SK Telecom, South Korea’s top mobile carrier, reported a 73% drop in its annual net profit for 2025 compared to the previous year. The company’s net profit stood at 375.1 billion won ($255.6 million) in 2025, down from 1.39 trillion won in 2024. Operating income also fell by 41.1% to 1.07 trillion won, with annual sales decreasing by 4.7% to 17.09 trillion won.
In the fourth quarter of 2025, SK Telecom’s net profit plummeted by 75.4% to 97 billion won. Operating profit saw a 53.1% decline to 119.1 billion won, while revenue dropped by 4.1% to 4.32 trillion won. The company attributed these declines to a compensation program and a loss of subscribers following a significant data breach.
SK Telecom faced challenges after a cyberattack on its main servers exposed the USIM data of its entire 25 million-user base. To address this, the company offered USIM chip replacements for all users, along with a compensation package and cybersecurity investment plan exceeding 1 trillion won. Additionally, SK Telecom suspended new subscription services for two months.
Last month, SK Telecom took legal action to challenge a record 135 billion-won ($91 million) fine imposed by the state data protection regulator due to a data leak affecting 23 million users. The company filed a lawsuit with the Seoul Administrative Court to contest the decision made by the Personal Information Protection Commission (PIPC) following a delay in disclosing the USIM data leak.
