VK International (VKCO) Q3 2024 earnings summary

Executive summary

• Revenue for 9M 2024 rose 21% YoY to RUB 109.6bn, driven by strong online advertising and rapid VK Tech growth.

• Daily active users reached 76mn, with over 95% monthly audience reach in Russia and 4.3bn minutes spent daily in Q3 2024.

• VK continued investing in product development, exclusive content, talent, and advanced technologies.

Financial highlights

• Online advertising revenue for 9M 2024 reached RUB 65.9bn, up 19% YoY; non-advertising revenue grew 25% YoY to RUB 43.8bn.

• Social platforms and media content revenue: RUB 72.4bn, up 22% YoY; VKontakte revenue up 27% YoY.

• EdTech segment revenue: RUB 12.9bn, up 15% YoY, driven by Skillbox and Uchi.ru.

• VK Tech segment revenue: RUB 7.7bn, up 60% YoY, led by VK Cloud and VK WorkSpace.

• Ecosystem services and other business lines revenue: RUB 17.5bn, up 14% YoY, aided by Mail.ru and YCLIENTS acquisition.

Outlook and guidance

• VK expects continued growth in online advertising and non-advertising revenues, supported by ongoing investments in technology, content, and product innovation.

• Ongoing focus on expanding cloud, AI, and communication solutions in VK Tech segment.