Kt Corporation · KRX:030200
Kt — Q2 2020 Earnings Presentation
17 slides from Kt's earnings presentation, Aug 7, 2020
Slide 1: KT 2Q20 Earnings Release
KT 2Q20 Earnings Release August 7, 2020 Investor Relations
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by KT Corp. (the “Company”) in accordance with K-IFRS. 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
Slide 3: Financial Highlights, Business Overview, Appendix
1 Financial Highlights 2 Business Overview 3 Appendix
Slide 4: Consolidated Income Statement
K-IFRS / Consolidated 1 Income Statement â^™ Service revenue down -3.6% YoY due to the decline in Handset sales, BC card and Real estate sales affected by COVID-19, despite the solid growth in core Wireless and B2B biz â^™ Operating profit up +18.6% YoY with cost cutting efforts—KT Separate operatin
Slide 5: Consolidated Operating Expenses
K-IFRS / Consolidated 2 Operating Expenses (Unit: KRW bn) 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 QoQ YoY Operating Expenses 5,432.3 5,810.3 5,901.2 6,047.2 5,448.6 5,534.7 1.6% -4.7% Labor Cost 983.8 1,006.1 959.4 1,001.8 1,003.9 983.7 -2.0% -2.2% General Expense 2,327.1 2,459.3 2,433.5 2,579.7 2,259.5 2,343
Slide 6: Consolidated Financial Position
K-IFRS / Consolidated 3 Financial Position (Unit: KRW bn) 2Q 19 1Q 20 2Q 20 QoQ YoY Assets 33,469.4 32,631.0 34,003.4 4.2% 1.6% Cash & Cash Equivalents 2,250.1 1,627.1 2,942.2 80.8% 30.8% Liabilities 18,464.8 17,559.4 18,629.6 6.1% 0.9% Borrowings 6,256.8 7,286.9 7,987.6 9.6% 27.7% Equity 15,004.6 1
Slide 7: Separate CAPEX
K-IFRS / Separate 4 CAPEX • FY2020 CAPEX guidance, 3.1 trillion won and 967.3bn won executed in 1H20 —Access Network 524.3bn, Backbone Network 121.3bn, B2B communications 209.6bn, others 112.1bn (Unit: KRW bn) 3,711 3,313 3,257 Access Network Backbone Network B2B 2,514 Others 2,397 2,359 2,475 2,250
Slide 8: Business Overview
1 Financial Highlights 2 Business Overview 3 Appendix
Slide 9: Separate KT—Wireless
K-IFRS / Separate 1 KT—Wireless â^™ Wireless service revenue up by +0.2% YoY with net addition of MNO subs despite the roaming sales decline affected by COVID-19 pandemic and accounting rule change of “Membership Points” â^™ Total number of 5G subscribers reached 2.24 million (16% of Handset subscri
Slide 10: Separate KT – Fixed Line/IPTV
K-IFRS / Separate 2 KT – Fixed Line/IPTV â^™ Telephony and Broadband revenue down -7.0% and -1.2% YoY, respectively â^™ IPTV revenue up +0.5% YoY with subs increase despite the delay on Home shopping fee negotiation (Unit: KRW bn) 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 QoQ YoY Telephony 400.6 400.4 397.0 382
Slide 11: Separate KT – B2B and others
K-IFRS / Separate 3 KT – B2B and others â^™ B2B revenue up +2.4% YoY maintaining competitive edge in IDC and expanding Cloud biz area toward public and finance sector 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 QoQ YoY B2B 623.4 684.8 684.9 725.9 674.8 701.1 3.9% 2.4% Corporate Fixed Line 263.0 266.1 266.2 268.9
Slide 12: Major subsidiaries
4 Major subsidiaries â^™ BC card and KT Estate’s revenue down by -1.5% and -7.9%, respectively, due to decreased usage of credit cards and slump in hotel business, impacted by COVID-19 â^™ Skylife revenue up +2.0% YoY with subscriber increase in premium satellite TV plan Sales Revenue (Unit: KRW bn)
Slide 13: Appendix
1 Financial Highlights 2 Business Overview 3 Appendix
Slide 14: K-IFRS Income Statement
1 K-IFRS Income Statement (Unit: KRW bn) Consolidated 1Q 19 2Q 19 3Q 19 4Q 19 2019 1Q 20 2Q 20 KT Separate 1Q 19 2Q 19 3Q 19 4Q 19 2019 1Q 20 2Q 20 Operating revenue 5,834.4 6,098.5 6,213.7 6,195.5 24,342.0 5,831.7 5,876.5 Operating revenue 4,334.3 4,558.5 4,705.7 4,606.2 18,204.7 4,429.1 4,339.6 Se
Slide 15: K-IFRS Balance Sheet
2 K-IFRS Balance Sheet (Unit: KRW bn) Consolidated 1Q 19 2Q 19 3Q 19 4Q 19 1Q 20 2Q 20 KT Separate 1Q 19 2Q 19 3Q 19 4Q 19 1Q 20 2Q 20 Assets 33,247.8 33,469.4 33,661.3 34,061.3 32,631.0 34,003.4 Assets 26,837.7 26,959.8 27,076.4 27,733.9 27,069.1 27,578.0 Current assets 12,396.1 11,818.3 11,716.7 1
Slide 16: Separate Subscribers Wireless
K-IFRS / Separate 3 Subscribers Wireless 1Q 19 2Q 19 3Q 19 4Q 19 1Q 20 2Q 20 QoQ YoY Subscribers (Unit: Thousands)1) Total 21,333 21,549 21,771 21,922 21,975 22,116 0.6% 2.6% Net additions 213 216 222 150 53 142 167.9% -34.3% Gross additions 1,181 1,133 1,077 1,067 928 1,015 9.3% -10.4% Deactivation
Slide 17: kt
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