WEBTOON Targets Double-Digit Growth Despite Q3 Revenue Slowdown

WEBTOON Entertainment is managing fluctuating growth, projecting 2% constant currency growth for the third quarter of 2026. The company maintains its full-year target of double-digit constant currency revenue expansion. Management is shifting focus toward AI-integrated creator tools and diversified monetization to support the platform.

"byUs is both an engagement tool and a creation tool, because it allows superfans to turn their interest into new story ideas," said David, Chief Executive, Webtoon Entertainment, at the Goldman Sachs Communacopia + Technology Conference 2026.

Platform Engagement and Revenue Mix

WEBTOON reports 155 million monthly active users. Engagement data shows users spend between 30 and 60 minutes on the platform daily. Revenue is concentrated in the core micropayment model, which accounts for 79% of total revenue. Advertising contributes 11%, while crossover intellectual property (IP) adaptations, such as film or television projects based on platform content, represent 8% to 9% of income.

AI Strategy and 'byUs' Integration

The company is deploying AI features to deepen the relationship between creators and their audiences. In June 2026, the company launched its 'byUs' interactive chat feature in Korea. This tool enables users to engage in AI-powered dialogue with characters from the platform's stories. It functions as a consumption feature and a mechanism for fans to generate new story concepts.

Market Performance

These shifts occur as the company manages investor expectations regarding near-term revenue. On September 11, 2026, shares of Webtoon Entertainment Inc (WBTN) closed at $10.78, a 4.46% increase for the day.

What Is at Stake for Monetization

The company's reliance on micropayments makes it sensitive to user churn and spending habits. By expanding into IP adaptations and AI-driven interactive tools, WEBTOON aims to reduce its dependence on direct user payments. It seeks to create more predictable, diversified revenue streams. These initiatives are necessary as the company attempts to align its quarterly performance with its annual double-digit growth objectives.