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Communications

SK Telecom Co., Ltd.

  • 264,000.00 KRW
  • +2,500.00
  • +0.96%
  • South Korea
    Aug 17, 2018
  • Ticker
    KRX(017670)
  • Prev. close
    261,500
  • Market cap (KRW)
    21,115.00B
  • Market cap (USD)
    18,773.10M
  • Shares
    80.74M

Company Background

SK Telecom is South Korea's largest cellphone service provider. It began as a subsidiary of a state-owned communications company in 1984, providing car-phone services. In 1997, the company became a subsidiary of SK Group, South Korea's third-largest conglomerate in terms of asset size. The group engages in energy and fiber businesses.

SK, the holding company of SK Group, is SK Telecom's largest shareholder. SK Group chairman Chey Tae-won also has a stake in the company. It is listed on the Korea Stock Exchange and the New York Stock Exchange.

Improving the country's communications environment is a South Korean national project. SK Telecom has often launched the world's fastest communication services ahead of foreign rivals. Having electronics makers with a great degree of telecom-related expertise such as Samsung Electronics and LG Electronics at home is one of the company's strengths.

Given South Korea's population and economic growth rates are slowing, while the smartphone penetration rate is already high, the company needs to develop new revenue sources for further growth. The company's cellphone services in Mongolia, Vietnam and the U.S. have achieved limited success.

Business Summary

SK Telecom Co., Ltd. engages in the provision of wireless telecommunication and internet services. Its products include mobile phones, wireless data, information communication, and others. The company was founded on March 29, 1984 and is headquartered in Seoul, South Korea.

Financial Highlights

Dec 2017 KRWUSD
Revenue17,520.01B15,497.43M
Gross Profit3,866.31B3,419.97M
Operating income1,530.83B1,354.10M
Income before tax1,157.51B1,023.88M
Net income2,582.98B2,284.79M
EBITDA4,628.29B4,093.99M
Diluted EPS36,58232.35
Dividends Per Share10,0008.84
Total Assets33,428.66B31,225.69M
Total liabilities15,797.99B14,756.89M
Total equity17,443.62B16,294.07M
Operating cash flow3,838.98B3,395.79M
Currency in KRWCurrency in USD

Historical Data

 Dec 2013Dec 2014Dec 2015Dec 2016Dec 2017
Revenue 16,602.05B 17,163.79B 17,136.73B 17,091.81B 17,520.01B
Gross Profit 5,387.81B 3,810.23B 3,711.21B 3,602.46B 3,866.31B
Operating income 1,988.95B 1,807.16B 1,692.68B 1,495.43B 1,530.83B
Income before tax 1,120.59B 1,347.49B 1,249.22B 1,551.63B 1,157.51B
Net income 1,454.67B 1,784.33B 1,501.76B 1,659.12B 2,582.98B
EBITDA 4,650.57B 4,521.89B 4,537.97B 4,437.31B 4,628.29B
Diluted EPS 23,316 25,154 20,988 23,497 36,582
Dividends Per Share 9,400 9,400 10,000 10,000 10,000
Total Assets 26,576.51B 27,941.23B 28,581.38B 31,297.66B 33,428.66B
Total liabilities 12,808.47B 13,091.48B 13,605.80B 15,579.75B 15,797.99B
Total equity 13,053.85B 14,108.22B 14,852.56B 15,572.88B 17,443.62B
Operating cash flow 3,558.57B 3,677.38B 3,761.28B 4,226.32B 3,838.98B
 Dec 2013Dec 2014Dec 2015Dec 2016Dec 2017
Revenue 15,164.98M 16,305.19M 15,141.08M 14,731.91M 15,497.43M
Gross Profit 4,921.44M 3,619.63M 3,279.02M 3,105.06M 3,419.97M
Operating income 1,816.78M 1,716.76M 1,495.56M 1,288.95M 1,354.10M
Income before tax 1,023.59M 1,280.08M 1,103.74M 1,337.40M 1,023.88M
Net income 1,328.76M 1,695.07M 1,326.87M 1,430.04M 2,284.79M
EBITDA 4,248.02M 4,295.68M 4,009.51M 3,824.64M 4,093.99M
Diluted EPS 21.29 23.89 18.54 20.25 32.35
Dividends Per Share 8.58 8.92 8.83 8.61 8.84
Total Assets 25,182.65M 25,420.76M 24,375.40M 25,912.94M 31,225.69M
Total liabilities 12,136.70M 11,910.54M 11,603.60M 12,899.27M 14,756.89M
Total equity 12,369.21M 12,835.57M 12,666.88M 12,893.59M 16,294.07M
Operating cash flow 3,250.54M 3,493.42M 3,323.27M 3,642.79M 3,395.79M

Valuation Measures

Dec 2017
PER7.29
ROA7.98%
ROE15.64%
Operating margin8.73%
Profit margin14.74%

Key executives

  • President, Chief Executive Officer & Director: Jung-Ho Park
  • Head-Finance Management: Sung-Hyung Lee
  • Head-Information Communication Technology: Ho-Soo Lee
  • Head-Information Technology Service: Nam-Seok Han
  • Senior Vice President & Head-Network Technology: Jin-Hyo Park

Shareholders

  • SK Holdings Co., Ltd. (25.2%)
  • SK Telecom Co., Ltd. (12.5%)
  • National Pension Service of Korea (9.1%)
  • Causeway Capital Management LLC (2.0%)
  • Nordea Investment Management AB (Denmark) (0.9%)
  • Macquarie Investment Management Business Trust (0.7%)
  • BlackRock Fund Advisors (0.7%)
  • The Vanguard Group, Inc. (0.5%)
  • Principal Global Investors LLC (0.4%)
  • Schroder Investment Management Ltd. (0.4%)

Contact Details

  • Website:http://www.sktelecom.com
  • Address: SKT Tower, 65 Eulji-ro, Jung-gu, Seoul, 04539, South Korea
  • Phone: +82.2.6100.2114

Related Companies

  • SK Telecom Co., Ltd. (United States)
  • Cyworld China (Holdings) Ltd.
  • One Store Co., Ltd.
  • SK Telecom Americas Innopartners
  • Service Ace Co., Ltd. (South Korea)
  • NBJ Games Co., Ltd.
  • SKP America LLC
  • Network O&S
  • SK Planet Co., Ltd.
  • Ps & Marketing Corp.
  • SK Networks Co., Ltd. /Leased Line Business/
  • SK Telecom Ventures LLC
  • SK Broadband Co., Ltd
  • Shenzhen E-eye High Tech Co.
  • SK Telink Corp.
  • SK Telecom Co., Ltd. Employee Stock Ownership Association
  • SK Communications Co., Ltd
  • TU Media Corp
  • SK Telecom China Co., Ltd.
  • FaceOne
  • ShinSegi Telecom, Inc.
  • PAXnet
  • SK Telecom Usa Holdings, Inc.

Competitors

  • CJ ENM Co., Ltd.
  • KT Corporation
  • LG Uplus Corp
  • eBay Inc.
  • Lotte Corp
  • Interpark Holdings Corporation
  • Alphabet Inc. Class A
  • GS Home Shopping Inc.
  • Hyundai Home Shopping Network Corporation
  • Shinsegae Co., Ltd
  • NHN Entertainment Corp
  • CJ Corporation
  • CJ Hello Co. Ltd.
  • COL Public Company Limited
  • Taekwang Industrial Co., Ltd.
  • KINX Inc.
  • Hyundai HCN Co., Ltd.
  • KTCS Corp.
  • Telstra Corporation Limited
  • Danal Co., Ltd
  • Hanyang Digitech Co., Ltd
  • KTIS Corporation
  • Taeyoung Engineering & Construction Co., Ltd.
Last Updated on 17 Aug, 2018

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