How did Kakao’s platform businesses perform in the third quarter of 2026?

Platform sales rose 17 percent year on year to 1.24 trillion won. Commerce turnover grew 13 percent to 2.3 trillion won, while ride-hailing and payment services brought in 602.1 billion won, up 21 percent.

Why did Kakao’s content business sales decline in the third quarter of 2026?

Content sales fell 6 percent year on year to 851.7 billion won. Kakao attributed the decline to fewer new album releases and large concerts, as well as lower sales from its social networking service KakaoStory.

When will Kakao launch Kanana Space and Kanvas AI, and what user target has it set for its AI services?

Kakao plans to launch a pilot of Kanana Space in December and formally introduce Kanvas AI by the end of the year. It projects monthly active users of its AI services will reach 10 million by year-end.

Kakao Q3 operating profit up 15.5% on stable growth of platform biz

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Summary

Kakao Corp. reported Thursday that its operating profit rose 15.5 percent year on year in the July-September period, supported by growth in its flagship platform business. Sales were unchanged at 2.08 trillion won, while net income fell 7.9 percent to 177.7 billion won. Kakao plans to launch a pilot of its Kanana Space AI assistant in December and introduce its Kanvas AI service by year-end.

Key Facts

Kakao’s platform business recorded sales of 1.24 trillion won, up 17 percent year on year.
Commerce turnover increased 13 percent to 2.3 trillion won, which Kakao attributed to purchases through KakaoTalk during the Chuseok holidays and for personal use.
Ride-hailing and payment services generated 602.1 billion won in sales, up 21 percent year on year.
Content business sales declined 6 percent to 851.7 billion won amid fewer new album releases and large concerts and lower KakaoStory sales.
Kakao projected that monthly active users of its AI services would reach 10 million by year-end; Kanvas AI was developed as part of a government-led project to make AI services accessible to everyone.

By Yonhap

Published Nov 5, 2026 8:35 am KST
Updated Nov 5, 2026 9:16 am KST

Kakao's Pangyo office in Seongnam, Gyeonggi Province / Korea Times file

Korean internet tech giant Kakao Corp. said Thursday its operating profit rose 15.5 percent from a year earlier, boosted by the stable growth of its flagship platform business.

On a consolidated basis, the company reported an operating profit of 240.3 billion won ($179.2 million) in the July-September period, according to its regulatory filing.

Sales remained unchanged at 2.08 trillion won, while net income was down 7.9 percent to 177.7 billion won.

The company's flagship platform business saw sales grow 17 percent on-year to 1.24 trillion won.

Notably, turnover of its commerce business rose 13 percent on-year to 2.3 trillion won, as more people used the KakaoTalk platform to purchase goods during the Chuseok holidays and as well as to buy items for themselves, the IT company explained.

Kakao's ride-hailing and payment services, also included in its platform unit, generated 602.1 billion won in sales, up 21 percent on-year.

But sales from its content business were down 6 percent on-year to 851.7 billion won due to a drop in new album releases and large concerts, as well as a decline in sales from its social networking service, KakaoStory.

Kakao said it plans to speed up the introduction of its AI assistant, Kanana Space, as it projects the monthly active users of its AI services to reach 10 million by the end of the year.

A pilot run of the AI assistant will be launched in December, while a formal introduction of its Kanvas AI service will be made by the end of the year. Kanvas AI was developed as part of a government-led project to create AI services accessible to everyone.

"Focusing all our resources into providing AI services that exceed market expectations is the most important thing," Chung Shin-a, the chief executive officer of Kakao, was quoted as saying in a release.

"We plan to swiftly expand our AI services and meet our shareholder expectations by delivering tangible business results and enhancing corporate value."

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