ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronEye IconIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailMenu BurgerPositive ArrowIcon PrintIcon SearchSite TitleTitle ChevronIcon Twitter
Technology Services

Kakao Corp.

  • 132,000.00 KRW
  • -3,000.00
  • -2.22%
  • South Korea
    Jul 19, 2019
  • Ticker
    KRX(035720)
  • Prev. close
    135,000
  • Market cap (KRW)
    11,266.90B
  • Market cap (USD)
    9,592.96M
  • Shares
    83.45M

Company Background

Kakao is a leading South Korean information technology company created in October 2014 by a merger between Daum Communications, the operator of the Daum search engine, and Kakao, the provider of the KakaoTalk chat app. It has been adding new services, such as mobile payments, to attract more users in Southeast Asia and elsewhere.

Kakao's search engine market share in South Korea has been hovering at some 20%, lagging behind Naver, another Seoul-based company. But KakaoTalk has more than 37 million monthly active users, meaning that over 70% of South Koreans use the instant messaging service -- an outstanding market presence.

Kakao has been adding services, including online shopping, taxi hailing and music streaming, to add more value to KakaoTalk. Currently, advertising and games generate most of its revenue, but earnings from digital content and e-commerce operations are rising.

Kakao is behind WhatsApp, from U.S.-based Facebook; WeChat, from China-based Tencent Holdings; and Line, from Naver; as far as number of users and global scale go. But it is trying to gain Southeast Asian users and recently acquired Path, a U.S.-based social network that has gained a degree of popularity in Indonesia.

Business Summary

Kakao Corp. is engaged in developing portals and other internet information service parameters. It operates through following business divisions: Advertising Platform and Contents Platform. Its services offered includes communication, media, content, games, lifestyle, fintech, and search. The company was founded on February 16, 1995 and is headquartered in Jeju-si, South Korea.

Financial Highlights

Dec 2018 KRWUSD
Revenue2,416.99B2,196.23M
Gross Profit1,265.22B1,149.66M
Operating income69,392.30M63.05M
Income before tax130,669.86M118.73M
Net income47,885.55M43.51M
EBITDA204,421.16M185.74M
Diluted EPS6140.55
Dividends Per Share1270.11
Total Assets7,959.54B7,133.48M
Total liabilities2,332.38B2,090.32M
Total equity5,136.85B4,603.73M
Operating cash flow491,469.88M446.58M
Currency in KRWCurrency in USD

Historical Data

 Dec 2014Dec 2015Dec 2016Dec 2017Dec 2018
Revenue 498,857.72M 932,151.82M 1,464.23B 1,972.32B 2,416.99B
Gross Profit 224,996.71M 188,736.60M 260,260.41M 1,086.49B 1,265.22B
Operating income 176,427.09M 89,170.62M 116,135.05M 164,498.78M 69,392.30M
Income before tax 171,439.97M 114,015.74M 110,679.41M 153,297.72M 130,669.86M
Net income 150,105.00M 75,665.68M 57,673.84M 108,596.68M 47,885.55M
EBITDA 199,482.97M 164,562.61M 229,913.75M 294,316.87M 204,421.16M
Diluted EPS 3,007 1,220 850 1,552 614
Dividends Per Share 173 167 148 148 127
Total Assets 2,768.02B 3,188.47B 5,484.11B 6,349.42B 7,959.54B
Total liabilities 304,796.83M 603,002.73M 1,781.17B 1,886.50B 2,332.38B
Total equity 2,454.61B 2,552.39B 3,432.51B 4,029.13B 5,136.85B
Operating cash flow 220,333.97M 162,217.47M 321,323.12M 371,927.05M 491,469.88M
 Dec 2014Dec 2015Dec 2016Dec 2017Dec 2018
Revenue 473.90M 823.59M 1,262.06M 1,744.63M 2,196.23M
Gross Profit 213.74M 166.75M 224.32M 961.06M 1,149.66M
Operating income 167.60M 78.78M 100.10M 145.50M 63.05M
Income before tax 162.86M 100.73M 95.39M 135.60M 118.73M
Net income 142.59M 66.85M 49.71M 96.05M 43.51M
EBITDA 189.50M 145.39M 198.16M 260.33M 185.74M
Diluted EPS 2.85 1.07 0.73 1.37 0.55
Dividends Per Share 0.16 0.14 0.12 0.13 0.11
Total Assets 2,518.33M 2,719.26M 4,540.58M 5,930.99M 7,133.48M
Total liabilities 277.30M 514.26M 1,474.72M 1,762.18M 2,090.32M
Total equity 2,233.19M 2,176.78M 2,841.95M 3,763.61M 4,603.73M
Operating cash flow 209.31M 143.32M 276.95M 328.99M 446.58M

Valuation Measures

Dec 2018
PER165.32
ROA0.66%
ROE1.04%
Operating margin2.87%
Profit margin1.98%

Key executives

  • Chief Executive Officer & Director: Jee-Hoon Rim
  • Chief Executive Officer: Min-Soo Yeo

Shareholders

  • KIM BEOM-SOO /KAKAO/ (26.9%)
  • National Pension Service of Korea (8.1%)
  • Maximo Pte Ltd. (6.7%)
  • Kakao Corp. (5.0%)
  • HYEONG IN-WOO (1.6%)
  • The Vanguard Group, Inc. (1.6%)
  • BlackRock Fund Advisors (1.4%)
  • Norges Bank Investment Management (1.1%)
  • Samsung Asset Management Co., Ltd. (0.8%)
  • BlackRock Japan Co., Ltd. (0.5%)

Contact Details

Related Companies

  • Linkage Lab Corp.
  • Kakao Corp. /Music Content Bus/
  • Kakao Japan Corp.
  • Kakao Brain Co. Ltd.
  • Kakao Investment Co. Ltd.
  • Parking Square, Inc.
  • Kids Note Inc.
  • Daum Kakao Corp. Esop
  • Kakao Ventures LLC
  • LOCNALL, Inc.
  • Path, Inc. (California)
  • Kakao M Corp.

Competitors

  • SINA Corp.
  • NHN Corporation
  • NAVER Corp.
  • Snap, Inc. Class A
  • BlackBerry Limited
  • Twitter, Inc.
  • migme Limited
  • SundayToz Corp
  • Weibo Corp Sponsored ADR Class A
  • KT Corporation
  • Dreamus Company
  • Cafe24 Corp.
  • GENIE MUSIC CORP
  • NHN KCP Corp.
  • Shinhan Financial Group Co., Ltd.
Last Updated on 19 Jul, 2019

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this monthThis is your last free article this month

Stay ahead with our exclusives on Asia;
the most dynamic market in the world.

Stay ahead with our exclusives on Asia

Get trusted insights from experts within Asia itself.

Get trusted insights from experts
within Asia itself.

Get Unlimited access

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this month

This is your last free article this month

Stay ahead with our exclusives on Asia; the most
dynamic market in the world
.

Get trusted insights from experts
within Asia itself.

Try 3 months for $9

Offer ends June 30th

Your trial period has expired

You need a subscription to...

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers and subscribe

Your full access to the Nikkei Asian Review has expired

You need a subscription to:

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers
NAR on print phone, device, and tablet media