SK Telecom, Announces 2Q performance in 2020

[Infostock Daily = Reporter Kim Jong Hyo] SK Telecom announced on the 6th that it recorded 4.6028 trillion won in sales, 359.5 billion won in operating profit and 432.2 billion won in net profit in 2Q of 2020.

Sales and operating profit rose 3.7% and 11.4% year-on-year, respectively, due to steady growth in all sectors of New Biz. and improved wireless business performance. Net profit increased by 66.8% due to profit impact of SK Hynix's equity method.

Total sales of media, security and commerce, the core business of New Biz., rose 13.4% year-on-year. The portion of subsidiaries' profits in consolidated operating profit also sharply increased from 15% in 2Q of last year to about 25% in the same period this year.

The media business posted sales of 918.4 billion won, up 16.2% year-on-year, thanks to the impact of the merger of T-Broad completed on April 30.

Sales from its security business, consisting of ADT Caps and SK Infosec, reached 323 billion won, up 8.7% from a year earlier.

The commerce business posted 192.6 billion won in sales, up 8.5% from a year earlier, thanks to the expansion of 11th Street transactions and SK Stoa advance.

SK Telecom's wireless sales rose 3.2% year-on-year to 2.9398 trillion won. In addition, SK Telecom invested 917.8 billion won in facility investment in 2Q of this year alone, up 56.7% from the previous year, in order to overcome the economic crisis caused by COVID 19. The accumulated investment in the first half totaled 1.2244 trillion won, up 33.5% from the previous year.

Reporter Kim Jong Hyo kei1000@infostock.com