Kakao Pay announced on the 5th that its transaction volume for the second quarter of this year was 45 trillion won and its consolidation revenue was 238.3 billion won. These figures represent increases of 10% and 28.5%, respectively, compared to the same period last year. The consolidation operating profit reached 9.3 billion won, achieving a profit for two consecutive quarters.
Kakao Pay explained that the growth in its financial and platform services drove overall revenue growth. Revenue from financial services rose to 100.3 billion won, marking an 82% increase from the same period last year and surpassing 100 billion won for the first time. Its share of total revenue also exceeded 40%. In particular, investment services, including stocks, and insurance services grew by 148% and 88%, respectively, leading the upward trend. Revenue from platform services saw a 45% increase compared to the same period last year, propelled by robust performance in advertising and card-recommendation services.
However, consolidation operating expenses increased by 18.8% year-on-year to 229 billion won according to revenue growth. The consolidation operating profit of 9.3 billion won more than doubled (an increase of 111.5%) compared to the previous quarter, which saw a turnaround from a loss, strengthening profit capacity and maintaining solid performance. Net income for the current period was 14.1 billion won, while EBITDA was 17.4 billion won.
Kakao Pay cited the significant achievements in the financial and platform businesses as key performance indicators for the second quarter. In the financial sector, the growth of investment services was particularly notable. Its subsidiary, Kakao Pay Securities, expanded its overall entrusted assets and stock holdings by 89% and 131%, respectively, year-on-year. The quarterly transaction volume reached 23.5 trillion won, doubling compared to the same period.
The insurance consulting linkage business also grew, driving performance improvements. The scale of the consulting database increased to approximately seven times the size from the same period last year, with revenue rising by 88%. Currently, the goal is to expand the user base for the insurance consulting linkage service beyond the connected users of insurance mydata to 20 million Kakao Pay mydata subscribers, enhancing the business model and increasing operational efficiency.
In the platform business, advertising services improved efficiency through data-driven targeting, increasing revenue by 66% year-on-year. Card brokerage also saw a 2.6-fold increase in the number of issued cards during the same period due to personalized recommendations based on data, with a total of 200,000 'Kakao Pay Travelog Check Cards' issued.
The quarterly average transactions per user (ATPU) recorded 69, up 37% compared to the same period last year, while average revenue per user (ARPU) increased by 36% year-on-year, surpassing 10,000 won for the first time and reaching 10,075 won.
Shin Won-geun, CEO of Kakao Pay, noted, "We are consistently implementing three key strategies: expanding the value chain, commercializing based on data, and expanding new business areas utilizing traffic," adding, "Through these strategies, we will respond to market expectations with results that combine growth and profitability."