Key Summary
- KT said its third-quarter consolidated operating profit fell 6.1% from a year earlier to 505.3 billion won.
- Quarterly revenue declined 1.8% to 6.9975 trillion won.
- Wireless service revenue dropped 3.9% year on year, while business-to-business and AI transformation order volume rose more than 20% cumulatively.
- KT completed a 250 billion won share buyback in September and plans to pay a 600 won cash dividend per share on November 12.
Main Story
KT on Thursday reported preliminary third-quarter results showing weaker profit and revenue than a year earlier. The company said consolidated operating profit came to 505.3 billion won, down 6.1% year on year, while sales reached 6.9975 trillion won, a 1.8% decline.
The company attributed the profit drop partly to a comparison with last year’s third quarter, when it booked a one-time gain from a property sale. At the same time, KT said earnings contributions from key affiliates in data centers, real estate, and content increased.
On a separate-company basis, excluding subsidiaries, KT posted revenue of 4.9878 trillion won and operating profit of 299.3 billion won.
In its mobile business, service revenue fell 3.9% from a year earlier, which KT linked to a customer benefit program that ran through July. By the end of the quarter, 5G subscribers accounted for 83.5% of the company’s total mobile base.
Fixed-line revenue also declined, pressured by lower home landline sales and weaker advertising income in the media business. In contrast, broadband and IPTV subscriber numbers rose 1.4% and 0.5%, respectively, from a year earlier.
Enterprise service revenue decreased 0.7% year on year, reflecting a high base after the completion of a large project in the previous year. Even so, KT said cumulative orders in business-to-business and AI transformation areas for the third quarter were up by more than 20% compared with the same period last year.
KT also said it completed a 250 billion won share repurchase in September under its corporate value enhancement plan. On October 13, the company decided on a third-quarter cash dividend of 600 won per share, with payment scheduled for November 12.
Background
The supplied article does not provide additional background beyond the quarterly earnings figures and KT’s recent shareholder-return actions.
Items Requiring Further Verification
- The operating profit decline is described as being influenced by a base effect from a one-time gain recognized in last year’s third quarter; this is a company explanation and is not independently verified in the article.
- The statement that data center, real estate, and content affiliates contributed more to profits is reported without supporting breakdown figures.
- The claim that cumulative B2B and AI transformation orders rose more than 20% is given without exact order amounts or methodology.
- The article says the dividend will be paid on November 12, which should be independently confirmed before use in time-sensitive reporting.