Vietnam Airlines posts profit jump in H1 despite jet fuel volatility

The airline on Thursday announced consolidated revenue of over VND75.3 trillion ($2.8 billion) during the January-June period, representing a year-on-year increase of over 28 percent.

It generated over VND3.8 trillion in profit during the period, equivalent to over VND21 billion ($800,000) per day, though jet fuel costs surged in the second quarter, triggered by the conflict in the Middle East.

Thanks to strong first-quarter performance, Vietnam Airlines remained highly profitable in the first half of 2026.

Global oil prices have been volatile due to the escalating conflict involving the U.S., Israel, and Iran in the Middle East since February 28, with the Strait of Hormuz, a key route for about one-fifth of global oil consumption, at risk of disruption.

The military tensions have pushed up jet fuel prices, hampering airline operations.

Vietnam Airlines CEO Le Hong Ha said jet fuel prices fluctuated between $151 and $200 per barrel in April and May before easing to around $120-$125 per barrel in June and July.

To mitigate the impact of soaring fuel costs, the airline reduced capacity by some 20 percent on less profitable routes in April and May.

It also optimized flight paths to shorten travel times and improve fuel efficiency.

Besides, Vietnam Airlines has developed three fuel price scenarios for the second half of the year, based on fuel prices of $120, $130, and $140 per barrel, allowing the carrier to prepare for different market conditions.

When fuel prices show signs of stabilization, the airline plans to restore full operational capacity.

It continues to target double-digit revenue growth while focusing on cost control, expanding its international route network, and leveraging technology to improve operational efficiency.

During the first half of the year, Vietnam Airlines operated more than 80,000 flights, carrying over 13 million passengers and transporting more than 180,000 metric tons of cargo.

International passenger traffic reached nearly 4.8 million travelers, up 18.8 percent year on year.

The airline currently operates a fleet of 105 aircraft, including 31 wide-body jets.

It has already signed an agreement to purchase 50 Boeing 737 MAX 8 aircraft and remains in negotiations to buy or lease an additional 30 to 50 aircraft to support future growth.

New orders for wide-body aircraft are not expected to be delivered until 2033-34, prompting Vietnam Airlines to lease two additional aircraft from 2028.

The carrier is also seeking to lease about 30 wide-body jets to support its fleet expansion plans for the 2028-30 period.