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Press Release
Net income of 441 billion Korean won was recorded on total sales of 2.22 trillion won.
There was an increase of 520,000 cellular subscribers over the second quarter, while the company’s average revenue per user (ARPU) increased 707 won.
On October 18, SK Telecom (www.sktelecom.com) announced that the company achieved a net income of 441 billion won and total sales of 2.22 trillion won for the third quarter of 2002. SK Telecom’s total sales for the third quarter of 2002 is shown more than a 109 billion won (5.15%) increase from the 2.11 trillion won in total sales for the second quarter of 2002.
The total number of cellular subscriber’s as of the end of September 2002 was 16.712 million, up 520 thousand subscribers from the 16.194 million subscribers at the end of June 2002. Furthermore, thanks to the increased volume of value-added services, including wireless Internet use, the company’s ARPU except interconnection revenue as of September recorded 38,600 won, increasing 707 won over the June figure (ARPU: 37,893 won) . These are the important factors in explaining the increase of total sales for the third quarter of 2002.
In particular, SK Telecom’s wireless Internet service area is emerging as a new sales force in its mobile communications business. Wireless Internet service sales from the first quarter to the third quarter of 2002 skyrocketed to 483 billion won, up 90% over the same period a year ago. In addition, its total sales for the third quarter of 2002 came to 194.2 billion won, increasing 22% (159.7 billion won) from the second quarter of 2002.
Due to the company’s continued implementation of a policy of qualitative growth through securing high quality customers, the average service cancellation ratio in the 3rd quarter of 2002 was 1.11% decreasing from 1.14% in the 2nd quarter and 1.49% in the 1st quarter of 2002. Furthermore, the number of CDMA 2000 1X service subscribers reached 8.52 million as of the end of June 2002, up 1.85 million subscribers from the end of June 2002.
Sung Hae Cho, head of SK Telecom’s IR Office, commented "Thanks to the constant increase in ARPU of wireless Internet and stable supply of wireless Internet-enabled terminals including color handsets, we expect the total sales will continue to increase in the 4th quarter of 2002."
Taking a look at the company’s accumulated business results from the first quarter to the third quarter of 2002, total sales recorded 6.267 trillion won increasing 13% from the same period of 2001, while net income reached 1.346 trillion won, up 42%.
The total number of cellular subscriber’s as of the end of September 2002 was 16.712 million, up 520 thousand subscribers from the 16.194 million subscribers at the end of June 2002. Furthermore, thanks to the increased volume of value-added services, including wireless Internet use, the company’s ARPU except interconnection revenue as of September recorded 38,600 won, increasing 707 won over the June figure (ARPU: 37,893 won) . These are the important factors in explaining the increase of total sales for the third quarter of 2002.
In particular, SK Telecom’s wireless Internet service area is emerging as a new sales force in its mobile communications business. Wireless Internet service sales from the first quarter to the third quarter of 2002 skyrocketed to 483 billion won, up 90% over the same period a year ago. In addition, its total sales for the third quarter of 2002 came to 194.2 billion won, increasing 22% (159.7 billion won) from the second quarter of 2002.
Due to the company’s continued implementation of a policy of qualitative growth through securing high quality customers, the average service cancellation ratio in the 3rd quarter of 2002 was 1.11% decreasing from 1.14% in the 2nd quarter and 1.49% in the 1st quarter of 2002. Furthermore, the number of CDMA 2000 1X service subscribers reached 8.52 million as of the end of June 2002, up 1.85 million subscribers from the end of June 2002.
Sung Hae Cho, head of SK Telecom’s IR Office, commented "Thanks to the constant increase in ARPU of wireless Internet and stable supply of wireless Internet-enabled terminals including color handsets, we expect the total sales will continue to increase in the 4th quarter of 2002."
Taking a look at the company’s accumulated business results from the first quarter to the third quarter of 2002, total sales recorded 6.267 trillion won increasing 13% from the same period of 2001, while net income reached 1.346 trillion won, up 42%.