Kakao posts lower-than-expected profits in Q3

Kakao posted lower-than-expected profits in the third quarter as the internet company struggled with lower advertising revenues amid an economic slowdown.

Kakao's office in Pangyo, Gyeonggi [YONHAP]

Kakao posted lower-than-expected profits in the third quarter as the internet company struggled with lower advertising revenues amid an economic slowdown.

Its net came in at 137.2 billion won ($96.8 million) during the July-September period, down 84.2 percent from a year earlier and below the market consensus of 160 billion won.

The operator of the KakaoTalk messenger posted 150.3 billion won in operating profit for the third quarter, down 10.6 percent from a year ago, failing to meet the estimate of 179 billion won.

Revenue increased 6.8 percent to 1.86 trillion won, but stayed below the consensus at 1.9 trillion won.

BY PARK EUN-JEE [park.eunjee@joongang.co.kr]