Q1 maintains high growth
On April 29, Vietnam Airlines (stock code: HVN) announced its production and business results for the first quarter of 2026 in the context of the international aviation market experiencing uncertainties due to conflict developments in the Middle East.
In the first quarter of 2026, Vietnam Airlines operated nearly 43,000 flights, serving more than 6.9 million passengers, corresponding to an increase of 11% in the number of flights and nearly 12% in volume compared to the same period last year.
In particular, during the peak of the Lunar New Year, the period with the highest operating intensity of the year, Vietnam Airlines organized safe operation with a frequency of 660-670 flights per day at times, an increase of more than 13% compared to the same period in 2025.
In parallel with production and business activities, Vietnam Airlines continues to implement long-term strategic orientations.
Within the framework of a high-level working trip to the United States, the Corporation signed a contract to purchase 50 Boeing 737-8 aircraft.
Vietnam Airlines said that this is an important step in the roadmap for modernizing the fleet, contributing to improving operational efficiency and strengthening competitiveness in the medium and long term.
Regarding the route network, Vietnam Airlines continues to expand key international routes, with growth in the first quarter of 2026 reaching 28.6% compared to the same period in 2025.
Currently, the airline is operating 11 direct flights to Europe with a modern wide-body Airbus A350 and Boeing 787 fleet, maintaining direct connection with key markets.
Vietnam Airlines continues to affirm its leading position with the highest on-time performance (OTP) in Vietnam's aviation industry in March 2026, reaching 80.4%, an increase of 22% compared to the same period last year.
On that basis, the company's business in the first quarter of 2026 continued to maintain positive results. Consolidated revenue reached more than 37,500 billion VND, after-tax profit reached 4,514 billion VND; the parent company alone had revenue of more than 29,500 billion VND and after-tax profit of 3,948 billion VND.
Vietnam Airlines informed that although from March 2026, the conflict in the Middle East has begun to impact the world energy market, the impact on the aviation industry in the first quarter has not been clearly shown.
From the second quarter, cost pressure increases, the market contains many risks
Stepping into the second quarter of 2026, the business environment of the aviation industry will face many challenges as uncertain factors gradually become clear, especially related to fluctuations in fuel prices.
The complex developments of the conflict in the Middle East are directly affecting the global energy market. In the airline's operating costs structure, fuel accounts for about 30-40%, so each fluctuation in fuel prices has an immediate impact on operating costs and business efficiency.
As of the end of April 2026, Jet A1 aviation fuel prices remained high, averaging about 190-220 USD/barrel, at times exceeding 240 USD/barrel due to geopolitical factors.
This price is nearly 3 times higher than the normal threshold (80-90 USD/barrel).
Notably, with the specific nature of the aviation industry, every time fuel prices increase by 1 USD/barrel compared to the plan, Vietnam Airlines' costs may increase by more than 300 billion VND per year.
This means that fuel price fluctuations alone have significantly increased cost pressure, directly narrowed profit margins and posed a major challenge to the company's production and business efficiency in the following quarters.
In that context, the Government has implemented solutions to ensure energy security, including diversifying import sources and gasoline and oil supply chains, managing prices flexibly, using market stabilization tools and adjusting taxes and fees related to aviation fuel.
To adapt to market fluctuations, Vietnam Airlines has proactively built flexible operating scenarios, focusing on optimizing the flight network on key domestic and international axes, while strictly controlling operating costs and improving the operational efficiency of the fleet.
In the coming time, Vietnam Airlines will continue to closely monitor market developments and geopolitical factors, on that basis, operate flexibly and in accordance with actual conditions.
The focus is placed on ensuring absolute safety, maintaining flight network stability, cost control and improving resource efficiency, thereby ensuring smooth air transport operations in the context of a still volatile market.
