PETROLIMEX TRANSPORTATION SERVICES CORPORATION: Plunging Sales Amid Stable Equity in Vietnam’s Petroleum Logistics Sector

PETROLIMEX TRANSPORTATION SERVICES CORPORATION (TỔNG CÔNG TY DỊCH VỤ XĂNG DẦU PETROLIMEX) is a Hanoi-based logistics and fuel trading company specializing in the wholesale of solid, liquid, and gaseous fuels. Operating under Business ID and Tax Code 0108005532, the company was registered on September 29, 2017, and is headquartered at 229 Tay Son, Nga Tu So Ward, Dong Da District, Hanoi. The firm is a wholly owned subsidiary of VIETNAM NATIONAL PETROLEUM GROUP (Petrolimex), one of the largest state-owned enterprises in the petroleum sector.

With a paid-up capital of USD 12.3 million and a workforce of 172 employees, the company is chaired by Mr. Doan Van Thu, who oversees its petroleum logistics and distribution operations nationwide.

Financial Performance: Alarming Sales Contraction Despite Profit Growth

In 2024, PETROLIMEX TRANSPORTATION SERVICES CORPORATION experienced an 89.48% plunge in revenue, falling from nearly USD 199.5 million in 2023 to just USD 21 million. This dramatic contraction contrasts sharply with a 14.88% increase in net profit, which rose to USD 457,397. Total assets dropped by 15.38% to USD 15.67 million, continuing a two-year downward trend. Meanwhile, owner’s equity remained stable, climbing slightly to USD 13.42 million.

The company’s working capital improved substantially to over USD 502,000, a 603% jump year-over-year, possibly due to reduced procurement costs or a shift in operations during the revenue downturn.

Risk Management Perspective: Red Flags in Revenue Stability

Despite a moderate improvement in profit, the steep decline in sales raises significant concerns about the sustainability of PETROLIMEX TRANSPORTATION SERVICES CORPORATION's core business operations. Such a drop could stem from regulatory changes, operational restructuring, or disruptions in domestic fuel supply contracts.

From a risk management perspective, this profile signals volatility, particularly in the company’s revenue-generating capability. Investors, vendors, and creditors should seek access to Private Financial Data for deeper insights and perform a Litigation Search to rule out any legal exposure or contractual disputes that may have contributed to this downturn.

The company’s connection with a strong state-owned parent may provide some strategic backing, but operational performance must be independently assessed before engaging in long-term partnerships or credit lines.