SK Telecom posts higher second-quarter operating profit as costs decline

SK Telecom said its second-quarter operating profit rose 70.5 percent to 428 billion won ($302 million), from 251 billion won ($177 million) a year earlier despite lower revenue, citing reduced costs after last year's SIM replacement expenses and a focus on profitability.

Revenue slipped 0.6 percent to 3.12 trillion won ($2.2 billion), while net income jumped 742.2 percent to 311 billion won ($220 million), from 36.9 billion won ($26.1 million). Pre-tax income from continuing operations rose 106.1 percent to 402 billion won ($284 million), from 195 billion won ($138 million) a year earlier. Consolidated operating expenses declined 5.2 percent from a year earlier.

Mobile revenue fell 1.9 percent to 2.56 trillion won ($1.81 billion) as subscriber numbers declined. AI data-center revenue increased 92.5 percent to 136 billion won ($96.3 million), supported by expanded operations and contributions from undersea-cable sales. Fixed-line communications revenue rose 3.8 percent to 297 billion won ($210 million), helped by growth in broadband subscribers and a larger share of gigabit internet services.