Wadiz Nears Profitability Amid Improved Performance, Eyes 2026 IPO

Wadiz achieved solid performance improvement in 2024, securing growth momentum. Revenue recorded 43.2 billion won, a 9% growth compared to the previous year, while operating loss significantly decreased by 58% to 7.2 billion won compared to the previous year. Notably, Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) showed positive results, improving by 96%. The most notable achievement is the dramatic improvement in operating cash flow. Operating cash flow, excluding non-cash expenses, recorded a net inflow of 2 billion won, an increase of 13.9 billion won compared to the previous year, demonstrating financial soundness. These positive changes are attributed to business portfolio optimization, strong cost-cutting efforts, and innovation in work automation and productivity through the introduction of generative AI. The revenue diversification strategy was also successful. Beyond funding fees, the advertising business grew by 40% compared to the previous year, significantly contributing to revenue expansion. Efficient marketing support services like Wadiz Advertising Center and Biz Center drove the growth of creators (makers). Direct sales revenue from the store also increased by 17% year-on-year, and with the performance of 'Wadiz Edition,' which reflects customer feedback, becoming visible, an expansion in the proportion of direct sales is expected in the future. Wadiz is officially embarking on its leap beyond the domestic market to become a global platform. In May, it will launch the 'K-Funding Export Service' targeting the Americas, and plans to discover promising brands in East Asia, including Japan and China, to enter the global market as Asia's leading crowdfunding platform. Shin Hyesung, CEO of Wadiz, stated, "2024 was a year of successful fundamental improvement towards a surplus structure through cost reduction and operational innovation." He added, "2025 will be a year of leap forward, entering overseas markets with strong small and medium-sized enterprises and new brands in Korea, showcasing the competitiveness of K-Funding." The ongoing capital increase is expected to be finalized by the first half of 2025, and the company plans to pursue a listing in 2026 after achieving an annual surplus in 2025.