The telecommunications sector brought in revenue of 12,686 billion VND and profit before tax of 2,395 billion VND, increasing by 10.6% and 15.5% YoY, respectively. As a result, the pre-tax profit margin increased from 18.1% to 18.9%. This sector has planned to invest in an additional backbone to ensure the domestic backbone system, upgrading the quality of domestic network infrastructure and data center systems in the future.
Telecommunications service segment
Revenue and PBT of the Telecommunications sector reached 12,079 billion VND and 2,119 billion VND, respectively, up 11.2% and 16.5% YoY. The pre-tax profit margin increased from 16.7% to 17.5% due to the high profit of the pay-TV segment.
Despite difficulties in sales due to the prolonged social distancing restrictions, the number of Internet users and pay-TV subscribers grew at high rates, helping to increase district coverage from 55% in 2020 to 59% in 2021. The success was due to our quick adaptation to the situation, transforming its sales model from offline to online and diversifying its business channels. In particular, the profit of the pay-TV service segment increased more than eight times thanks to exceeding the breakeven point from mid-2020.
The company optimised customer experience and developed new products and services regarding technological activities and digital transformation. Technological solutions also helped us control the churn rate more effectively through a detailed assessment of customer behaviors to forecast the different trends of leaving networks earlier. Besides, the Company also fully packaged Smart Home products centered by FPT Play Box. It was one of the strategic products to form its ecosystem in the coming years.
In 2021, FPT also continuously expanded its technological infrastructure system, supporting the digital transformation of businesses and the nation. Accordingly, learning from international cable incidents in 2020, the Company has promoted the search and diversification of transmission channels abroad, broadening international bandwidth to over 3,000 Gbps to meet customers’ needs. Meanwhile, the high-class data center FPT Fornix was also recognised with prestigious awards such as the “Vietnam’s leading data center service provider” at the Cloud & Data Center award ceremony, one of the “Green energy users in Vietnam 2021” awarded by the Hanoi City People’s Committee, the first international standard TIA 924 certificate in Vietnam…
Digital content segment
Due to the impact of the prolonged economic shutdown, the events and sales of the Digital Content field were interrupted. Therefore, 2021 revenue and PBT reached 608 billion VND and 276 billion VND, respectively, up 1.4% and 8.1%, accounting for 90% of the set plan.
We have developed many new services and products to stay resilient. For example, the Company deployed hybrid events to enhance the user experience with digital technology. Tech Awards, CTO Summit, Agri Online Expo, Debate Challenge… were held in turn, despite the challenges of the Covid 19 pandemic.
Sports programs were moved into the VRace online platform, attracting more than 60,000 participants, giving users access to sports programs to improve health and contribute to charity campaigns, such as “Run for Vaccine”, “Together with the Southwest to overcome the drought”, “Vietnam bravery”…
In response to urgent healthcare needs of the people, we launched unique pages such as Covid 19, For F0… providing helpful information about pandemic prevention, patient care and post-Covid-19 treatment… As a result, we successfully signed various unprecedented large-scale contracts in the field of Medical Pharmacy.
Besides, FPT continued to develop new digital content products, focusing on solving the fractures of industries such as Education and Health, EduConnect and HealthCare Connect. By the end of 2021, the Company has also signed a large-value contract in the Education sector for the first time.
Faced with the enforced social distancing restrictions, we acknowledged the higher demand for education. So, immediately, we launched the eBox knowledge-sharing platform within two weeks. Right after the establishment, eBox with sharing courses on Securities, Finance, Real Estate… was broadcast with famous speakers, attracting thousands of participants and bringing about new sources of revenue.
In 2022, with a significant growth target, the Company will promote its core values and products in Digital Content and Online Advertising. In addition, we will expand business activities in Technological Platforms, develop new digital products and services, approach global trends, and open up cooperating opportunities with thousands of businesses and partners in digital technology.