Webtoon Entertainment (WBTN) came out with quarterly earnings of $0.03 per share, beating the Zacks Consensus Estimate of $0.02 per share. This compares to earnings of $1.73 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 50%. A quarter ago, it was expected that this online storytelling platform for comics and cartoons would post a loss of $0.08 per share when it actually produced a loss of $0.03, delivering a surprise of 62.5 ...

WEBTOON Entertainment (WBTN) Q1 2025 Earnings Call May 13, 2025 04:30 PM ET Speaker0 I would now like to turn the call over to Soo Wen Kim, Vice President of Investor Relations. Mr. Kim, please go ahead. Speaker1 Good afternoon. Thank you for joining us. Our remarks today will include forward looking statements including those regarding our futures plans, objectives, expected performance, in particular our guidance for the quarter. Our actual results may vary materially from today's statements. Information ...

WEBTOON Entertainment Inc. Reports First Quarter 2025 Financial Results Delivered Revenue and Adjusted EBITDA in the top end of Guidance Range Kim continued, "In Q1, we started to implement a number of important product enhancements to our English-language platform, including improved, AI-powered discovery features, allowing users to spend more time enjoying a story and less time searching for one. We were also thrilled to bring major global franchises like 'Godzilla' and 'Sonic the Hedgehog' to our platfor ...

Delivered Revenue and Adjusted EBITDA in the top end of Guidance Range First Quarter Revenue Growth Roughly Flat Year-Over-Year; Revenue Growth on a Constant Currency Basis of 5.3% Net Loss of $22.0 Million; Adjusted EBITDA of $4.1 Million Strong Balance Sheet With Cash and Cash Equivalents of Approximately $550.1 Million and No Debt LOS ANGELES, May 13, 2025 (GLOBE NEWSWIRE) -- WEBTOON Entertainment Inc. (Nasdaq: WBTN) (“WEBTOON Entertainment” or “the Company”), a leading global entertainment company and h ...

Corporate Communications Kiel Hume & Lauren Hopkinson webtoonpress@webtoon.com With its CANVAS UGC platform empowering anyone to become a creator, and a growing roster of superstar WEBTOON Originals creators and series, WEBTOON Entertainment's passionate fandoms are the new face of pop culture. WEBTOON adaptations are available on Netflix, Prime Video, Crunchyroll, and other screens around the world, and the Company's content partners include Discord, HYBE, and DC Comics, among many others. With approximate ...

Core Viewpoint - Kuehn Law, PLLC is investigating potential breaches of fiduciary duties by officers and directors of WEBTOON Entertainment Inc. (NASDAQ: WBTN) towards shareholders [1] Financial Performance Issues - WEBTOON insiders allegedly caused the company to misrepresent or fail to disclose a deceleration in advertising revenue growth [2] - The company also reportedly experienced a deceleration in revenue from IP adaptations [2] - There was exposure to weaker foreign currencies that offset revenue growth [2] - As a result of these issues, positive statements regarding the company's business, operations, and prospects were deemed materially misleading or lacking a reasonable basis [2]

User Growth - The company reported a significant increase in monthly active users (MAU), reaching 10 million, representing a 25% year-over-year growth[21] - The company reported a significant increase in Monthly Active Users (MAU), averaging over 10 million users in the last quarter, reflecting a growth of 15% year-over-year[24] - Monthly Paying Users (MPU) increased to 2 million, indicating a 30% rise compared to the previous year, reflecting improved monetization strategies[24] - Monthly Paying Users (MPU) reached 2 million, indicating a paying ratio of 20% compared to MAU, which is an increase from 18% in the previous quarter[24] - The management anticipates continued growth in the creator community, aiming to onboard 5,000 new professional creators by the end of the fiscal year[26] Revenue Growth - The company anticipates a revenue growth of 20% for the next fiscal year, driven by new product launches and market expansion efforts[26] - The average revenue per paying user (ARPPU) rose to $15, a 10% increase from the last quarter, showcasing enhanced user engagement with paid content[24] - The Average Revenue per Paying User (ARPPU) for Paid Content was reported at $15, showing a 10% increase from the last quarter[24] - New product launches, including the "Fast Pass" and "Daily Pass," are expected to drive additional revenue, with projections estimating a 30% increase in Paid Content sales[26] - The company is committed to enhancing its advertising business, with a goal to increase advertising revenue by 15% in the next quarter[26] Monetization Strategies - The paying ratio improved to 20%, indicating a stronger conversion of users to paying customers[24] - The company is committed to diversifying its monetization strategies, including increasing revenues from intellectual property adaptations by 25%[26] - The company is focusing on diversifying its monetization strategy, particularly through IP Adaptations, with a target to increase revenue from this segment by 40% in the upcoming year[26] Market Expansion - The company plans to expand its presence in international markets, targeting a 15% increase in user base outside of its primary market[26] - The company plans to expand its offerings in new geographic markets, aiming for a 25% increase in user engagement by the end of the next fiscal year[26] Investment and Acquisitions - Investment in new technologies and product development is expected to exceed $50 million in the upcoming year, focusing on enhancing user experience and content offerings[26] - A strategic acquisition of a content platform is in progress, which is projected to enhance the company's content library and user engagement metrics[26] - Future acquisitions are being considered to strengthen market position, with a focus on companies that can enhance user engagement and content offerings[26] Future Outlook and Challenges - Future growth is contingent on maintaining a safe online environment and complying with evolving regulatory standards, which may impact operational costs[29] - The company has experienced a historical growth rate of 20% annually, but management cautions that future performance may vary due to market competition and user retention challenges[28]

Financial Data and Key Metrics Changes - WEBTOON reported record annual revenue of $1.35 billion, growing 5% on a reported basis and 13% on a constant currency basis [10] - The company reported a net loss of $153 million, primarily due to noncash expenses, but achieved record adjusted EBITDA of $67.9 million, an increase of over 600% compared to 2023 [10] - In Q4, revenue grew 10.4% on a constant currency basis, with reported revenue up 5.6% year-over-year [19] - Adjusted EBITDA was negative $3.5 million in Q4 compared to a positive $10.4 million in the same quarter of 2023 [22] Business Line Data and Key Metrics Changes - Paid Content revenue grew 10.9% year-over-year on a constant currency basis in Q4, with full-year growth of 12.6% [27] - Advertising revenue increased by 27.4% in Q4 on a constant currency basis, driven by growth in Korea and Japan [29] - IP Adaptation revenue declined by 6.9% year-over-year in Q4 but was up 6.7% for the full year on a constant currency basis [30] Market Data and Key Metrics Changes - In Korea, revenue grew 6.6% year-over-year on a constant currency basis in Q4, while MAU decreased by 0.5% [32] - Japan's revenue grew 18.9% year-over-year on a constant currency basis in Q4, with MAU increasing by 6.6% [35] - The Rest of the World saw a revenue decline of 3.3% year-over-year on a constant currency basis in Q4, with MAU and MPU declining by 6.1% and 3.3% respectively [37] Company Strategy and Development Direction - WEBTOON is focused on building a local creator ecosystem in Japan and investing in content studios globally to enhance its content pipeline [12][14] - The company aims to democratize storytelling and expand its global IP and creator ecosystem [17] - Management emphasized the importance of product innovation and marketing investments to drive long-term growth [61][66] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the fundamental health of the business and the growth potential in key markets like Japan and English-speaking countries [46][56] - The company anticipates facing FX headwinds in Q1 and is investing in infrastructure ahead of product improvements expected in the latter half of 2025 [44] - Management highlighted the impact of political turbulence in Korea on MAU and payer trends but believes these issues will not persist beyond the guided period [74][83] Other Important Information - The company is not providing full-year guidance but remains optimistic about long-term revenue growth and profitability [46] - Adjusted loss per share for Q4 was $0.03 compared to adjusted earnings per share of $0.09 in the prior year [42] Q&A Session Summary Question: Sustainability of growth in Japan and full-year outlook - Management is confident in the sustainability of growth in Japan and believes the IP slate will drive future performance despite some short-term challenges [51][56] Question: User engagement and onboarding experiences - Management discussed ongoing investments in user experience and product innovation, which are expected to enhance user engagement over time [61][66] Question: AI recommendation engine impact - The AI personalization engine has driven a 2% increase in engagement per user, and management sees significant long-term growth potential from this initiative [72] Question: Impact of political disruption in Korea - Management indicated that the political turmoil in Korea affected MAU and payer trends but expects these issues to resolve in the near term [74][83] Question: Advertising business scaling - Advertising continues to show strong growth, with opportunities for further expansion in English-speaking markets and Rest of World [94] Question: Content supply and monetization - Management expressed confidence in the robustness of the content engine and highlighted the importance of local content creation in Japan for global consumption [106][110]

WEBTOON Entertainment Inc. (NASDAQ:WBTN) Q4 2024 Earnings Conference Call February 25, 2025 4:30 PM ET Company Participants Soohwan Kim - Vice President, Investor Relations Junkoo Kim - Founder & Chief Executive Officer David Lee - Chief Financial Officer and Chief Operating Officer Yongsoo Kim - Chief Strategy Officer & Head of Global WEBTOON Conference Call Participants Mark Mahaney - Evercore Eric Sheridan - Goldman Sachs Benjamin Black - Deutsche Bank Matthew Cost - Morgan Stanley Andrew Marok - Raymond ...

EXHIBIT 99.1 WEBTOON Entertainment Inc. Announces Select Fourth Quarter and Full Year 2024 Preliminary Estimated Results and Announces Fourth Quarter and Full Year 2024 Earnings Call & Webcast LOS ANGELES, February 6, 2025 (GLOBE NEWSWIRE) -- WEBTOON Entertainment Inc. (Nasdaq: WBTN) ("WEBTOON Entertainment," or "the Company"), a leading global entertainment company and home to some of the world's largest storytelling platforms, today announced select preliminary, estimated and unaudited results for its fou ...