NYSE$KT

KT Corporation · Q4 2024 earnings

Q4 2024 earnings · · Before market open · Investor relations

Briefing

KT reported a net loss in Q4 2024 due to a one-time spike in labor costs despite stable service revenue.

KT posted a consolidated net loss of KRW 736.6B in Q4 2024, primarily due to a sharp increase in labor costs tied to restructuring. While service revenue held steady, operating income turned negative, resulting in a -KRW 655.1B operating loss.

  • Revenue for Q4 2024 was KRW 6,575.6B, down 1.7% YoY.
  • Operating income swung to a loss of KRW 655.1B due to one-off labor costs.
  • Net income came in at -KRW 736.6B.
  • Labor cost nearly doubled YoY to KRW 2,189.6B in the quarter.

Headline financials

Total Revenue

$4.46B

Previous: $5.07B-12.0%
EPS (adj)

-$0.65

Previous: $0.09-822.2%
Operating Expenses

$7.23T

No prior period
Labor Cost

$2.19T

No prior period
EBITDA

$318B

No prior period
Net Income

-$499M

Previous: $25.2M-2083.3%
Operating Income

-$444M

Previous: $201M-321.0%

Revenue & EPS history

KT · Revenue · Quarterly

$4.46B

Q4 2024-12%vs Q4 2023
Beat estimate in 4 of 10 quarters(40%)
ActualEstimate

Forward guidance

KT expects over KRW 28 trillion in consolidated revenue in 2025, driven by B2B growth, AI transformation, and real estate monetization.

Tailwinds

  • Targeting consolidated revenue > KRW 28T in 2025.
  • Expansion of AI/IT revenue through AX platforms and consulting.
  • B2B AX growth aided by strategic partnership with Microsoft.
  • Ongoing buyback and cancellation plan of KRW 1T until 2028.
  • Focus on core businesses and divestment of non-core assets.

Headwinds

  • High labor cost pressures impacted Q4 earnings significantly.
  • No guidance on profitability improvement in near term.
  • Decline in device sales and home telephony revenue observed.
  • Continued operating losses in certain subsidiaries.
  • Negative investor sentiment due to sharp earnings decline in Q4.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2024

Historical avgQ4 2024

+0.7%

Avg return

Earnings day

+0.8%

Avg return

5 days after

-0.4%

Avg return

30 days after

59%

34 / 58 earnings

Positive

+7.0%

Q4 2015

Best reaction

-7.2%

Q4 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2025+1.8%-0.1%+0.3%
Q1 2025-0.5%+3.2%-3.3%
Q4 2024-0.3%-1.7%-0.9%
Q4 2023-2.2%-1.1%+2.2%
Q3 2023-0.4%+0.2%+3.4%
Q2 2023+2.1%-1.2%-0.6%
Q1 2023+0.9%-2.7%-0.3%
Q4 2022-0.8%-0.7%-15.0%
Q3 2022+2.6%+6.7%+8.8%
Q2 2022+0.1%-1.8%-7.5%
Q1 2022+6.9%+5.4%+4.0%
Q4 2021+0.2%-0.2%-4.1%
Q3 2021+0.9%+3.4%+0.7%
Q2 2021+3.2%-0.4%-5.6%
Q1 2021+4.3%+4.7%+12.7%
Q4 2020+1.8%+4.3%+12.5%
Q3 2020+3.0%+4.4%+10.6%
Q2 2020+4.5%+10.3%-0.9%
Q1 2020+1.9%+5.1%+1.9%
Q4 2019-1.0%-0.2%-6.1%
Q3 2019-1.0%-2.8%-5.8%
Q2 2019-2.8%-3.7%-1.1%
Q1 2019+0.6%+3.4%+0.2%
Q4 2018-0.1%-2.7%-5.4%
Q3 2018+2.9%+4.8%+4.3%
Q2 2018-1.6%-0.7%-2.0%
Q1 2018+0.6%+0.1%-1.7%
Q4 2017-7.2%-11.4%-9.1%
Q2 2017-1.7%-0.5%-8.5%
Q1 2017+3.4%+2.5%+4.5%
Q4 2016-0.2%+2.0%+7.7%
Q3 2016-2.0%-2.8%-13.9%
Q2 2016-0.1%+1.0%+3.3%
Q1 2016+2.6%
Q4 2015+7.0%
Q3 2015+1.3%
Q2 2015+0.0%
Q1 2015+0.7%
Q4 2014-1.1%
Q3 2014-1.5%
Q2 2014+1.3%
Q1 2014+0.5%
Q4 2013-1.4%
Q3 2013+1.4%
Q2 2013-0.7%
Q1 2013-0.3%
Q4 2012+0.2%
Q3 2012+0.4%
Q2 2012+2.0%
Q1 2012+1.5%
Q4 2011-1.0%
Q3 2011-6.2%
Q2 2011+3.4%
Q1 2011+5.4%
Q4 2010-0.2%
Q3 2010+2.0%
Q2 2010+0.3%
Q1 2010+2.1%

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