Benzinga | Aug 10, 2021 04:04PM EDT

KT Shares Clocks 3% Q2 Revenue Growth, Notes Margin Expansion

* KT Corp (NYSE:KT) reported second-quarter FY21 operating revenue growth of 2.6% year-on-year to KRW6.03 trillion.

* Segments: Service revenue increased 2.7% Y/Y to KRW5.3 trillion. Handset revenue climbed 1.6% Y/Y to KRW690.9 billion. Wireless service revenue grew 4.5% Y/Y to KRW1.7 trillion with strong 5G subscriber growth.

* Telephony revenue declined 1.6% Y/Y to KRW370.5 billion, and Broadband revenue increased 2.1% Y/Y to KRW507.4 billion.

* Corporate Fixed Line revenue grew 4.2% Y/Y to KRW278.6 billion with traffic and project order growth. AI/DX revenue increased 6.2% Y/Y to KRW137.2 billion with business growth in AICC, IDC, Cloud, and others.

* The operating margin expanded 210 bps to 7.9%, and the EBITDA margin grew 140 bps to 22.8%.

* KT held KRW3.1 trillion in cash and equivalents.

* Price Action: KT shares closed lower by 0.07% at $14.36 on Tuesday.