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SK Telecom's Q1 profit is up 19.6% on higher investment income

Source: SK Telecom

Seoul, South Korea - SK Telecom Co Ltd (NYSE: SKM), South Korea's largest mobile carrier, reported a 19.6% increase in first-quarter net profit on Monday, boosted by higher non-operating income related to investments.

The company's net income was KRW 361.9 billion (US$265.2 million) for the January-March period, compared with KRW 302.6 billion a year earlier.

Operating profit rose 0.8% to KRW 498.5 billion, while revenue increased 2.3% to KRW 4.475 trillion, backed by steady growth in its mobile and fixed telecommunications businesses.

SK Telecom said it plans to focus on creating concrete results in three key areas this year: AI Infrastructure, AI Transformation (AIX), and AI Service, as part of its AI Pyramid Strategy.

The company's data center business, which forms the foundation of its AI business, recorded a 26% year-on-year revenue growth, while its enterprise business revenue grew by approximately 10%.

SK Telecom announced it will return at least 50% of its adjusted net income on a consolidated basis to shareholders for the three years from 2024 to 2026. 

The dividend per share for the first quarter was finalized at KRW 830 (US$0.61).