SK Telecom Co., Ltd.
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SK Telecom Co., Ltd. Financial Snapshot
Operating Performance
Fast Facts
SK T-Tower, Seoul, 110-110,Republic of The company reported revenue of US$13,307.85
Headquarters Address
Korea (S) million during the fiscal year 2010 (2010). The
company's revenue grew at a CAGR of 3.61% during
Telephone + 82 2 61002114
2006–2010, with an annual growth of 17.29% over
2009. In 2010, the company recorded an operating
Fax + 82 2 61007830 margin of 12.58%, as against 12.96% in 2009.
Website www.sktelecom.com
Revenue and Margins
Ticker Symbol, Stock Exchange 017670, Korea Stock Exchange
Number of Employees 4,441
Fiscal Year End December
Revenue (in US$ million) 13,307.85
Revenue (in KRW million) 15,435,373.07
SWOT Analysis Return on Equity
Strengths Weaknesses The company recorded a return on equity (ROE) of
12.18% for 2010, as compared to its peers, LG
Market Leading Position Substantial debts Telecom Ltd. (Ticker: 032640), KT Corporation
(Ticker: CVG) and KDDI Corporation (Ticker: CVG),
which recorded ROEs of 14.44%, 10.59% and
Network Infrastructure 10.54% respectively. The company reported a net
profit margin of 12.58% in 2010.
Strong Geographic Presence through
Roaming Service
Return on Equity
Strong top-line performance
Opportunities Threats
Increasing demand for 3G/4G
Currency Exchange Risk
technologies
Strategic Alliances Industry Consolidation
Liquidity Position
The company reported a current ratio of 1.18 in 2010,
as compared to its peers, LG Telecom Ltd., KT
Corporation and KDDI Corporation, which recorded
current ratios of 0.83, 1.09 and 1.18 respectively. As
of December 2010, the company recorded cash and
short-term investments of worth US$1,511.38 million,
against US$1,387.03 million current debt. The
company reported a debt to equity ratio of 0.53 in
2010 as compared to its peers, LG Telecom Ltd., KT
Corporation and KDDI Corporation, which recorded
debt to equity ratios of 0.71, 0.92 and 0.54
respectively.
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SK Telecom Co., Ltd. - SWOT Profile Page 1
SK Telecom Co., Ltd.
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TABLE OF CONTENTS
1 Business Analysis ................................................................................................................................... 5
1.1 Company Overview .................................................................................................................................................5
1.2 Business Description ...............................................................................................................................................5
1.3 Major Products and Services ...................................................................................................................................7
2 Analysis of Key Performance Indicators ............................................................................................... 8
2.1 Five Year Snapshot: Overview of Financial and Operational Performance Indicators ...........................................8
2.2 Key Financial Performance Indicators ...................................................................................................................11
2.2.1 Revenue and Operating Profit .......................................................................................................................11
2.2.2 Asset, Liabilities and Capex ..........................................................................................................................12
2.2.3 Operational Efficiency ....................................................................................................................................13
2.2.4 Solvency ........................................................................................................................................................14
2.2.5 Valuation ........................................................................................................................................................15
2.3 Competitive Benchmarking ....................................................................................................................................16
2.3.1 Market Capitalization .....................................................................................................................................17
2.3.2 Efficiency .......................................................................................................................................................18
2.3.3 Capital Expenditure .......................................................................................................................................19
2.3.4 Valuation ........................................................................................................................................................20
2.3.5 Liquidity ................................................................................................................