SKT Achieves 567.4 Billion Won Operating Profit in Q1... "Company to Focus All Capabilities on Customer Protection"

14% Year-on-Year Growth Driven by AI Business
Revenue Reaches 4.45 Trillion Won... First-Quarter Dividend Set at 830 Won Per Share
Second-Quarter Results Expected to Reflect Impact of Cyber Hacking

SK Telecom (SKT) achieved an operating profit of 567.4 billion won in the first quarter of this year, driven by growth in its artificial intelligence (AI) business. According to SKT's disclosure on May 12, operating profit increased by 13.8% year-on-year, thanks to strong performance in the AI Data Center (AI DC) and AI Transformation (AIX) businesses.

However, the outlook for the second quarter remains uncertain due to customer attrition caused by cyber hacking and restrictions on new subscriber registrations following government administrative guidance. Regarding the cyber intrusion incident, Chief Financial Officer Kim Yangseob stated, "We will reflect on all aspects of our business and management to further strengthen our fundamental competitiveness," adding, "We will focus all of the company's capabilities on customer protection to unwaveringly maintain the trust SKT has built over the past 40 years."

First-quarter revenue was 4.4537 trillion won, down slightly by 0.5% year-on-year, while net profit for the period stood at 361.6 billion won, maintaining a similar level to the previous year (down 0.1%). Growth in AI businesses such as AIX and data centers, as well as in the wired business, was achieved, but revenue declined due to the impact of divesting certain subsidiaries.

In particular, the AI DC business posted quarterly revenue exceeding 100 billion won for the first time, recording 102 billion won, an 11.1% increase year-on-year, driven by increased data center capacity and utilization rates. The AIX segment also continued its growth, achieving revenue of 45.2 billion won, up 27.2% from the same period last year.

In the AI services sector, the cumulative number of subscribers to A. (A-dot) surpassed 9 million, while the global AI agent service A* (Astar) began open beta service in the United States at the end of March. Astar plans to improve its service based on user feedback and officially launch in the second half of the year.

Meanwhile, SKT decided on a first-quarter 2025 dividend of 830 won per share, with the record date set for May 31.

In response to the cyber intrusion incident, SKT has upgraded its abnormal authentication attempt blocking system to the highest level of operation and has automatically enrolled all eligible customers in its USIM protection service. As of May 11, a total of 1.47 million customers have completed free USIM replacements upon request.

Additionally, starting May 12, SKT will launch a new 'USIM reset' solution that prevents USIM duplication by modifying part of the existing USIM information without requiring a physical replacement, as well as an upgraded USIM protection service that safeguards customer information even while roaming overseas.

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