Sk Telecom Co., Ltd. · KRX:017670
Sk Telecom — Investor Presentation (November 2010)
21 slides from Sk Telecom's investor presentation, November 2010
Slide 1: Investor Presentation
Investor Presentation November 2010
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by SK Telecom Co., Ltd. (“the Company”). This presentation is being presented solely for your information and is subject to change without notice. No representation or warranty, expressed or implied, is made and no reliance should be placed on the accur
Slide 3: Contents
Contents 1. Wireless market overview 2. Financial results 3. Growth strategy · B2C business · B2B business · Service platform 4. Shareholder return 3
Slide 4: 1. Wireless market overview
1. Wireless market overview 4
Slide 5: Overview of Korean wireless market
Overview of Korean wireless market Despite the Korean wireless market showing penetration rate of over 100%, the market is expected to show continued increase in market penetration and growth in revenue Wireless market trend Wireless market’s total and data revenue (Units: Million, %) (Units: KRW
Slide 6: Competitive landscape
Competitive landscape SK Telecom continues to demonstrate undisputed market leadership Market share by subscribers Mobile service revenue (Units: 000s, %) (Units: KRW Bn) 3Q 2010 3,181 LG U+ (Mobile) SKT 17.8% 50.7% 8,933 1,766 25,445 15,831 883 KT (Mobile) 31.5% SKT KT LGU+ Source: Company data,
Slide 7: 2. Financial results
(2. Financial results Mp SK telecom
Slide 8: Financial results – 3Q 2010
Financial results – 3Q 2010 3Q 2010 3Q 2009 YoY (%) 2Q 2010 QoQ (%) (KRW Bn) Revenue 3,181 3,057 4.1% 3,089 3.0% Marketing Expense* 751 762 △1.5% 772 △2.8% (Ratio to Revenue) (23.9%) (24.9%) (△1.0%p) (25.3%) (△1.3%p) Operating Income 519 619 △16.1% 582 △10.8% EBITDA 1,065 1,106 △3.7% 1,085 △1.9% Net
Slide 9: 3. Growth strategy
3. Growth strategy · B2C business · B2B business · Service platform 9
Slide 10: B2C business: Smartphone adoption impact
B2C business Smartphone adoption impact Adoption trend of smartphone and new data price plan Smartphone and new data price plan users (Units: Million) Accumulated smartphone users All-in-one price plan users (55 or above) 350 All-in-one price plan users (55 below) Unlimited 3.30(E) data service 30
Slide 11: B2C business: Smartphone ARPU
B2C business Smartphone adoption impact Smartphone ARPU Smartphone ARPU has increased 4% each for the last two quarters to KRW 57,000 Further growth expected due to adoption of high-end smartphone like Galaxy S (Units: KRW 1000s) 57 4% 55 4% 53 240 ’10 1 Q 2Q 3Q Increased ARPU of smartphone ARPU
Slide 12: B2C business: Competitive data-centric network
B2C business Competitive data-centric network Network portfolio strategy 1 Deploy 6FA WCDMA service from 4FA service Nation wide 3FA for data, 3FA for voice Introduce LTE service in 2011 2 Base Transceiver 6 sector solution to double the data capacity at 1,000BTSs Station area 3 Build ov
Slide 13: B2B business: Growth of B2B business
B2B business Growth of B2B business Growing revenue Growing mobile office numbers Supplied smartphone to POSCO, KBS B2B sales of 3Q was KRW 257 etc. billion, 35% increase QoQ SKT will strive to achieve the sales target Constructed mobile office, mobile of KRW 1 trillion for 2010 groupware or
Slide 14: B2B business: Progress – Connected Workforce
B2B business Progress Category Content Progress & plan Providing mobile office settings ’10 3Q: 580 companies to corporate to enhance their Striving to expand Connected productivity and efficiency Workforce Developing and expanding mobile workforce service by ’10 4Q: Service commercializati
Slide 15: B2B business: Progress – Connected Finance
B2B business Progress Category Content Progress & plan Providing ICT-based small ’11 1H: Service commercialization branches to financial institutions together with Korea Exchange Bank Connected Finance Planning expansion to finance industry other than banking, also to overseas Developing edu
Slide 16: Service platform: SKT's service platform
Service platform SKT’s service platform Service platform Convergence of necessary software and hardware for Platform creating various services Platform providing various services not using hardware or Service platform O/S kernel but software YouTube Application SKT’s target area Flash (Service pla
Slide 17: Service platform: Strategy
Service platform Strategy Proactively support killer service platforms of marketable/technology proven businesses Major service platform Expansion strategy Category Major service platform Open API**** on the service platform LBS - T map, T store, SMS/MMS, etc. Commerce Focus on service platfor
Slide 18: Service platform: example T map
Service platform Service platform example Example: LBS – T map By disclosing the API of T map service, other application developers can create many kinds of business model based on T map service Ultimately creating family of T map related business models (e.g How to enjoy the best restaurant) Fa
Slide 19: 4. Shareholder return
Mp SK telecom (4. Shareholder return 19
Slide 20: Shareholder return
Shareholder return Occasionally cash dividend has been supplemented by share buyback 1,400 Cash 9,400 9,400 9,400 dividend 8,000 8,000 (KRW) 2010 2005 2006 2007 2008 2009 Payout ratio DPS Cash dividend amount Special cash dividend: 2007 (KRW 100 Bn) to be similar to 2009 Completed share buy 79
Slide 21: Q&A
QaaA We SK telecom