Naver Posts Record High Q2 Revenue of 1.9025 Trillion Won (Update)

Operating Profit of 230.6 Billion KRW in Q2... 79.7% Increase YoY
Growth in Online Shopping and New Businesses like Financial Services and Webtoons

[Asia Economy Reporter Jin-gyu Lee] Naver has posted its highest-ever quarterly performance in the second quarter.

On the 30th, Naver announced that it recorded sales of 1.9025 trillion KRW, operating profit of 230.6 billion KRW, and net profit of 90.7 billion KRW in the second quarter.

Sales increased by 16.7% compared to the same period last year, driven by growth in online shopping, expanded performance-based advertising, and new business growth in financial services, webtoons, and cloud.

Operating profit rose 79.7% year-on-year despite increased marketing expenses, due to the elimination of Line Pay marketing costs incurred in the second quarter of last year.

By business segment, Naver’s business division and LINE and other business divisions recorded 1.2116 trillion KRW and 690.8 billion KRW, respectively. Specifically, ▲Business Platform 777.2 billion KRW ▲IT Platform 180.2 billion KRW ▲Advertising 174.7 billion KRW ▲Content Services 79.6 billion KRW.

The Business Platform achieved 777.2 billion KRW, up 8.6% year-on-year, thanks to increased online shopping demand, the introduction of Naver Plus Membership, live commerce, and co-growth with small and medium-sized merchants through Biz Advisor.

The IT Platform also grew 70.2% year-on-year to 180.2 billion KRW, driven by growth in Naver Pay due to increased online shopping and expanded external payment partners, as well as growth in cloud and Works Mobile.

Advertising recorded 174.7 billion KRW, up 4.9% year-on-year, due to the expansion of performance-based advertising. Naver plans to enhance advertising efficiency in the second half of the year by expanding performance-based advertising, advancing automatic bidding, and strengthening targeting.

Content Services recorded 79.6 billion KRW, up 58.9% year-on-year, driven by the growth of webtoons, which achieved 64 million monthly active users (MAU) globally, and the resumption of activities by V LIVE artists. LINE and other platforms recorded 690.8 billion KRW, up 16.7% year-on-year.

Han Seong-sook, CEO of Naver, said, "Along with the recovery of online marketing demand and the expansion of new advertising, various efforts to strengthen the commerce ecosystem, such as supporting anyone to start an online business easily and quickly and grow their business through diverse technologies and data, have positively contributed to our growth in the second quarter." She added, "We will continue to strive to grow together with users, small and medium-sized merchants, and creators within the Naver ecosystem despite the rapidly changing environment."

This content was produced with the assistance of AI translation services.