KT Corp, the second-largest wireless carrier in South Korea, reported a significant surge in net income for the second quarter of this year, driven by strong sales in its business-to-business (B2B) sector. The company’s net profit reached 432.5 billion won ($331.8 million), a 19% increase compared to the same period last year.
KT Corp also experienced a 25.5% rise in operating profit, reaching 576.1 billion won, and a 3.7% increase in sales, totaling 6.54 trillion won. These figures represent the highest quarterly sales amount in the second quarter since 2010.
These results exceeded market expectations, with analysts predicting a net profit estimate of 399.4 billion won. KT Corp attributed its impressive performance to robust sales in its B2B operations. The company’s platform service for businesses, as well as its business communications service, witnessed positive growth, with sales reaching 509.6 billion won and 546.9 billion won, respectively.
KT Corp’s business-to-customer platform business also experienced an increase in sales, rising by 3.8% to reach 575.6 billion won. Furthermore, its wireless business for customers generated sales of 2.4 trillion won, a 0.8% growth compared to the previous year.
In terms of mobile users, KT Corp reported that 68% of its subscribers, or 9.28 million users, were utilizing their 5G services. This highlights the growing demand for advanced connectivity options among consumers.
Following the announcement of its impressive earnings, KT Corp’s shares rose by 4.07% and closed at 32,000 won on the main Seoul bourse. This substantial increase in share value demonstrates investor confidence in the company’s strong financial performance.
KT Corp’s second-quarter results not only surpassed market expectations but also showcased the company’s ability to effectively cater to B2B demands. With a robust presence in the business communications and platform service sectors, the company has successfully capitalized on the growing needs of businesses.
By prioritizing the development of its B2B operations and leveraging the increasing demand for 5G connectivity, KT Corp has secured a strong position in the market. As technology continues to play a vital role in the business landscape, the company’s focus on providing innovative solutions to its clientele has been rewarded with impressive financial results.
Moving forward, KT Corp is well-positioned to maintain its growth trajectory, bolstered by its B2B success and the increasing adoption of 5G services. As the company continues to cater to the evolving needs of businesses and consumers, it is expected to further solidify its position as a leading wireless carrier in South Korea.
