SK Telecom FY2024 profit jumps 25.6% on AI, 5G growth

Seoul, South Korea—SK Telecom (NYSE: SKM) reported consolidated revenue of KRW 17.9406 trillion (US$12.36 billion) for fiscal year 2024, a 1.9% increase from the previous year. 

This increase was driven by growth in fixed and mobile communications and AI businesses.

The South Korean telecommunications company posted an operating income of KRW 1.8234 trillion (US$1.26 billion), up 4.0% year over year, while net income rose 25.6% to KRW 1.4388 trillion (US$991 million).

SK Broadband, the company's broadband unit, recorded revenue of KRW 4.4111 trillion (US$3.04 billion) and operating income of KRW 351.7 billion (US$242.4 million), increasing 3.1% and 13.7%, respectively, year over year.

The company's AI-related revenue grew 19% from the previous year. 

The AI Transformation business saw 32.0% growth year-over-year, while the AI data center business revenue increased 13.1% to KRW 397.4 billion (US$273.9 million).

By year-end 2024, SK Telecom's AI assistant service "A." reached 8 million users, representing 160% year-over-year growth. 

The company's 5G subscribers accounted for 74% of its 31.786 million mobile subscribers.

The board approved a fourth-quarter dividend of KRW 1,050 (US$0.72) per share, bringing the total annual dividend to KRW 3,540 (US$2.44) per share, pending shareholder approval in March.

For fiscal year 2025, SK Telecom forecasts revenue of KRW 17.8 trillion (US$12.27 billion) with year-over-year operating profit growth.