Business
WEBTOON Entertainment Inc. Reports First Quarter 2025 Financial Results
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
About this update from Webtoon Entertainment Inc.
[{"type":"text","content":"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 home to some of the world’s largest storytelling platforms, today announced results for its first quarter ended March 31, 2025. More information about these results can be found in the Company’s shareholder letter on the investor relations section of its website. First Quarter 2025 Highlights (vs. First Quarter 2024) Total revenue of $325.7 million declined 0.3%, driven by decline in Paid Content, partially offset by growth in Advertising and IP Adaptations.Revenue on a constant currency basis was $343.8 million, growing 5.3%, driven by growth in all three revenue streams.Net Loss was $22.0 million, compared to Net Income of $6.2 million in the prior year, driven by higher general & administrative expenses due to costs associated with being a public company, and higher marketing expense.Adjusted EBITDA was $4.1 million, compared to Adjusted EBITDA of $22.2 million in the prior year. Adjusted EBITDA margin was 1.3%, compared to 6.8% in the prior year.Diluted loss per share was $0.17, compared to diluted earnings per share of $0.06 in the prior year.Adjusted earnings per share was $0.03, compared to Adjusted EPS of $0.20 in the prior year.Cash and cash equivalents of approximately $550.1 million plus another $28.1 million of short-term deposits included in Other current assets. Junkoo Kim, Founder and CEO, said, “We are pleased to report both revenue and Adjusted EBITDA above the midpoint of our guidance. Total revenue was up 5.3% on a constant currency basis, with all three revenue streams – Paid Content, Advertising, and IP Adaptations – contributing to growth.” 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 als...