Coupang Posts 1.8 Trillion Won Cumulative Operating Loss in First Three Quarters… Kim Beom-seok: "Temporary Headwind, Not a Structural Issue"

*This content was translated by AI.View Original

Coupang Inc., the parent company of Coupang, recorded an operating loss exceeding 1.8 trillion won for the first three quarters of this year amid the impact of successive major setbacks. As operating losses continued for the third consecutive quarter, the cumulative loss for this year has reached a level that effectively wipes out all operating profits earned over the past three years. However, Kim Beom-seok, Chairman of Coupang Inc., characterized the recent performance slump as a "temporary headwind," expressing confidence in a turnaround and future growth potential.

According to the consolidated earnings report for the third quarter submitted by U.S.-listed Coupang Inc. to the U.S. Securities and Exchange Commission (SEC) on the 3rd (local time), the company's revenue for the third quarter increased by 7% year-on-year to $9.962 billion (approximately 14.2209 trillion won).

In contrast, operating profit turned into a loss. The operating loss for the third quarter was $450 million (approximately 642.3 billion won), marking a shift from profit to loss compared to the same period last year. As a result, the cumulative operating loss for the first three quarters of this year totaled 1.8318 trillion won. This amount is close to the total annual operating profits of 1.8987 trillion won earned over the past three years (2023–2025). The results reflect costs related to the personal data breach incident at the end of last year and the fire at the Incheon logistics center that occurred in July this year ($248 million), among other factors. Excluding the fire-related losses, the operating loss for the third quarter was approximately $202 million (about 288.5 billion won).

In a conference call following the earnings release, Chairman Kim stated, "None of the supply chain disruptions, fixed cost burdens, or increased marketing expenses are structural issues," emphasizing that "some are short-term investments and the rest are temporary headwinds." He added, "As volume recovers, utilization rates for the supply chain and logistics facilities will normalize, and cost-saving effects will improve," noting that margins are expected to return to pre-incident levels next year.

Despite major short-term setbacks, assessments suggest that Coupang's future outlook remains relatively bright. This is because revenue, a key growth indicator, continues to grow, and "Wow Membership," which indicates customer loyalty, has reached an all-time high.

Chairman Kim explained, "Existing members are also showing record levels of spending." Industry observers predict that since the company's core competitiveness has not been damaged once one-off loss factors are excluded, Coupang will achieve a sharp performance turnaround starting next year, based on overwhelming lock-in effects as its logistics infrastructure returns to normal.

<© STARNEWS. All rights reserved. No reproduction or redistribution allowed.>

*This content was translated by AI.View Original