SK Telecom (017670) investor relations material

Executive summary

• Q1 2026 consolidated revenue was KRW 4.3923 trillion, up 1.5% quarter-on-quarter but down 1.4% year-over-year, with operating income of KRW 537.6 billion and net income of KRW 316.4 billion, reflecting a return to pre-incident performance and stable operations in both wireless and wired segments.

• Wireless business maintained strong profitability with 5G subscribers reaching 17.8 million (81% of total), while wired and broadband segments saw continued growth and higher-value plan adoption.

• AI Data Center revenue surged 89.3% year-over-year, driven by higher utilization, GPUaaS contributions, and ongoing expansion, while AI B2B/B2C revenue declined due to weaker cloud business.

• Dividend payments resumed, with Q1 2026 dividend per share set at KRW 830, signaling normalization of business fundamentals.

• The company continued to invest in 5G, AI, and data center infrastructure, supporting future growth and operational efficiency.

Financial highlights

• Q1 2026 consolidated revenue: KRW 4.3923 trillion (+1.5% QoQ, -1.4% YoY); operating income: KRW 537.6 billion; net income: KRW 316.4 billion.

• Consolidated EBITDA was KRW 1.42 trillion, with a margin of 32.2%.

• CapEx for the quarter was KRW 136.5 billion, up 28.9% year-over-year.

• Dividend per share for Q1 2026 was KRW 830.

• SK Broadband revenue grew 3.2% year-over-year to KRW 1.1498 trillion.

Outlook and guidance

• The company aims to surpass pre-incident annual earnings through telecom profitability recovery, AI data center growth, and productivity enhancements.

• Plans to reinforce competitiveness across the AI Data Center value chain, expand infrastructure, and enter the AI B2B market leveraging full-stack AI capabilities.

• Dividend policy targets at least 50% of adjusted net income to shareholders annually, with full-year dividend size to be determined based on business performance.