KT Alpha reported preliminary first-quarter operating profit of 13.5 billion won ($9.9 million) on a consolidated basis, up 10.5% from a year earlier, the company said in a regulatory filing Thursday.
Revenue during the same period fell 0.4% to 96.2 billion won, while net profit rose 5.6% year-on-year to 11.4 billion won.
KT Alpha said the earnings improvement was driven by strengthened core competitiveness in its flagship T-commerce business and an expansion of corporate clients in its mobile gift certificate business. The T-commerce business placed products aligned with lifestyle trends at the forefront and reinforced planning programs centered on exclusive launch items. However, T-commerce revenue declined 4.0% year-on-year to 63.8 billion won, affected by a reduction in direct purchasing operations.
The mobile gift certificate business posted revenue of 32.4 billion won, up 7.5% from a year earlier, supported by corporate-tailored strategies and concentrated sales efforts across major industries.
KT Alpha plans to strengthen its shareholder return policy going forward while focusing on artificial intelligence (AI)-based operational efficiency and customer experience innovation. "We plan to strengthen our mobile-centered business competitiveness and develop products responding to market diversification to expand customer touchpoints, and push AI-based video enhancement to further elevate differentiated customer experiences and sales competitiveness," a KT Alpha official said.
