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Fact Summary
Kakao posted Q1 2026 consolidated revenue of KRW 1.9421 trillion (+11% YoY) and operating profit of KRW 211.4 billion (+66%), its highest-ever Q1 result. Talk Biz revenue was KRW 608.6 billion (+9%, with ad revenue of KRW 338.4 billion, +16%), while the Content segment, led by music and media, posted revenue of KRW 759.4 billion (+5%). On a consolidated basis for FY2025, operating revenue was KRW 8.0991 trillion and operating profit was KRW 732.0 billion (per the DART business report); founder Kim Beom-soo, Head of the Future Initiative Center, is undergoing an appeal after a not-guilty verdict at the first trial over SM Entertainment stock price manipulation allegations.
Price-Change Context Note
The reference closing price was KRW 35,900 (2026-07-16), up 2.86% from the previous day. On May 26, amid a strike vote passed following the breakdown of labor-management wage negotiations, the closing price stood at KRW 40,150 (a 52-week low at the time, down about 35% from the start of the year); since then, following KakaoTalk's regular update and Kakao Mobility partnership announcements in mid-July, the stock showed a rebound trend in the KRW 34,900–35,900 range.
Business Overview · Q1 2026 Results
On a consolidated basis, the business is divided into the Platform segment (Talk Biz, Portal Biz, and other platform businesses) and the Content segment (games, music, stories, and media).
5-Year Financial Trend
Valuation (Factual Multiples)
Peer Comparison — NAVER (035420)
| Category | Kakao | NAVER |
|---|---|---|
| Revenue YoY | +11% | +16.3% |
| Operating Profit YoY | +66% | +7.2% |
Supply-Demand Trend (Estimate)
Because the KRX Information Data System now requires login, automated scripts could not be run; figures are estimates based on secondary-source (alphasquare.co.kr) aggregation and have not been cross-checked against official KRX figures.
Window: 2026-06-18–2026-07-16 (21 trading days) · Foreign ownership 28.55% (2026-07-16 snapshot, estimate) · Short-selling volume share 8.87% (single trading day 2026-07-16, estimate)
Governance · Ownership Structure
| Shareholder | Shares Held | Ownership % | Reference Date |
|---|---|---|---|
| Kim Beom-soo (individual) | 58,768,747 shares | 13.28% | 2025-12-31 |
| K Cube Holdings Co., Ltd. | 46,253,222 shares | 10.45% | 2025-12-31 |
| Largest shareholder and related parties total (89 individuals/entities) | 106,622,933 shares | 24.10% | 2025-12-31 |
| National Pension Service | 23,873,979 shares | 5.39% | 2026-07-01 |
| Maximo Pte. Ltd. | 25,407,356 shares | 5.75% | 2026-05-12 |
| Subsidiary | Period-End Ownership % | Reference Date |
|---|---|---|
| Kakao Bank (listed) | 27.19% | 2025-12-31 |
| Kakao Pay (listed) | 46.14% | 2025-12-31 |
| Kakao Games (listed) | 37.93% | 2025-12-31 |
| Kakao Mobility (unlisted) | 57.20% | 2025-12-31 |
| Kakao Entertainment (unlisted) | 66.06% | 2025-12-31 |
| Kakao Enterprise (unlisted) | 98.05% | 2025-12-31 |
| Kakao Healthcare (unlisted) | 16.39% | 2025-12-31 |
Macro Environment
| Factor | Value | Reference Date |
|---|---|---|
| Korea base rate | 2.75% (raised 0.25%p, first hike in 3 years and 6 months) | 2026-07-16 |
| KRW/USD exchange rate | KRW 1,478.82 | 2026-07-16 |
| Consumer Sentiment Index (CCSI) | 106.6 | 2026-06 |
| Domestic digital advertising market size | approx. KRW 11.2619 trillion | Full year 2025 |
Risk Factors
- Founder Kim Beom-soo, Head of the Future Initiative Center, faces allegations of SM Entertainment stock price manipulation — following a not-guilty verdict at the first trial, the appeal is ongoing (next hearing date 2026-07-22)
- Labor relations — following the breakdown of 2026 wage negotiation mediation (May 27), a partial strike (June 10) and the collective action 'Logout Day' (June 29) occurred
- Online platform regulatory legislation (with the Fair Trade in Online Platforms Act prioritized) is pending in the National Assembly, and an administrative lawsuit is ongoing over the KRW 72.4 billion fine imposed by the Fair Trade Commission on Kakao Mobility related to 'call blocking'
- Precedent of one-off losses from financial subsidiaries — in 2024, bad debt write-off expenses related to Kakao Pay were reflected in consolidated results
- A structure in which equity-method gains/losses from numerous listed and unlisted subsidiaries (Kakao Bank, Kakao Pay, Kakao Mobility, Kakao Entertainment, etc.) flow through to consolidated results
Recent News Timeline
- 2026-07-16 — Kakao Mobility and Kia sign agreement to develop and supply purpose-built vehicles (PBVs) for autonomous driving services
- 2026-07-15 — KakaoTalk's 6th regular update expands 'ChatGPT for Kakao' to the PC version
- 2026-07-08 — Kakao Games retires 500,000 treasury shares (first since listing)
- 2026-06-29 — Kakao union holds second collective action, 'Logout Day'
- 2026-06-24 — First appellate hearing held in the SM Entertainment stock manipulation case
- 2026-06-10 — Kakao union begins first partial strike (4 hours) since the company's founding
- 2026-05-26 — Union strike vote passes; closing price records KRW 40,150 (52-week low)
- 2026-05-07 — Q1 2026 earnings disclosed (revenue KRW 1.9421 trillion, operating profit KRW 211.4 billion)
- 2026-03-26 — 31st Annual General Meeting; CEO Sinah Chung reappointed
Theme Relevance
Fact Highlights
Generated by FomoLog Agent · Data sources: Korea Exchange (KRX) · DART · Kakao official IR · NAVER official IR