SK Telecom Co.,Ltd

SKM: Is SK Telecom Co.,Ltd Halal?

SK Telecom Co.,Ltd

NYSECommunication ServicesKR

$30.62

-3.59%

Market Cap: 11.8B

Compliance Status

Not Halal

Screened on Jul 18, 2026 · AAOIFI Standard 21

F

Non-Compliant

0Score

Is SK Telecom Co.,Ltd (SKM) halal? Not Halal. Based on AAOIFI screening, SK Telecom Co.,Ltd passes the business activity screen but fails financial ratio screens with a compliance score of 0/100 (Grade: F).

Business activity

What the company sells is permissible.

Passed

Company debt

Over the limit

How much the company borrows, compared to its total value. AAOIFI allows up to 30%.

91630.8% of 30.0% limit

What this means for you

Most scholars advise not holding SKM

It does not pass AAOIFI Shariah screening.

See halal alternatives from the same sector further down this page

About SK Telecom Co.,Ltd

SK Telecom Co., Ltd. operates as a leading provider of wireless telecommunication services throughout South Korea. Its multifaceted operations are structured into three principal segments: Cellular Services, Fixed-Line Telecommunications Services, and Other Businesses. The Cellular Services segment provides a comprehensive suite of offerings, including wireless voice and data transmission, innovative Internet of Things (IoT) solutions, cloud services, and smart factory technologies. It also develops platform-based and subscription services, hosts metaverse platforms, and retails wireless devices. Under Fixed-Line Telecommunications, the company delivers traditional fixed-line telephone connections, high-speed broadband internet, and media platforms such as Internet Protocol TV (IPTV) and cable television, alongside business communication solutions. The Other Businesses segment includes its T-commerce brand for television shopping and various portal services. Beyond these core areas, SK Telecom engages in a wide array of specialized services. These include managing call centers, maintaining base station infrastructure, providing information gathering and consulting, developing and supplying system software, and advancing quantum information and communications technologies. The company also handles database and internet website services, procures digital content, produces and distributes e-books, and sells mastering quality sound albums and other content. Additionally, it trades anti-theft and surveillance equipment and oversees information and communications facilities. As of December 31, 2021, SK Telecom served a substantial customer base, comprising 31.9 million wireless subscribers and 3.6 million fixed-line telephone users. Founded in 1984, this Seoul, South Korea-headquartered company continues to be a prominent player in the telecommunications sector.

Sector: Communication Services · Industry: Telecommunications Services

Shariah Compliance Status

AAOIFI Standard 21Updated Jul 18, 2026

Compliance History

Not Halal, unchanged since May 2026.

No status changes recorded since we began tracking.

Tracked since May 2026. Updates automatically on each re-screen.

Fiscal: FY 2025Data source: FMP

Halal Alternatives in Communication Services

This stock is not Shariah-compliant. Here are halal alternatives from the same sector, ranked by compliance score:

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Frequently Asked Questions

Is SK Telecom Co.,Ltd (SKM) halal to invest in?
SK Telecom Co.,Ltd (SKM) is rated Not Halal under AAOIFI Standard 21 screening. It fails either the business activity screen (primary involvement in prohibited sectors such as conventional banking, alcohol, or gambling) or one of the quantitative financial ratio thresholds. Muslim investors should avoid or exit this position.
Why did SK Telecom Co.,Ltd get a F compliance rating?
SK Telecom Co.,Ltd (SKM) received a grade of F (Non-Compliant) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 91630.8% (limit 30%); interest-bearing deposits of 14263.3% (limit 30%); prohibited income of 0.43% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.
What could change SK Telecom Co.,Ltd's Shariah verdict?
SK Telecom Co.,Ltd's verdict is re-evaluated at each annual re-screen. Three events could change it: (1) the debt-to-market-cap ratio crossing 30%, typically from new debt issuance or a major drop in share price; (2) interest-bearing deposits exceeding 30% of market cap; or (3) prohibited revenue (alcohol, gambling, conventional finance, etc.) exceeding 5% of total revenue. Verdict flips are tracked in the compliance history section above.
How often is SK Telecom Co.,Ltd re-screened for Shariah compliance?
SK Telecom Co.,Ltd (SKM) is re-screened annually using the most recent full-year financial data from SEC filings. HalalScreener also triggers an on-demand re-screen whenever the stored data is more than 7 days old, ensuring the ratios reflect the latest available financial statements. Last screened: Jul 18, 2026.

Screened according to AAOIFI Standard No. 21 · For informational purposes only. Consult a qualified Islamic finance advisor before investing.

Disclaimer: This screening is for informational purposes only and does not constitute financial, legal, or religious advice. Compliance is evaluated using AAOIFI financial standards (debt, deposits, and prohibited income ratios) and publicly available data. Ethical, political, social, or environmental considerations are outside the scope of this screening. Individual scholars and methodologies may differ. Always consult a qualified Islamic finance advisor before making investment decisions.