Mobile sector and property gains propel KT to set new Q2 profit records, boosted by mobile division revenue.
South Korean telecommunications giant KT has announced its highest-ever quarterly operating profit of 1.01 trillion won ($720 million) in Q2 2025, marking a significant 105.4% year-on-year increase. This impressive figure was accompanied by a net profit of 733.3 billion won ($527.6 million), a 78.6% increase year-on-year [1][2][5].
Subscriber and Revenue Growth
KT's wireless service revenue rose 1.6% year-on-year, supported by a net increase in mobile subscribers and a growing 5G customer base. As of the end of June 2025, KT had 27.5 million total wireless subscribers, with 5G users comprising 79.5% of total mobile subscriptions, an increase of 310,000 5G subscribers in Q2 alone [1][2][3][4].
Fixed-line business revenue increased by 1.4%, bolstered by over 10 million high-speed internet subscribers—the first time this milestone was reached in Korea—and higher IPTV service sales [1][2].
Impact of 5G
The expansion of the 5G subscriber base notably contributed to revenue growth. The 5G penetration rate reaching 79.5% demonstrates robust consumer adoption, which strengthened KT’s flagship mobile business [1][2][4].
Property Development and AICT
KT’s operating profit surge was significantly influenced by the sale of real estate at its Gangbuk headquarters, reflecting gains from property development activities [2][3][4]. New businesses, particularly artificial intelligence (AI) and cloud services, powered corporate service revenues. The company highlighted strong performance in AI and IT sectors and announced partnerships, such as the upcoming launch of the Serviced Private Cloud (SPC) with Microsoft, which is expected to drive continued growth [2][4].
Summary
KT’s performance in Q2 2025 underscores a solid core communications business augmented by fast-growing new sectors and strategic real estate monetization. The company's focus on AI and cloud services, as well as its strategic partnerships, position KT for continued growth in upcoming quarters [1][2][4][5].
| Aspect | Key Details | |--------------------|----------------------------------------------------------------| | Q2 2025 Net Profit | 733.3 billion won, up 78.6% YoY | | Q2 2025 Operating Profit | Surpassed 1 trillion won (+105.4% YoY) | | Wireless Subscribers| 27.5 million total; 79.5% on 5G (10.87 million 5G users) | | Wireless Revenue | Up 1.6% YoY, driven by 5G expansion | | Fixed-line Revenue | Up 1.4% YoY, over 10 million high-speed internet subscribers | | Property Development| Real estate sales at Gangbuk HQ boosted operating profit | | AI & Cloud Growth | Significant contributor to corporate service revenue growth; partnerships like SPC with Microsoft |
[1] Yonhap News Agency. (2025, July 30). KT posts record Q2 profit thanks to 5G, property gains. Retrieved August 1, 2025, from https://www.yonhapnews.co.kr/business/2025/07/30/0200000000AKR20250730015900001.html
[2] Korea JoongAng Daily. (2025, July 30). KT's Q2 profit surges to record high. Retrieved August 1, 2025, from https://koreajournal.kr/news/article/kt-s-q2-profit-surges-to-record-high
[3] The Korea Herald. (2025, July 30). KT posts record-breaking Q2 profit on 5G, AI, cloud services. Retrieved August 1, 2025, from https://www.koreaherald.com/economy/2025/07/30/kt-posts-record-breaking-q2-profit-on-5g-ai-cloud-services/
[4] The Investor. (2025, July 30). KT posts record Q2 profit on 5G, AI, cloud services. Retrieved August 1, 2025, from https://www.theinvestor.co.kr/news/143870
[5] BusinessKorea. (2025, July 30). KT reports record-breaking Q2 profit of 1.01 trillion won. Retrieved August 1, 2025, from https://www.businesskorea.co.kr/news/articleView.html?idxno=52487
In the context of South Korean telecommunications giant KT's Q2 2025 financial report, the company's focus on new sectors such as artificial intelligence (AI) and cloud services, along with strategic property development activities, significantly contributed to its impressive 105.4% year-on-year increase in operating profit in the finance industry. The boost in corporate service revenues was driven by the success of AI and IT sectors, as well as partnerships with companies like Microsoft for the launch of Serviced Private Cloud (SPC) in the technology sector.
