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kakao Q2 2026 Earnings Results 2026. 8. 6 Kakao Investor Relations © Kakao Corp.
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Financial information contained in this document is based on consolidated K-IFRS that have not been reviewed by an independent auditor. Therefore, the information and financial data of Kakao and its subsidiaries (the “Company”, or “Kakao”) contained in this document are subject to change upon an independent auditor’s review. The Company does not make any representation or accept liability, as to the accuracy or completeness of the information contained in this material. The format and contents of this document are subject to change for future filings and reports. Kakao is not liable for providing future updates on all figures included in this document. Therefore, this presentation contained herein should not be utilized for any legal purposes in regards to investors’ investment results. The Company hereby expressly disclaims any and all liability for any loss or damage resulting from the investors’ reliance on the information contained herein. © Kakao Corp. Disclaimer
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kakao 2Q26 Earnings Release 3 Revenue Revenue +9% YoY / +8% QoQ Q2 MIX : Platform 59%, Content 41% 862 903 842 789 868 1,055 1,060 1,200 1,153 1,230 2Q25 3Q25 4Q25 1Q26 2Q26 Platform Content (in bn KRW) 1,917 1,962 (55%) (45%) 2,042 (54%) (46%) (59%) (41%) (59%) (41%) 1,942 (59%) (41%) 2,098 Platform Talk Biz Advertising and Subscription : Talk DA (Bizboard / Non-Bizboard), Business Messaging, Network Ads Subscription and Others Commerce : Talk Gift, Talk Store, Kakao Friends Online Platform Others Mobility Pay Enterprise Other Consolidated Subsidiaries Content Story Piccoma Entertainment Music SM Entertainment Melon Digital Music / Album Distribution Music Production Media Video Production Talent Agency Revenue
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kakao 2Q26 Earnings Release 4 Content (in bn KRW)(in bn KRW) Platform 2Q26 +17% YoY, +7% QoQ 2Q26 +1% YoY, +10% QoQ 54% 53% 54% 55% 52% 46% 47% 46% 45% 48% 2Q25 3Q25 4Q25 1Q26 2Q26 Talk Biz Platform Others 60% 63% 62% 62% 64% 29% 27% 26% 27% 24% 11% 11% 11% 12% 12% 2Q25 3Q25 4Q25 1Q26 2Q26 Music Story Media 1,055 1,060 862 903 842 1,200 1,153 789 1,230 868 Revenue
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kakao 2Q26 Earnings Release 5 2Q25 3Q25 4Q25 1Q26 2Q26 2Q25 3Q25 4Q25 1Q26 2Q26 Advertising & Subscription ▪ (YoY/QoQ) ① Business Messaging +20% YoY, +12% QoQ, Robust demand from financial advertisers, driving increased biz-messaging adoption ② Talk DA +28% YoY, +21% QoQ, Introduction of feed- based ad products driving new advertiser acquisition and higher ad spending from existing advertisers Commerce 2Q26 +10% YoY, -10% QoQ 2Q26 +14% YoY, +11% QoQ kakao Platform | Talk Biz (in bn KRW) (in bn KRW) ▪ Total Commerce GMV : KRW 2.7tn, +9% YoY, -5% QoQ ▪ Talk Gift GMV : +9% YoY, -10% QoQ ▪ Talk Store GMV : +7% YoY, -8% QoQ ▪ (YoY) Solid growth driven by broader product offerings and targeted promotions for seasonal events, posting record-high Talk Gift monthly GMV in May ▪ (QoQ) High base effect from Lunar New Year demand 352 353 221 209 400 253 360 270 400 243
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kakao 2Q26 Earnings Release 6 2Q25 3Q25 4Q25 1Q26 2Q26 Platform Others 2Q26 +22% YoY, +12% QoQ ▪ Mobility : Solid growth in last-mile logistics, anchored by stable core business performance ▪ Pay : Record-high quarterly revenue and operating profit, propelled by strong financial services growth 482 498 546 523 (in bn KRW) 587 Platform│Platform Others
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kakao 2Q26 Earnings Release 7 2Q25 3Q25 4Q25 1Q26 2Q26 Piccoma 2Q26 -12% YoY, Flat QoQ ▪ (YoY) GMV decline driven by softer user traffic ▪ (QoQ) Stable GMV supported by webtoon adaptations of popular web-novel IPs Entertainment 2Q26 -22% YoY, Flat QoQ 2Q25 3Q25 4Q25 1Q26 2Q26 ▪ (in JPY) GMV -1% YoY, Flat QoQ ▪ (in JPY) Revenue -9% YoY, -3% QoQ ▪ Solidified market leadership as Japan’s No.1 app in gross revenue 100 93 150 148 132 89 133 78 (in bn KRW) (in bn KRW) 132 78 Content│Story
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kakao 2Q26 Earnings Release 8 2Q25 3Q25 4Q25 1Q26 2Q26 2Q26 +8% YoY, +15% QoQ ▪ (YoY) Increased anchor IP performances with higher MD and licensing revenue ▪ (QoQ) Album and MD sales driven by major artist comeback releases Music 518 565 526 485 558 (in bn KRW) Media 2Q25 3Q25 4Q25 1Q26 2Q26 94 96 2Q26 +5% YoY, +7% QoQ ▪ (YoY) Expanded number of revenue-recognized titles and accelerated production progress 96 92 99 (in bn KRW) Content│Music, Media
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kakao 2Q26 Earnings Release 9 (in bn KRW) 2Q25 1Q26 2Q26 YoY QoQ Revenue 1,917 1,942 2,098 9% 8% Platform 1,055 1,153 1,230 17% 7% Talk Biz 573 630 643 12% 2% Platform Others 482 523 587 22% 12% Content 862 789 868 1% 10% Story 250 211 211 -16% -0.2% Music 518 485 558 8% 15% Media 94 92 99 5% 7% Operating Expenses 1,714 1,731 1,821 6% 5% Operating Profit 204 211 277 36% 31% Operating Profit Margin 10.6% 10.9% 13.2% +2.6%pt +2.3%pt Net Profit 172 227 18 -90% -92% Controlling Interests 161 172 16 -90% -91% Non-controlling Interests 11 55 2 -84% -97% Net Profit Margin 9.0% 11.7% 0.9% -8.1%pt -10.8%pt Earnings Summary
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kakao 2Q26 Earnings Release 10 (in bn KRW) 2Q25 1Q26 2Q26 YoY QoQ Operating Expenses 1,714 1,731 1,821 6% 5% Labor 439 445 448 2% 1% Cost of Revenue 679 701 746 10% 6% Outsourcing / Infrastructure 218 208 223 2% 7% Marketing 79 73 97 22% 33% Depreciation & Amortization 209 197 192 -8% -3% Misc. 90 107 116 29% 9% ▪ Labor (YoY/QoQ) Maintained conservative hiring ▪ Cost of Revenue (YoY/QoQ) Higher settlement costs and album/MD production costs driven by expanded music IP activities ▪ Outsourcing / Infrastructure (YoY/QoQ) Higher Infrastructure demand, while cost growth remained limited through efficient operations ▪ Marketing (YoY/QoQ) Expanded marketing activities from Piccoma and Pay ▪ Depreciation & Amortization (YoY) Base effect from absence of one-off bad debt expenses at a content subsidiary (QoQ) Base effect from content rights amortization 2Q Analysis Operating Expenses
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kakao 2Q26 Earnings Release 11 1) 4Q25: Impairment losses of goodwill (128.3bn) and intangible asset (10.5bn) 2) 2Q26: Loss from discontinued operations (181bn) and income tax expense (165bn) due to deconsolidation and subsidiary stake disposals 2Q26 +36% YoY, +31% QoQ Operating Profit(M) Net Profit(M) 2Q26 -90% YoY, -92% QoQ Profits 1) 4Q25: Impairment losses of goodwill (128.3bn) and intangible asset (10.5bn) 150 146 174 174 184 96 123 88 92 151 -42 -46 -46 -55 -58 10.6% 11.4% 10.6% 10.9% 13.2% 2Q25 3Q25 4Q25 1Q26 2Q26 Kakao (Separate) Subsidiaries AI OPM (in bn KRW) (in bn KRW) 1) 1) Kakao (Separate): OP on a separate basis ex. AI Services 2) Subsidiaries: All businesses ex. Kakao (Separate) and AI; incl. internal adj. 3) AI: AI Services within Kakao (Separate) 2) 3) 204 2Q25 3Q25 4Q25 1Q26 2Q26 Net Profit NPM 224 216 211 277 172 193 -47 1) 227 18 9.0% 9.8% 11.7% 0.9% 2)
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kakao 2Q26 Earnings Release 12 CapEx 2Q26 +89bn YoY, +70bn QoQEmployees 2Q26 -2,338 YoY, -44 QoQ Employees / CapEx 1) PP&E : data center construction in progress, servers, network equipment, etc. 2) Intangible assets such as good will, video production, distribution rights, etc. 72 144 157 92 16528 39 36 26 24 5% 9% 9% 6% 9% 2Q25 3Q25 4Q25 1Q26 2Q26 PP&E Intangible Capex to Revenue 3,986 3,942 3,922 3,975 3,918 12,398 12,247 11,934 10,115 10,128 2Q25 3Q25 4Q25 1Q26 2Q26 Kakao Subsidiaries 16,384 (# of people) (in bn KRW) 16,189 100 15,856 183 14,090 193 1) Headcount based on key consolidated subsidiaries 2) Kakao Games deconsolidated 118 1) 1) 2) 14,046 188 2) Workforce optimization and corporate restructuring Concentrated server purchases in 2Q
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kakao 2Q26 Earnings Release 13 ESG Activities Hosted 2026 Partner’s Day for Mutual Growth ▪ Hosted 66 network, security and commerce partners, providing training on mutual growth, ESG management, procurement policy and financial support. ▪ Continued the partner mutual-growth program for the 18th time, promoting a healthy partnership ecosystem Kakao 2025 Sustainability Report Released ▪ Released Kakao’s 2025 Sustainability Report aligned with global sustainability disclosure standards. ▪ Disclosed major ESG achievements, such as launch of Kanana Safeguard, Korea's first open-source AI guardrail ▪ Signed a partnership with Google DeepMind in order to enhance transparency in AI-generated content ▪ Applied SynthID digital watermarking and detection technology to Kanana AI model, building a foundation for safe AI services Advanced AI Content Transparency with Google DeepMind
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kakao 2Q26 Earnings Release 14 KakaoTalk MAU Maintaining stable domestic MAU approaching 50 million Korea 48,931 48,933 48,954 49,099 49,298 49,468 49,500 49,575 49,631 Global 54,195 54,198 54,048 54,080 54,286 54,500 54,501 54,683 55,346 Average of monthly MAUs. Global includes domestic MAUs. (in thousands) 48,931 48,933 48,954 49,099 49,298 49,468 49,500 49,575 49,631 2Q24 3Q24 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26
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kakao 2Q26 Earnings Release 15 After Platform Talk Biz Advertising and Subscription : Talk DA (Bizboard / DA Others), Network Ads, Business Messaging, Subscription and Others Commerce : Talk Gift, Talk Store, Kakao Friends Online Portal Biz 1) Daum PC / Mobile Kakao Story / Style / Page Other subsidiaries' ads Platform Others Mobility Pay Enterprise Other Subsidiaries Content Story Piccoma Entertainment Music SM Entertainment Melon Digital Music Distribution Album Distribution Music Production Media Video Production Talent Agency Before Network Ads newly added under Talk Biz advertising & subscription Portal Biz revenue reclassified into each relevant business and discontinued 1) Non-Bizboard: KakaoTalk display ads excluding Bizboard 2) Network Ads: Display ads on external platform inventory 1) Daum PC / Mobile ad revenue reclassified under Platform Others; recognized through 2Q26 following deconsolidation; Kakao Story/Style ad revenue: reclassified to Talk Biz > Advertising; KakaoPage under Story > Entertainment. Other subsidiary ad revenue: reclassified under Platform Others (Mobility), Story (Piccoma) and Music (Melon). Revenue ReclassificationAppendix Platform Talk Biz Advertising and Subscription : Talk DA (Bizboard / Non-Bizboard1)), Network Ads 2) , Business Messaging, Subscription and Others Commerce : Talk Gift, Talk Store, Kakao Friends Online Platform Others Mobility Pay Enterprise Other consolidated subsidiaries Content Story Piccoma Entertainment Music SM Entertainment Melon Digital Music Distribution Album Distribution Music Production Media Video Production Talent Agency
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Thank You © Kakao Corp.