FPT profits hit a new peak despite falling revenue, foreign markets prospered, but the domestic market still faced difficulties

According to information from FPT Corporation, in the first 3 months of 2023, FPT recorded a revenue of 11,681 billion VND, up 20.1% over the same period last year but down 10.4% compared to the fourth quarter of 2022.

However, in terms of profit, FPT reported a pre-tax profit of VND2,121 billion, up 19.2% over the same period last year and setting a new record.

Technology Division (including domestic IT services and foreign IT services) continued to play a key role, contributing 59% of revenue and 43% of pre-tax profit of the whole Group, reaching VND6,843 billion and 906 respectively. billion, up 21.3% and 19.5% respectively over the same period last year.

In which, overseas IT services revenue reached VND 5,435 billion, up 32.2%, profit before tax reached VND 889 billion, up 33.2% over the same period last year.

The key markets all maintained high growth momentum, especially the Japanese market increased by 31.2% over the same period; Asia-Pacific grew by 65.7%, driven by high demand for digital transformation. Digital conversion revenue reached VND 2,103 billion, up 28% over the same period.

The IT services segment in foreign markets also recorded new registration revenue of VND 10,165 billion, up 44.1% over the previous year. Thanks to efforts to invest in human resources, technology capabilities and expansion of presence in 29 countries around the globe, the number of customers contributing more than 1 million USD in revenue reached 48 customers, an increase of 54.8 % over the same period.

In April, FPT just opened a Software Strategy Center in Nanning City to promote the development and provision of world-class technology solutions in the fields of Automotive Technology and Semiconductor Manufacturing in China and on the world market. at the same time, developing a new customer base in other fields such as finance – banking, healthcare.

The IT services segment in the domestic market showed a recovery compared to the first 2 months of the year, reaching revenue and pre-tax profit of VND 1,407 billion and VND 18 billion, respectively, down 8% and 80.6% over the same period. period.

FPT said that the domestic market faced short-term obstacles in Q1 because the business sector still faced difficulties, leading to a decrease in investment demand for IT. The company continues to promote cooperation with the government, provinces, ministries, sectors, foreign businesses and economic sectors less affected to ensure growth.

In the first quarter of 2023, FPT successfully deployed the Information System to settle administrative procedures for Hanoi City and the Investment Promotion Portal for Khanh Hoa province.

Telecommunications revenue grew by 9.2% over the same period last year, reaching VND 3,790 billion; EBT grew by 3.2%, reaching VND 724 billion. Telecommunication’s profit growth was low mainly due to the decline in demand for Online Advertising segment.

The sharp increase in demand for education in the information technology industry contributed to boosting FPT’s Education revenue by 47% over the same period last year, reaching VND 1,412 billion.