IGAWorks Reports 153.2 Billion KRW Revenue Last Year: "Data Platform Business Profitable but..."

Advertising Agency Business Sector Records Loss Amid Market Downturn

Last year, IGAWorks reported that its data platform business continued to achieve double-digit growth and profitability, while the advertising agency segment, mainly composed of subsidiaries, recorded losses amid the downturn in the domestic digital advertising market.

Data platform company IGAWorks announced on the 29th that its consolidated sales for 2023 amounted to 153.2 billion KRW, a 24% decrease compared to the previous year, with an operating loss of 6.6 billion KRW on a consolidated basis.

Despite continuous investment in research and development (R&D), the data business segment posted sales of 139.5 billion KRW and an operating profit of 820 million KRW. However, the advertising agency segment recorded an operating loss of 7.19 billion KRW as the advertising volume handled by its two subsidiary agencies decreased by more than 70 billion KRW compared to the previous year.

This year, IGAWorks plans to focus on strengthening its influence in the Software as a Service (SaaS) solutions sector, moving away from the advertising-centric market, as demand for data utilization technology has been practically proven. In the advertising agency business, where profitability improvement is needed, the company will actively pursue customer base transformation and the adoption of artificial intelligence (AI).

Preparation for an initial public offering (IPO) will also continue. IGAWorks intends to resume its IPO efforts once it achieves growth in scale and profitability through performance recovery. The company has also applied for a designated audit.

Ma Gukseong, CEO of IGAWorks, stated, “Even in a situation where a sense of crisis permeated the entire market, the data tech SaaS solution business demonstrated solid growth potential by responding to companies’ demands to reduce uncertainty. With the recent surge in AI trends, we expect a significant increase in demand for data-related technologies across companies. Based on selection, concentration, and efficiency of our business units, we aim to achieve a turnaround this year.”