] Internet giant Kakao
earned 38.3 billion won (US$338.30 million) operating profit in the first three months, up 82 percent from a year earlier, the company said in a regulatory filing on May 11.
Its revenue came in at 443.8 billion won, up 83 percent on-year.
The company explained that the first-quarter earnings were mainly driven by the robust sales of its content platform business, which offers online and mobile services, such as webtoons, PC and mobile games, music streaming and mobile emoticons.
The content platform business earned 221.8 billion won in revenue, up 142 percent on-year, accounting for nearly half of Kakao’s entire revenue.
Loen Entertainment, a Kakao subsidiary that provides music-streaming services, largely contributed to the strong revenue of the content platform business, Kakao explained.
The advertising platform business saw its quarterly revenue increase 3 percent on-year to 133.3 billion won. The mobile advertising service took up 53 percent of the overall ad sales while the rest came from the PC-oriented advertising services.
The company earned 88.7 billion won of “miscellaneous” sales through the sale of character goods at its brick-and-mortar stores and mobile coupons.
“Kakao is working to develop services and devices integrated with artificial intelligence in order to maintain stable growth down the road,” CEO Lim Ji-hoon said in a conference call in the morning.
“It will launch an AI mobile app compatible with diverse Kakao apps in July and the AI-powered speaker will be available in the third quarter this year.”
By Kim Young-won (email@example.com