WEBTOON Entertainment Inc. Q4 2024 Earnings Conference Call:
On February 25, 2025, at 4:30 PM ET, WEBTOON Entertainment Inc. (NASDAQ: WBTN ) held its Q4 2024 earnings conference call. The call was led by Soohwan Kim, Vice President of Investor Relations, Junkoo Kim, Founder & Chief Executive Officer, David Lee, Chief Financial Officer and Chief Operating Officer, and Yongsoo Kim, Chief Strategy Officer & Head of Global WEBTOON. The conference call was participated by analysts Mark Mahaney from Evercore, Eric Sheridan from Goldman Sachs, Benjamin Black from Deutsche Bank, Matthew Cost from Morgan Stanley, and Andrew Marok from Raymond James.
Company Participants’ Remarks:
Soohwan Kim started the call by thanking shareholders for their continued support and expressing gratitude for their patience during the company’s transition to a public entity. He then provided an overview of the company’s financial performance for Q4 2024, which showed a significant increase in revenue and net income compared to the same period the previous year.
Junkoo Kim spoke about the company’s strategic focus on expanding its global user base and increasing engagement through various initiatives such as partnerships with major studios, the launch of WEBTOON Plus, and the introduction of new content genres. He also mentioned the company’s commitment to creating high-quality content and fostering a positive community for its users.
David Lee provided a detailed analysis of the company’s financial statements, highlighting the growth in subscription revenue and advertising revenue, as well as the company’s efforts to control costs and improve operational efficiency.
Yongsoo Kim discussed the company’s plans for the future, including the expansion of WEBTOON Plus into new markets, the development of new technologies to enhance the user experience, and the exploration of new business opportunities in areas such as merchandise and licensing.
Analysts’ Questions and Company Responses:
During the Q&A session, analysts asked several questions about the company’s growth prospects, financial performance, and competitive landscape. The company executives provided detailed and insightful responses, addressing each question with confidence and transparency.
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Mark Mahaney: How do you plan to maintain your user growth rate in the face of increasing competition from other digital content platforms?
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Eric Sheridan: Can you provide any updates on the monetization of your user base outside of subscriptions and advertising?
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Benjamin Black: How do you plan to address the increasing costs associated with producing high-quality content?
Junkoo Kim: We believe that our focus on creating high-quality content and fostering a positive community for our users sets us apart from our competitors. We are also constantly exploring new technologies and partnerships to enhance the user experience and keep our users engaged.
David Lee: We are exploring several new monetization opportunities, including merchandise and licensing. We believe that these initiatives have the potential to generate significant revenue for the company in the future.
Yongsoo Kim: We are continuously exploring ways to improve operational efficiency and control costs while maintaining the quality of our content. We believe that our partnerships with major studios and our focus on data-driven decision making will help us achieve this goal.
Impact on Individuals:
For individuals who are fans of digital comics and manga, the strong financial performance and growth plans of WEBTOON Entertainment Inc. are exciting news. With the company’s focus on creating high-quality content and expanding its user base, there will be more great stories to discover and enjoy. Additionally, the company’s exploration of new monetization opportunities could lead to new ways for fans to engage with their favorite content and support their favorite creators.
Impact on the World:
The strong financial performance and growth plans of WEBTOON Entertainment Inc. are also significant for the digital content industry as a whole. The company’s success in monetizing its user base through subscriptions and advertising, as well as its exploration of new monetization opportunities, could set a new standard for other digital content platforms. Additionally, the company’s focus on creating high-quality content and fostering a positive community for users could help to shift the perception of digital comics and manga from a niche interest to a mainstream form of entertainment.
Conclusion:
The WEBTOON Entertainment Inc. Q4 2024 earnings conference call provided valuable insights into the company’s financial performance, growth plans, and strategic initiatives. With a strong focus on creating high-quality content and fostering a positive community for users, the company is well positioned to continue its growth and expand its impact on the digital content industry. For fans of digital comics and manga, this means more great stories to discover and enjoy, while for the industry as a whole, it could set a new standard for monetization and user engagement. Overall, the future looks bright for WEBTOON Entertainment Inc. and the digital content industry as a whole.
