KTF, South Korea's second-largest mobile carrier, posted a 46 percent drop in net profit in the second quarter to June due to increased marketing costs, the company said Monday.
Net profit plunged 46.4 percent year-on-year to 80.58 billion won (84.47 million dollars) for the three months to June while sales increased 12.3 percent to 1.64 trillion won, KTF said.
Operating profit fell 31.4 percent year-on-year to 152.7 billion won in the second quarter, the company added.
It attributed the profit decline to increased marketing costs after the government regulator lifted a three-year ban on company subsidies for customers to purchase handsets earlier this year.
As a result, marketing costs increased 16.2 percent in the second quarter, it said.
