KT Skylife Reports Q1 Operating Profit of 25.7 Billion KRW, Up 18.8% Year-on-Year

Total Subscribers Increased by 29,000
Largest Net Growth in 27 Quarters
Hit Contents Like 'Gangcheolbudae 2' and 'Naneun SOLO' Also Contributed

[Asia Economy Reporter Cha Min-young] KT Skylife announced on the 9th that its operating profit for the first quarter of 2022 reached 25.7 billion KRW, an 18.8% increase compared to the same period last year. Compared to the previous quarter, it increased by 59.2%.

The platform division operating revenue of Skylife and HCN was 225.8 billion KRW, a 45.0% increase compared to the same period last year. Due to the increase in Skylife Internet and mobile subscribers, telecommunications service sales recorded 28.7 billion KRW, more than doubling compared to the same period last year.

The content division operating revenue of Skylife TV was 15 billion KRW, a 33.8% increase compared to the same period last year. Advertising revenue reached 10 billion KRW, entering the 10 billion KRW range for the first time in quarterly advertising revenue. General advertising revenue continues to grow with 'Steel Troops 2,' which has been airing since February, and advertising sales growth is expected in the second quarter due to the ENA channel reorganization effect.

Subscribers for all Skylife products, including satellite broadcasting, cable broadcasting, OTS, internet, and mobile, also recorded a net increase of 29,000. This is the largest net increase in 27 quarters. The company explained that the increase in net mobile subscribers and the switch to net subscriber growth for cable TV subscribers for the first time in about 14 years had an impact. They also expect an effect of expanded subscriber inflow through HCN, recently incorporated into the KT Group.

Viewership in the content division is also on the rise. Last month, KT Skylife relaunched the SKY and NQQ channels as ENA and ENA Play and began full-scale content investment. Among Skylife TV channels targeting the 20-49 age group, ENA ranked 21st and ENA Play ranked 24th out of 350 channels. Additionally, the viewership rating of 'I am SOLO' recorded 1.128% in paid households, the highest for Skylife TV’s self-produced content.

Variety shows and dramas are also scheduled to be released from the first half of this year. From early May, variety shows such as 'Please Take Care of This Week,' 'Heart Beats 38.5,' 'Hammington Family Dream Closet,' 'Disappearance - Do Kyung-soo,' and 'Actor is Camping King,' as well as dramas like 'No Need for Goo Pil-soo' and 'Extraordinary Attorney Woo' will be released sequentially.

Yang Chun-sik, Head of KT Skylife Management Service Division, said, “With the net increase in subscribers for broadcasting, internet, and mobile, we recorded operating revenue of 240.8 billion KRW in the first quarter, showing a smooth start toward achieving annual sales in the 1 trillion KRW club,” and added, “As Skylife TV’s performance is also on the rise, we will solidify our status as a comprehensive media content platform by leveraging the newly broadcast variety and drama content.”

This content was produced with the assistance of AI translation services.