Asia300

KT Corp.

South Korea

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Sep 20, 2017
Prev close: 29,100
Sep 20, 2017
Market cap:
Market cap(USD):
7,598.35B
6,734.63M
Shares: 261.11M

Currency in KRW

Company profile

Market(Ticker): KRX(030200)
Sector:
Industry:
Communications
Major Telecommunications
Full time employees: --

Business summary

KT Corp. engages in the provision of integrated telecommunication services. It operates through the following business divisions: Mobile, Broadband Internet, Telephone, Wireless Broadband Internet and Internet Protocol Television (IPTV). The Mobile business division provides smart phone services, special tariff discount products, third-generation and WiBro network. The Broadband Internet business division offers supplementary services, customized products and supplies fiber to the home in housing market. The Telephone business division provides phone and internet bundling services, develops new business model. The WiBro business division offers distribution channels, terminals, laptop rental and package products. The IPTV business division provides free set top box rentals, hybrid products and satellite high definition channels. The company was founded on December 10, 1981 and is headquartered in Seongnam, South Korea.

Company background

KT is the largest telecommunications company in South Korea. It began life as Korea Telecommunications Authority, established in 1981. Since privatization in 2002, KT has expanded by absorbing mobile service provider KT Freetel and others. The South Korean National Pension Service is the largest shareholder in KT. KT engaged in the mobile phone service at its subsidiary. But it was forced to sell the subsidiary to SK group when it was privatized. The separated company, currently SK Telecom, is the top mobile carrier in South Korea.

KT Freetel is a subsidiary KT established after selling the mobile phone service subsidiary to SK group. KT Freetel currently offers telecom services under the Olleh brand and is one of the largest player in the South Korean market.

The company received capital subscriptions from major Japanese mobile carrier NTT Docomo in 2005. The companies cooperate in providing roaming services as well as on a technical level.

Hwang Chang-gyu, who was head of Samsung Electronics' semiconductor business, became the telecommunications company's chairman and CEO in 2014.

He implemented various reforms, such as reducing the number of sections and the number of administration staff and reinforcing overseas operations.

He has also decided to participate in plans to construct communications networks in African nations and introduce smart meters in Uzbekistan.

In the news

Financial highlights

Dec 2016

  • Local currency
  • US Dollar
Revenue 22,743.66B
Gross profit 5,972.97B
Operating income 1,439.97B
Income before tax 1,124.42B
Net income 711,089M
EBITDA 4,785.24B
Diluted EPS 2,902
Dividends per share 800
Total assets 30,587.73B
Total liabilities 17,792.95B
Total equity 11,441.93B
Operating cash flow 4,770.75B

Currency in KRW

Revenue 19,603.40M
Gross profit 5,148.27M
Operating income 1,241.15M
Income before tax 969.17M
Net income 612.90M
EBITDA 4,124.53M
Diluted EPS 2.50
Dividends per share 0.68
Total assets 25,325.16M
Total liabilities 14,731.70M
Total equity 9,473.36M
Operating cash flow 4,112.04M

Currency in USD

Valuation measures

Dec 2016

PER 10.12
ROA 2.37%
ROE 6.38%
Operating margin 6.33%
Profit margin 3.12%

Key executive

  • Chief Executive Officer & Director: Chang-Gyu Hwang
  • Chief Operating Officer & Director: Hyeon-Mo Ku
  • Head-Value Management: Gwang-Seok Shin
  • Head-Information Technology: Ki-Chul Kim
  • Head-Information Technology Planning: Soo-Jung Shin

Share holders

  • National Pension Service of Korea(10.9%)
  • NTT DoCoMo, Inc.(8.6%)
  • KT Corp.(6.1%)
  • Eastspring Investments (Singapore) Ltd.(1.1%)
  • APG Asset Management NV(0.9%)
  • T. Rowe Price Associates, Inc.(0.9%)
  • Samsung Asset Management Co., Ltd.(0.6%)
  • KT Corp. Employee Stock Ownership Association(0.5%)
  • T. Rowe Price Hong Kong Ltd.(0.5%)
  • Mirae Asset Global Investments Co., Ltd.(0.4%)

Address

  • Website: http://www.kt.com
  • Address: 90 Buljeong-ro, Bundang-gu, Seongnam, 13606, South Korea
  • Phone: +82.31.727.0114

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