Saigon Ground Service Corporation (SAGS) has officially announced the termination of its ground service contract with Vietjet Air at Tan Son Nhat International Airport, effective April 20, 2025. This decision comes as Vietjet opts to manage its ground services independently. In response, SAGS plans to create a new production and business plan and seek new customers to compensate for potential revenue losses. This marks the second time SAGS has ended cooperation with a major airline within two years; it previously ceased collaboration with Bamboo Airways due to delayed payments. In 2024, SAGS reported a 4% increase in revenue to 1.518 trillion VND and a 22% increase in after-tax profit to 294 billion VND. To expand its investments, SAGS is proposing the establishment of a new legal entity for the Ground Technical Service Project at Long Thanh International Airport with an estimated investment of 790 billion VND, in which SAGS will contribute 75%.
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