Webtoon Entertainment Inc. reported big losses for Q4 and the full year on higher sales, with asset impairments and unfavorable currency fluctuation the biggest drivers of the loss.  The company lost around $153 million in Q4, up from a $33 million loss in Q4 2023; and lost $214 million for the full year, up from a $135 million loss in 2023.

Asset writedowns contributed $70 million to the losses, pretty similar to $63 million in writedowns in 2023.

Foreign currency fluctuations were a much bigger impact in 2024 than in 2023, as currencies in Asia, where Webtoon has most of its sales, dropped against the dollar.  Foreign currency adjustments were $62 million of the loss in Q4, and $72 million for the full year.  In 2023, currency adjustments were only an $18 million hit to earnings for the full year.

After a loss in Q2 2024, the company’s first quarterly report since its initial public offering (see "Webtoon Widens Loss"), Webtoon turned positive in Q3, but then had big losses in Q4 pulling the year down.

Sales were up 5.6% for Q4, behind growth in Paid Content and Advertising, partially offset by currency adjustments; and up 5.1 % for the full year to $1.35 billion.