Slide 1: KT 3Q16 Earnings Release
KT 3Q16 Earnings Release Investor Relations｜ 2016. 10. 28
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by KT Corp.(the Company”). This presentation contains forward-looking statements, which are subject to risks, uncertainties, and assumptions. This presentation is being presented solely for your information and is subject to change without notice. No pr
Slide 3: Contents
Contents 1 Financial Highlights 2 Business Overview 3 Q&A 4 Appendix
Slide 4: Financial Highlights 1-1: Income Statement
Financial Highlights 1-1 (Unit: KRW bn) K-IFRS / Consolidated Operating revenue 5,522.9bn (YoY) +0.7% Service revenue 5,040.0bn (YoY) +2.9% Operating income 401.6bn (YoY) +17.0% Net income 234.5bn (YoY) +86.1% EBITDA 1,236.3bn (YoY) +5.3% 3Q15 2Q16 3Q16 QoQ YoY Operating revenue 5,492.2 5,677.6 5,52
Slide 5: Financial Highlights 1-2: Operating Expenses
1-2 K-IFRS / Consolidated Financial Highlights Operating Expenses 5,128.4bn (YoY) -0.4% Labor cost 852.1bn (YoY) +0.9% General expenses 2,488.8bn (YoY) +2.1% Cost of merchandise 668.7bn (YoY) -17.9% 3Q15 2Q16 3Q16 QoQ YoY Operating Expenses 5,148.9 5,250.7 5,128.4 -2.3% -0.4% Labor cost 844.3 856.5
Slide 6: Financial Highlights 1-3: Debt Position and Financial Position
Financial Highlights 1-3 K-IFRS / Consolidated (Unit: KRW bn) Debt Position Borrowings : 8,236.2bn Net Debt : 4,775.4bn Debt Ratio Debt to Equity : 137.9% Net Debt to Equity : 37.7% 3Q15 2Q16 3Q16 QoQ YoY Assets 31,450.6 28,624.2 30,135.8 5.3% -4.2% Cash and cash equivalents 2,870.3 3,043.2 3,460.8
Slide 7: Financial Highlights 1-4: CAPEX
Financial Highlights 1-4 K-IFRS / KT Separate Total CAPEX 3Q16(YTD) : 1,233.9bn Spent 49.4% to FY2016 guidance 3Q16(YTD) CAPEX Breakdown Access Network : 582.1bn Backbone Network : 182.9bn B2B : 327.2bn Others : 141.7bn Expected to spend within KRW 2.5tn in FY2016 CAPEX (Unit: KRW bn)
Slide 8: Business Overview
1 Financial Highlights 2 Business Overview 3 Q&A 4 Appendix
Slide 9: Business Overview 2-1: Wireless
Business Overview 2-1 Wireless revenue increased 2.2% YoY Service revenue grew 2.2% YoY due to increased subscriber / ARPU Other wireless revenue decreased 7.8% YoY due to abolition of activation fee Continuous net addition and increase of LTE penetration ratio Subscribers net addition to be 300k Qo
Slide 10: Business Overview 2-2: Wireline
Business Overview 2-2 K-IFRS / Consolidated Wireline revenue decreased 2.3% YoY Telephony Telephony revenue fell 11.5% YoY due to line loss and MOU decline Broadband Already reached 2m GiGA internet subscribers in 3Q Broadband revenue increased +11.4% YoY, on ARPU & subscriber growth and interconnec
Slide 11: Business Overview 2-3: Media/Contents
Business Overview 2-3 Media/Contents revenue grew 15.3% YoY Media Continuous growth of IPTV ARPU on improved subscriber mix IPTV subscribers reached 6.9m with net additions of 120k in 3Q Monthly fee and VAS revenue increased Contents Steady growth from contents business subsidiaries - (KTH) Sales ex
Slide 12: Business Overview 2-4: Finance, Other Service and Merchandise
Business Overview 2-4 Merchandise Merchandise revenue decreased by 17.8% YoY due to Galaxy Note 7 sale suspension Finance revenue Finance revenue increased 3.7% YoY due to increased transaction volume of credit/check card Other Service revenue Other Service revenue rose 7.3% YoY due to Real estate a
Slide 13: Q&A
1 Financial Highlights 2 Business Overview 3 Q&A 4 Appendix
Slide 14: Appendix
1 Financial Highlights 2 Business Overview 3 Q&A 4 Appendix
Slide 15: K-IFRS Quarterly Income Statements
K-IFRS Quarterly Income Statements 4-1 (Unit: KRW bn) Consolidated I/S 1Q 15 2Q 15 3Q 15 4Q 15 1Q 16 2Q 16 3Q 16 KT Separate I/S 1Q 15 2Q 15 3Q 15 4Q 15 1Q 16 2Q 16 3Q 16 Operating revenue 5,398.7 5,431.3 5,492.2 5,958.9 5,515.0 5,677.6 5,529.9 Operating revenue 4,133.4 4,197.1 4,163.2 4,448.6 4,200
Slide 16: K-IFRS Statement of Financial Position
K-IFRS Statement of Financial Position 4-2 Consolidated 1Q 15 2Q 15 3Q 15 4Q 15 1Q 16 2Q 16 3Q 16 KT Separate 1Q 15 2Q 15 3Q 15 4Q 15 1Q 16 2Q 16 3Q 16 Asset 34,618.6 31,025.7 31,450.6 29,341.2 29,484.8 28,624.2 30,135.8 Asset 25,049.8 24,267.5 24,194.7 24,222.5 23,981.9 23,590.8 24,287.4 Current as
Slide 17: Subscribers (KT Separate)
Subscribers (KT Separate) 4-3 Wireless 1Q 15 2Q 15 3Q 15 4Q 15 1Q 16 2Q 16 3Q16 QoQ YoY Subscribers (Unit: 1,000)1) Total (LTE+WCDMA) 17,437 17,637 17,801 18,038 18,180 18,378 18,678 1.6% 4.9% Net additions 137 200 164 238 142 198 300 51.7% 83.5% Gross additions 1,393 1,179 1,115 1,215 1,144 1,134 1
Slide 18: Thank you
Thank you