SK C&C enjoys record high sales and operating profits in 2010
SK C&C announced on January 24 that it posted 1,475.2 billion won in sales and 162.3 billion won in operating profits in 2010, both of which were records. Sales and operating profits rose 12.4% and 27.2%, respectively, in 2010 from the year before.
These performances are attributable to SK C&C’s strategy to promote sales through selection, focus, and improvement in services and management innovation.
In particular, the operating profit margin stood at 11.0%, a level similar to those of global IT service companies, while its net income soared 82.5% to 263.5 billion won thanks to an increase in equity-method gains in accordance with improvements in the performances of subsidiaries of the SK Group.
“Thanks to the strong performances, the board of directors has decided 700 won per share as this year’s dividend, up 112% from a year earlier in order to enhance shareholder value”, said a spokesperson of SK C&C. It is analyzed that SK C&C was able to enjoy the best-ever business results as the company achieved balanced growth at home and abroad in each industrial and business sector, while securing the strongest competitiveness in Korea in the domestic financial IT market and the domestic external OS market through improvement in its business portfolio. In particular, the company saw a 12% increase in the sales of its external OS outsourcing business.
Meanwhile, SK C&C designated 2010 as the year to secure growth potential by sowing the seeds of new growth businesses and pushing for investment and commercialization in order to secure leading global solutions such as mobile commerce, cloud computing and 3D solutions.
Its m-commerce business made a successful foray into the U.S. market in partnership with FDC, the world’s largest electronic payment-specializing company in September last year. With an eye toward the m-wall and TSM market in North America in 2012, SK C&C is seeking to expand its business with multiple mobile network operators and financial institutions.
In addition, the company received orders for m-commerce projects in China and will expand its business in China in the future in an effort to secure global leadership in the mobile commerce sector.
Furthermore, SC C&C aims to expedite the development of its cloud computing business, in which the company is taking the lead with the development of free software-based core technologies, such as the signing of an MOU with KEPCO Knowledge, Data and Network (KDN) Co. At the same, the company aims to develop overseas businesses, such as the U.S. power data analysis market and SNS data analysis.
The company is also aiming to produce tangible results in the game, military and public service sectors via its globally competitive 3D Map solutions. SK C&C’s 3D solution is able to quickly build a 3D map using aerial photographs. As a result, the company is discussing new business areas with domestic Internet portal site operators and game companies. This solution has even been receiving attention from public organizations such as the Ministry of Land, Transport and Maritime Affairs.
In particular, SK C&C’s geographical information systems are receiving good responses from developing countries, as well as China which is pushing for a national geographical information system. Accordingly, the company’s geographical information system business has a bright future.