1. Fingerstory’s Q2 2025 Performance: Growth Engine Stalls
Fingerstory’s revenue for the first half of 2025 reached 8.54 billion KRW, a 6.2% decrease compared to the same period last year. Operating profit also declined by 33% to 440 million KRW. The slump in its core webtoon and web novel businesses is the primary driver of this underperformance. While a one-off financial gain boosted net income, the underlying profitability remains a concern.
2. Reasons for the Decline: Intensified Competition and Weakening Growth Drivers
- Intensifying Webtoon Market Competition: Fingerstory is struggling against dominant players like Naver and Kakao, facing fierce competition for both readers and creators.
- Limited IP Portfolio and Utilization: The company’s current IP portfolio of 15 titles struggles to compete, and efforts to monetize through secondary businesses are lacking.
- New Business Uncertainties: Fingerstory’s expansion into cosmetics, exhibitions, and VR/AR content remains uncertain, with limited demonstrable success thus far.
3. Investment Implications: Strengthening Core Competencies is Crucial
Fingerstory is at a critical juncture. Investors should pay close attention to the following:
- Strengthening Core Business Competitiveness: The company must focus on acquiring new IPs, improving platform user experience, and securing new content to retain existing users and attract new ones.
- Concrete Plans and Tangible Results for New Businesses: Fingerstory needs to outline concrete investment plans and roadmaps for its new businesses, demonstrating tangible progress and potential for future profitability.
- Maintaining Financial Health and Risk Management: Securing stable cash flow and managing risks associated with convertible bonds are essential for long-term stability.
4. Action Plan for Investors
Improving short-term profitability and strengthening core business competitiveness are paramount. Investors should closely monitor the company’s strategic shifts and performance, exercising caution and a long-term perspective when making investment decisions.
What is Fingerstory’s main business?
Fingerstory operates digital content platforms like ‘Mootoon’ and ‘Qtoon,’ offering webtoons, web novels, and other digital content.
How did Fingerstory perform in the first half of 2025?
Revenue declined by 6.2% year-on-year to 8.54 billion KRW, and operating profit fell by 33% to 440 million KRW.
What is the outlook for Fingerstory?
Fingerstory faces challenges due to intensifying competition and uncertainties surrounding its new businesses. The company’s future prospects hinge on its ability to strengthen its core competencies and generate tangible results from its new ventures.
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