KaKao

Daum Commnication(www.daum.net) reported revenues of 225.2 billion, up 148% YoY, operating profits of 15.3 billion, 5,800% YoY, and EBITDA(earnings before interest, taxes, depreciation, amortization and stock compensation expense) of 29.6 billion won, up 156% YoY for a fiscal year ended December 31, 2002.

For 4Q 2002, revenue recorded 77.1 billion, 35% QoQ, and operating profit was 260 million won, 68% QoQ. In addition compared to 4Q 2001, revenue has increased 126% and EBITDA has turned out to produce profits from 200 million won loss.

In detail, Internet advertising recorded 40 billion won, up 112% YoY. It is due to 1) understanding of Internet advertising effects 2) a rise of advertising unit last July 3) active internal sales.

Daum Shopping recorded 164.1 billion won, 146 increase compared to the same period 2001. Despite low-demands in the market, it results high revenue due to 1) an entry to leader groups in B2C Internet Shopping 2) price competitiveness 3) 1:1 marketing and CRM strengthening 4) seasonality of 4Q.

Revenue of transaction service is first estimated and recorded 21.1 billion won. It grows average 22 uarterly.

Daum will keep a concrete position as a No. 1 Internet media company in 2003 as well. It will expand Internet advertising, jump up as a No. 1 B2C shopping mall, and develop qualities of individual services such as game/ recruiting/ wireless Internet/ messenger/ finance.