Soop (067160) investor relations material

Executive summary

• Q2 2026 performance was impacted by one-off tax audit costs and seasonal factors, but core platform growth remained stable and donation-based revenues rebounded.

• Management is focused on long-term ecosystem growth, expanding streamer/user engagement, and preparing major UI/UX and AI-driven platform enhancements.

• Strategic initiatives include a new streamer onboarding program, performance-based ranking, and an integrated marketing brand launch.

• The company operates a leading live streaming platform, expanding into global markets, AI, fintech, and commerce, while maintaining strong capital structure and shareholder returns.

Financial highlights

• Q2 2026 operating revenue was KRW 103.8 billion, down 2.1% sequentially and 11.2% year-over-year, with platform revenue at KRW 74.1 billion (+0.1% QoQ), and ad revenue at KRW 27.2 billion (-10.9% QoQ).

• Operating profit was KRW 12.6 billion, down 40.5% QoQ, mainly due to one-off costs; net profit was KRW 8.7 billion, down 61.1% YoY.

• H1 2026 consolidated revenue was KRW 209.9 billion, with net income attributable to owners at KRW 30.9 billion.

• Operating expenses rose to KRW 91.2 billion, up 7.6% QoQ, due to advertising, commissions, labor, and tax-related costs.

• Cost savings were achieved via technology improvements and content production reductions, with network expenses down KRW 500 million and content costs down KRW 4.6 billion.

Outlook and guidance

• One-off and seasonal impacts are expected to dissipate from Q3, with improved revenue and profit momentum anticipated in the second half.

• Management will disclose key metrics from Q3 to enhance transparency and finalize treasury share plans within the year.

• Platform and advertising revenue are expected to recover as league schedules normalize and new initiatives roll out.

• Focus on strengthening platform competitiveness, expanding global reach, and leveraging AI and fintech for new revenue streams.

• Plans to continue stable dividends and consider further share buybacks or cancellations based on capital needs and market conditions.