SK Telecom Q2 earnings plunge after hacking incident

SK Telecom is paying an enormous price for the hacking incident that resulted in a massive data leak of its users’ information, with its second-quarter earnings taking a significant hit. The company announced its second-quarter earnings on Wednesday, reporting a 76.2 percent year-on-year drop in net profit to 83.2 billion won ($59.9 million). Operating profit fell 37.1 percent from a year earlier to 338.3 billion won, while consolidated revenue for the quarter stood at 4.34 trillion won. “The financial impact in the second quarter includes revenue decline due to subscriber turnout, an increase in costs due to the free USIM (universal subscriber identity module) replacement and compensation for sellers,” SK Telecom Chief Financial Officer Kim Yang-seob said during a conference call on Wednesday. “After the incident, SK Telecom suspended new sign-ups in order to secure sufficient USIM cards for existing customers. As a result, the number of subscribers dropped by about 750,000 at the end of June compared to March, leading to a 28.7 billion won decrease in mobile service revenue coWeiter zum vollständigen Artikel bei Korea Times Weiter zum vollständigen Artikel bei Korea Times