Yanolja Q1 Revenue Hits KRW 236.7B (US$ 157.45M) Amid AI Investments

Seoul, South Korea - Yanolja reported first-quarter consolidated revenue of KRW 236.7 billion (US$157.45 million), an 8.5% increase year-on-year, according to a company statement released Friday.

Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) for the quarter fell 75.3% from the same period last year to KRW 5.8 billion (US$3.86 million). 

The company attributed the decline to investments in artificial intelligence, data capabilities, and global expansion, as well as volatility in the global travel market driven by geopolitical factors.

Yanolja reported an operating loss of KRW 17.7 billion (US$11.77 million) for the quarter on a consolidated basis, compared with a profit in the same period last year.

Aggregate Total Transaction Value (TTV) for the first quarter grew 31.9% year-on-year to KRW 9.5 trillion (US$6.32 billion). 

Overseas transactions accounted for approximately 76% of total TTV. 

The company said its Enterprise Solutions division was responsible for roughly 89% of total TTV growth, driven by the expansion of its AI data solutions.

Enterprise Solutions generated KRW 72.1 billion (US$47.96 million) in revenue, up 13.8% year-on-year. 

The division's adjusted EBITDA fell 47.5% to KRW 6.4 billion (US$4.26 million), which the company attributed to ongoing structural investments.

The Consumer Platform division reported revenue of KRW 168.9 billion (US$112.35 million), a 7.0% year-on-year increase, supported by domestic demand and outbound travel growth. 

The division's adjusted EBITDA declined 51.9% to KRW 10 billion (US$6.65 million) amid continued marketing investments. 

Yanolja said its inbound travel platform, NOL World, recorded a 24-fold year-on-year increase in average monthly active users and a 288% rise in revenue during the quarter, following a platform restructuring late last year.

A company representative said short-term profitability was affected by concentrated investments in technology and market expansion. 

Yanolja said it expects continued macroeconomic volatility in oil prices and exchange rates and plans to manage investment efficiency and profitability while continuing to fund AI capability development.