VETC H1 2026 Revenue Up 17.3%, Profit Rises 9% as Digital Platform Expands

Overview

VETC, a subsidiary of Tasco (TAS), reported H1 2026 revenue of VND 327.1 billion, up 17.3% year-on-year, and after-tax profit of VND 53.2 billion, up nearly 9%. The company is transitioning from a toll collection infrastructure provider to a broader digital transport platform, leveraging its nationwide ETC network.

Key Facts

• H1 2026 revenue reached VND 327.1 billion, up 17.3% from the same period in 2025.
• After-tax profit for H1 2026 was VND 53.2 billion, up nearly 9% year-on-year.
• Accumulated losses still exceed VND 420 billion, a legacy of historical investment in ETC infrastructure.
• VETC operates approximately 70% of ETC toll stations nationwide.
• In 2022, VETC installed 132 ETC lanes at 28 stations on four major highways managed by VEC, completing the project 50 days ahead of schedule.
• Over 550,000 vehicles were fitted with eTags during peak deployment phases.
• The company is expanding services on its app, including parking payments, EV charging fees, fuel payments, civil liability insurance, and 24/7 roadside assistance.

What Happened

According to the reviewed consolidated interim financial statements for 2026, VETC recorded a 17.3% increase in revenue to VND 327.1 billion in the first half of the year. After-tax profit rose nearly 9% to VND 53.2 billion, reflecting continued growth in its core toll collection business and early contributions from new digital services.

The company has been investing heavily since 2015 to popularize ETC, offering free eTag installation for nearly eight years. This strategy created significant accumulated losses, which still exceed VND 420 billion. However, management emphasizes that these are historical losses, not current-period losses, and the focus is now on improving efficiency and gradually offsetting them.

A major turning point came in 2022 when VETC deployed ETC systems on four highways managed by VEC within 50 days, ahead of government deadlines. This demonstrated its capability to handle large-scale technology deployment and operations, laying the groundwork for its evolution into a digital transport platform.

Market Context

TAS is listed on HOSE. The company’s share price has been under pressure recently, reflecting broader market volatility and concerns about its high debt levels. VETC’s improving profitability is a positive signal, but the parent company’s financial health remains a key consideration for investors. The Vietnamese toll collection market is mature, with ETC now standard on most highways, so growth increasingly depends on ancillary services and digital expansion.

Strategic Significance

VETC’s shift from a toll collection service provider to a digital transport platform is strategically important. By leveraging its existing customer base and nationwide infrastructure, it can cross-sell services such as parking payments, EV charging, and insurance, creating new revenue streams with higher margins. This diversification reduces reliance on toll collection volumes and positions VETC to benefit from Vietnam’s growing digital economy and electric vehicle adoption. For Tasco, VETC’s profitability is crucial to offsetting accumulated losses and improving consolidated earnings.

What to Watch

• Q3 2026 earnings release to see if revenue growth accelerates as digital services scale.
• Progress in reducing accumulated losses below VND 420 billion.
• Updates on new partnerships or service launches on the VETC app.
• Any changes in government policy regarding ETC fees or highway operations that could impact VETC’s core business.
• Tasco’s consolidated financial results and debt management, as it supports VETC’s expansion.