Kakao Pay (377300) investor relations material

Executive summary

• Q1 2026 delivered record consolidated revenue of KRW 300.3 billion, up 42% year-over-year, with operating profit at KRW 32.2 billion and net profit at KRW 34.7 billion, both reaching new highs.

• Financial services revenue surged 82% year-over-year, now comprising 49% of total revenue, reflecting a structural shift in business mix.

• Daily active users rose 8% year-over-year to 6.69 million, with ARPU up 37% to KRW 12,464, driven by diversified services and data-driven engagement.

• AI and data analytics are central to growth, powering user retention, merchant partnerships, and new product launches.

• All business segments showed double-digit growth, with platform services revenue up 67% year-over-year.

Financial highlights

• TPV reached KRW 50.9 trillion, up 15% year-over-year; revenue TPV also up 15% to KRW 14.6 trillion.

• EBITDA was KRW 40.8 billion; net profit KRW 34.7 billion; OP margin 10.7%, net income margin 11.6%, EBITDA margin 13.6%.

• Standalone revenue up 15% year-over-year to KRW 185.1 billion; standalone OP up 37% to KRW 18.6 billion.

• Basic and diluted EPS for Q1 2026 were KRW 211 and KRW 210, respectively, up from KRW 99 in Q1 2025.

• Cash and equivalents at KRW 1.64 trillion as of March 2026; total assets at KRW 6 trillion, equity at KRW 2 trillion.

Outlook and guidance

• Focus remains on scaling AI-driven services, expanding stablecoin ecosystem, and maintaining double-digit profit margins.

• Non-payment businesses, especially digital finance, expected to comprise the majority of future revenue.

• Continued investment in innovation, user experience, R&D, and ESG initiatives to drive sustainable growth.

• Plans to enhance insurance sales efficiency and introduce AI-based operational systems.

• Focus on vertical integration, new product launches, and user base expansion across all demographics.