Webtoon Entertainment Inc. · NASDAQ:WBTN
Webtoon Entertainment — Q2 2026 Earnings Presentation
27 slides from Webtoon Entertainment's earnings presentation, Aug 10, 2026
Slide 1: WEBTOON Entertainment Shareholder Letter Q2 2026
WEBTOON Entertainment Shareholder Letter NASDAQ: 1 WBTN Q2 2026
Slide 2: Dear Fellow Shareholders
Q2 2026 August 10, 2026 Dear Fellow Shareholders, We are pleased to report solid Q2 results with Adjusted EBITDA of $5.5 million, exceeding the high-end of our previous guidance range. Total reported revenue of $338.5 million was down 2.8% year-over-year, but grew 5.2% on a constant currency basis t
Slide 3: Korea and Japan regional update
We believe our strategy is working, and we are launching new initiatives to accelerate our growth. We reiterate our expectation to return to double-digit growth by the end of the year. Korea – Leading All Regions with 20% Constant Currency Revenue Growth Korea accelerated with strong double-digit gr
Slide 4: Studio White and Japan content
Transcendent. In April we announced the launch of Studio White, a webcomic production company that we formed in collaboration with KADOKAWA, one of Japan's most prolific publishers, and Redice Studio, the creative force behind Omniscient Reader and other hit webcomics. Studio White will adapt storie
Slide 5: Duolingo collaboration
FOG LAND Partners are also building on our platform, as demonstrated by our second collaboration with Duolingo. Duo Leveling is an original six-part WEBTOON series that introduced Zero, a new antagonist in the Duolingo universe. In contrast to our first Duolingo collaboration, which was exclusive to
Slide 6: Marvel titles and strengthening our flywheel
These titles feature some of the biggest superheroes in comics, developed by an exciting lineup of WEBTOON creators, bringing fans new stories and characters from across Marvel that can only be found on WEBTOON. This announcement builds on the ongoing collaboration between Marvel and WEBTOON, which
Slide 7: AI-Powered Auto-Translation Helps Stories Cross Borders
AI-Powered Auto-Translation Helps Stories Cross Borders Fandoms are built on connection and shared passion. Our Auto-Translation feature uses AI to carry stories across borders, giving readers more access to our content in their own language while also giving creators a route to new audiences around
Slide 8: Netflix adaptations of webcomics
a webcomic with an established readership. Teach You a Lesson held a nine-week run and peaked at No. 1, and on its Q2 earnings call Netflix noted that the title is on track to become its second-most watched Korean show globally. Agent Kim Reactivated spent six consecutive weeks on the same chart, al
Slide 9: Games based on proven IP
Unlike many others in this space, we start with a proven pipeline from day one. Together, WEBTOON and RI Games Holdings plan to develop and launch multiple games over the next four years, based on proven IP with an established global fan base. The slate includes games based on the hit series Overgea
Slide 10: In Closing
In Closing This quarter we made significant moves to accelerate our business, with AI-powered platform innovations to support engagement and significant investments to expand our off-platform IP adaptation business. We’re evolving our on-platform experience, expanding into interactive fandom and par
Slide 11: Financial Update
Financial Update Second Quarter 2026 (vs. Second Quarter 2025) Total revenue of $338.5 million declined 2.8%, driven by declines in Paid Content and IP Adaptations, partially offset by growth in Advertising. Revenue on a constant currency basis was $366.4 million, increasing 5.2%, driven by growth i
Slide 12: Consolidated Global Results
Consolidated Global Results GLOBAL REVENUE CC ($M) GLOBAL MAU (M) 5.2% $366.4 $348.3 $29.3 $28.1 +0.5% $50.4 $45.2 $274.9 $286.7 156.1 156.9 2Q25 2Q26 2Q25 2Q26 Paid Content Revenue CC Advertising Revenue CC IP Revenue CC Global Revenue CC GLOBAL MPU (M) Global ARPPU CC ($) 4.8% +2.5% 4.7% $12.7 7.4
Slide 13: MAU, MPU and revenue stream commentary
During the second quarter, total MAU of 156.9 million increased 0.5%. App MAU and webcomic app MAU declined 8.0% and 1.5%, respectively, compared to the prior year. MPU of 7.5 million grew 1.8% compared to the second quarter of the prior year, driven by 10.4% growth in Korea, partially offset by de
Slide 14: Net loss and Adjusted EBITDA
Adj. EBITDA (Non-GAAP) ($M) ADJUSTED EPS ($) 2.8% 1.6% $9.7 $5.5 0.07 0.04 2Q25 2Q26 2Q25 2Q26 Adj. EBITDA Margin Net loss was $14.6 million in the quarter, compared to a net loss of $3.9 million in the year prior, driven by higher income tax expense and marketing investment. Excluding adjustments a
Slide 15: Performance By Location: Korea
Performance By Location Korea KOREA REVENUE CC ($M) KOREA MAU (M) +20.0% +5.9% $150.9 $125.8 23.0 24.3 2Q25 2Q26 2Q25 2Q26 KOREA MPU (M) KOREA ARPPU CC ($) 15.5% 14.9% +14.8% 3.8 $9.0 3.4 $7.9 2Q25 2Q26 2Q25 2Q26 MPU Paying ratio Korea’s total revenue for the three months ended June 30, 2026 grew 10
Slide 16: Japan
Japan JAPAN REVENUE CC ($M) JAPAN MAU (M) -3.3% -6.7% $177.9 $165.9 22.6 21.8 2Q25 2Q26 2Q25 2Q26 JAPAN MPU (M) JAPAN ARPPU CC ($) 10.0% 9.4% +2.9% 2.3 2.1 $23.7 $24.4 2Q25 2Q26 2Q25 2Q26 MPU Paying ratio Japan’s total revenue for the three months ended June 30, 2026 decreased 15.4%, to $150.4 milli
Slide 17: Rest of World
Rest of World ROW REVENUE CC ($M) ROW MAU (M) +0.2% +11.1% 110.5 110.7 $49.6 $44.6 2Q25 2Q26 2Q25 2Q26 ROW MPU (M) ROW ARPPU CC ($) +4.4% 1.5% 1.5% $6.6 $6.9 1.7 1.7 2Q25 2Q26 2Q25 2Q26 MPU Paying ratio Rest of World’s total revenue for the three months ended June 30, 2026 grew 11.1%, to $49.6 milli
Slide 18: Guidance
Guidance Third Quarter 2026 Outlook For the third quarter 2026, the Company expects: • Revenue growth on a constant currency basis in the range of 0.7%-3.3%. This represents revenue in the range of $358-$368 million, based on current FX rates. • Adjusted EBITDA in the range of $0.0-$5.0 million, rep
Slide 19: Forward-Looking Statements
Forward-Looking Statements This letter contains forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995, and involves risks, assumptions and uncertainties that could cause actual results to differ materially from those
Slide 20: Use of Non-GAAP Financial Measures & Definitions
Webcomic app MAU refers to users who visited one of our webcomic mobile applications, rather than our webnovel mobile applications, averaged over each month in the given period. We define MPU as users who have paid to access Paid Content in the applicable calendar month, averaged over each month in
Slide 21: Non-GAAP definitions continued
before interest expense, interest income, income tax expense (benefit) and depreciation and amortization, with further adjustments to eliminate the effects of loss on equity method investments, effect of applying the valuation method of fair value through profit or loss, impairment of goodwill, non-
Slide 22: Financial Highlights
Financial Highlights Quarter Ended (YoY Analysis) Figures in millions, except user metrics and per share data June 30, 2026 June 30, 2025 Change Total Revenue $338.5 $348.3 (2.8%) Revenue on a Constant Currency Basis1 $366.4 $348.3 5.2% Paid Content Revenue $263.9 $274.9 (4.0%) Paid Content Revenue
Slide 23: Non-GAAP financial measures note
1 Revenue on a constant currency basis, Paid Content revenue on a constant currency basis, Advertising revenue on a constant currency basis, IP Adaptations revenue on a constant currency basis, ARPPU on a constant currency basis, Korea ARPPU on a constant currency basis, Japan ARPPU on a constant cu
Slide 24: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures The following table presents a reconciliation of revenue to revenue on a constant currency basis, and ARPPU to ARPPU on a constant currency basis, respectively, for each of the periods presented. Three Months Ended June 30, Six Months Ended June 30, (in thousands
Slide 25: Reconciliation of net loss to Adjusted EBITDA
The following table presents a reconciliation of net loss to EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin for each of the periods presented. Three Months Ended June 30, Six Months Ended June 30, (in thousands of USD, except percentages) 2026 2025 2026 2025 Net income (loss) ($14,577) ($3,883)
Slide 26: Footnotes to reconciliation
3 Represents unrealized net (gain) loss of financial assets measured at FVPL, which include the Company's equity investments. 4 Represents our proportionate share of recognized losses associated with our investments accounted for using the equity method. 5 Totals may not foot due to rounding. 6 The
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