pre-tax profit; Telecommunications sector contributed 36.7% of pre-tax profit. The expansion of the international market scale has been accelerated, notably the acquisition of the IT services segment of Intertec International (USA). In 2022, FPT also announced the launch of semiconductor chip products for medical applications, started the FPT UniSchool Education Complex in Ha Nam, expected to be put into operation by the end of 2023. 2022 also witnessed the system. FPT Education’s education system surpassed the milestone of 100,000 learners across the system.
The company has also continuously maintained a dividend payout of over 30% for more than a decade. Most recently, the company has paid the remaining dividend of 2022 at the rate of 10% in cash (each shareholder owns 1,000 VND) and 15% in shares (ratio 20:3). With 1.1 billion shares outstanding, it is estimated that FPT needs to spend about VND 1,100 billion in cash to pay shareholders and issue nearly 166 million shares to pay dividends. FPT’s total dividend payout ratio in 2022 to shareholders is 35% (20% in cash and 15% in shares).
In the first 4 months of 2023, FPT continued to grow sustainably with revenue and profit before tax (PBT) reaching VND 15,749 billion and VND 2,880 billion, respectively, up 21.2% and 19.1% respectively. Profit after tax for shareholders of parent company and EPS reached VND 2,019 billion and VND 1,841 respectively, up 20% and 19.3% respectively.
One of the world’s leading and oldest companies in financial services, investment banking and wealth management, JPMorgan forecasts FPT’s compound annual profit growth for the period 2022 – 2025 to over 20%. According to JPMorgan, competitive advantages in cost, technology capacity, especially in the field of digital transformation services, expansion of new customer base and large-scale contracts, and globalization strategy will help FPT grow good growth. JPMorgan also forecasts a target price of FPT stock at VND 110,000/share. The average compound annual growth rate of EPS between 2022 and 2025 is 27.4%, higher than the average growth of information technology companies globally (9.3%).
Forbes Vietnam’s ranking is based on the consolidated audited financial statements of companies listed on the Ho Chi Minh City Exchange (HSX) and the Hanoi Exchange (HNX). To implement the List of 50 best listed companies in 2023, companies listed on the HSX and HNX are evaluated through several steps. In the preliminary round, companies need to meet the following conditions: to be profitable in 2022, with a minimum revenue and capitalization of VND 500 billion.
In the next round, companies were quantitatively scored on five criteria: compound growth rate in revenue, profit, ROE, ROC and EPS growth in the period 2018 – 2022. Next, Forbes Viet Nam carried out a qualitative survey to evaluate the sustainable development of the business: the company’s position in the industry, the source of profits, the quality of corporate governance, the industry’s prospects… The capitalization was closed on 30/30. 5/2023. The figures used for the calculation are the audited consolidated financial statements of 2022.
Expected Forbes Vietnam held an award ceremony honoring the 50 best listed companies at Business Forum 2023 taking place in August 2023 in Ho Chi Minh City.
