PVT Update – BUY

PVT delivered strong 2Q2026 earnings, driven by its shipping segment, which continued to benefit from elevated freight rates and contributions from its expanded fleet. We expect this growth momentum to continue in 2H2026, supported by time-charter contracts secured at favorable freight rates. Although fleet expansion has progressed more slowly than planned, we remain positive on PVT’s medium- and long-term outlook, underpinned by resilient petroleum transportation demand and the company’s intention to continue expanding its fleet when investment conditions become more attractive. Accordingly, we maintain our 2026 NPAT forecast of VND1,937bn (+45.7% YoY) and our target price of VND28,200/share.

2Q2026 earnings exceeded expectations. Revenue and NPAT increased by 32.4% YoY and 88.4% YoY, respectively, mainly driven by (1) the full-quarter contribution from 7 vessels acquired in 2025, lifting total fleet capacity to more than 2.0 million DWT (+19% YoY), (2) a sharp increase in freight rates as time-charter contracts were renewed at significantly higher rates, and (3) an improvement in the shipping segment’s gross margin to 28.4% from 20.7% in the same period last year. As a result, 1H2026 NPAT fulfilled 88.7% of the company’s full-year target and 55% of our forecast.
Freight rates are expected to remain elevated over the medium term. Although tensions in the Middle East have eased, freight rates should continue to be supported by stronger tonne-mile demand and ongoing geopolitical uncertainties. In addition, most of PVT’s fleet operates outside the Strait of Hormuz or under time-charter contracts, allowing the company to continue benefiting from the current favorable freight rate environment.
Fleet expansion has been slower than planned, but the long-term outlook remains intact. PVT did not complete any vessel acquisitions in 1H2026 due to elevated second-hand vessel prices. Meanwhile, the proposed investment in VLCCs to serve the Nghi Son Refinery remains under evaluation and could become a key long-term growth driver if supported by a long-term transportation contract.
Forecast maintained. We expect earnings in 2H2026 to remain supported by time-charter contracts signed at favorable freight rates. Accordingly, we maintain our 2026 revenue and NPAT forecasts at VND18,197bn (+13.4% YoY) and VND1,937bn (+45.7% YoY), respectively, with a target price of VND28,200/share, based on our DCF valuation.