WEBTOON Entertainment Inc (WBTN)
NASDAQ:WBTN
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Earnings Data
Report Date
Aug 06, 2026After Close (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
-0.07Last Year’s EPS
-0.03Same Quarter Last Year
Moderate Buy
Based on 6 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call presented a mix of encouraging profitability and product/strategy progress alongside short-term user and revenue headwinds. Positives include meaningful gross margin expansion (+390 bps), strong adjusted EBITDA improvement (+132%), narrowed net loss, robust paid-content momentum in Korea (paid content +13.9% constant currency), progress on CANVAS globalization and AI translation, five Disney title launches and a healthy cash position (~$595M). Offsetting these gains are declines in MAU (-5.9%), continued volatility in IP adaptations (revenue -22.2% YoY), Japan user and MPU weakness, and modest near-term EBITDA guidance for Q2. Management is investing in creators, product (AI and CANVAS), and Japan infrastructure with the stated objective of returning to double-digit revenue growth by year-end, which supports an overall constructive outlook despite near-term execution risks.Company Guidance
Revenue and Constant Currency Performance
Reported Q1 revenue of $320.9 million, a 1.5% decline year-over-year but a 0.2% increase on a constant currency basis (within prior guidance range), driven by paid content and advertising growth offset by IP adaptation timing.
Significant Margin Expansion and Gross Profit Growth
Gross profit grew 16% year-over-year to $83 million and gross margin expanded 390 basis points to 25.9%, driven by mix shift toward higher-margin geographies and advertising, plus an isolated Japan smartphone-act benefit.
Profitability Improvement (Adjusted EBITDA and EPS)
Adjusted EBITDA increased 132% year-over-year to $9.5 million (adjusted EBITDA margin 3.0%, +170 bps YoY). Adjusted EPS improved to $0.07 from $0.03 in the prior year period.
Reduced Net Loss and Improved GAAP Metrics
Net loss narrowed to $8.8 million from $22.0 million in Q1 2025; GAAP loss per share improved to $0.07 from $0.17 year-over-year.
Strong Unit Economics — MPU and ARPU
Monthly paying users (MPU) grew 2.2% overall in Q1; ARPU increased 0.1% on a constant currency basis. Korea MPU grew 8.5% and Korea ARPU rose 5.1% YoY (constant currency). Rest of World MPU grew 3.3% and ROW ARPU rose 4.4% YoY.
Paid Content Strength in Korea
Korea paid content grew 13.9% on a constant currency basis, resulting in Korea revenue growth of 3.2% (constant currency) despite declines in IP adaptations and some advertising headwinds.
Product, Creator & IP Initiatives
Launched a unified Global CANVAS platform with opt-in AI-powered translation across multiple languages and expanded ad revenue sharing for supported CANVAS languages. Paid out ~$2.7 billion to creators historically, and announced additional creator investments and a $50M-type emphasis to support creators and content supply.
Content & Strategic Partnerships Momentum
Launched five Disney titles since Q4 (including Star Wars and Daredevil series) and reported successful IP adaptations (e.g., 'Love Me Love Me' reached global #1 on Prime Video during launch week). Preparing new digital comic platform launch with Disney in 2026.
Operational Wins and Leadership Updates
Completed Japan infrastructure projects in Q1 and redeployed resources to user experience improvements. Leadership changes include elevating Yongsoo Kim to President and Yuki Chae to Chief Product Officer to accelerate global execution.
Strong Balance Sheet and Cost Discipline
Cash balance of $595 million plus $11 million in short-term deposits; G&A expenses down to $60.6 million from $66.7 million YoY, demonstrating capital efficiency and disciplined operating cost control.
Forward Guidance and Confidence in Re-acceleration
Q2 revenue guidance of $332M–$342M (1.7%–4.6% constant currency growth) and adjusted EBITDA guidance of $0M–$5M; company expects a return to double-digit revenue growth by the end of 2026 driven by paid content, advertising recovery, and Japan improvement.
WBTN Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
WBTN Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
May 11, 2026 | $13.31 | $12.16 | -8.64% |
Mar 03, 2026 | $11.52 | $10.45 | -9.33% |
Nov 12, 2025 | $16.82 | $12.60 | -25.09% |
Aug 12, 2025 | $9.36 | $16.96 | +81.20% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does WEBTOON Entertainment Inc (WBTN) report earnings?
WEBTOON Entertainment Inc (WBTN) is schdueled to report earning on Aug 06, 2026, After Close (Confirmed).
What is WEBTOON Entertainment Inc (WBTN) earnings time?
WEBTOON Entertainment Inc (WBTN) earnings time is at Aug 06, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
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What is WBTN EPS forecast?
WBTN EPS forecast for the fiscal quarter 2026 (Q2) is -0.07.