Korea Stock Market Insights

Tag: Ebook

  • Milli’s Library Stock Forecast: Is the Wobbly Growth a Buying Opportunity?

    1. What’s Happening with Milli’s Library?

    Milli’s Library recorded sales of KRW 40.69 billion, operating profit of KRW 4.7 billion, and net profit of KRW 3.8 billion in the first half of 2025. While operating and net profit exceeded market expectations, revenue fell slightly short. The company maintains robust growth while securing new growth engines such as expansion into the webtoon/web novel market and AI technology adoption.

    2. What’s Driving Milli’s Library’s Growth?

    • Overwhelming brand awareness and rich content
    • B2BC channel growth leveraging KT Group synergy
    • AI-based service enhancements and improved user experience
    • Business diversification through expansion into the webtoon/web novel market

    3. What’s the Future Hold for Milli’s Library?

    Despite the positives, investors should be wary of several risk factors.

    • Low revenue share outside of e-book subscriptions
    • Potential subscriber churn due to price increases
    • Ongoing legal risks
    • Dependence on major customers

    4. What Should Investors Do?

    Milli’s Library presents both growth potential and risks. Investors should carefully consider the following factors when making investment decisions.

    • Actual revenue contribution from the webtoon/web novel business
    • Impact of price increases on subscriber numbers and ARPU
    • Future developments of legal risks
    • Cost efficiency management

    Frequently Asked Questions

    What is Milli’s Library’s main business?

    Milli’s Library’s main business is its e-book subscription service, and it recently expanded into the webtoon/web novel market.

    What should investors be aware of when investing in Milli’s Library?

    Investors should consider potential subscriber churn due to price increases, legal risks, and low revenue share outside of e-book subscriptions.

    What is the outlook for Milli’s Library?

    While there is growth momentum through AI technology adoption and expansion into the webtoon/web novel market, investors need to carefully monitor the risk factors.

  • Milli’s Library Q2 Earnings: A Turning Point for Stock Price?

    1. What Happened at Milli’s Library?

    Milli’s Library experienced a substantial decline in Q1 revenue, dropping from 72.6 billion won to 20 billion won year-over-year. Further analysis beyond the discontinuation of the print book subscription service is urgently needed. While operating profit and net income remained positive, declining conversion rates raise concerns about sustainable growth. The impact of joining the KT Group is yet to be seen, and while expansion into publishing and IP is a potential long-term growth driver, short-term profitability remains challenging.

    2. Why Did This Happen?

    The stock price has been highly volatile since January 2024, falling to the 12,000 won range after the Q1 earnings announcement. The market is concerned about the poor performance and uncertainties surrounding future growth. Macroeconomic factors, such as rising interest rates and weakened consumer sentiment, could negatively impact the e-book subscription market.

    3. What’s Next for Milli’s Library?

    The Q2 earnings announcement is a critical turning point for Milli’s Library. Exceeding market expectations with improved performance, along with a clear growth roadmap demonstrating synergies with the KT Group, strategies to improve conversion rates, and plans for profitability in the publishing/IP business, will be key to a stock price rebound.

    4. What Should Investors Do?

    Investors should carefully analyze the Q2 earnings announcement, paying close attention to explanations regarding the causes of the revenue decline and proposed solutions. Continuous monitoring of future performance and changes in management strategies is crucial for making informed investment decisions.

    Frequently Asked Questions

    When is Milli’s Library’s Q2 earnings announcement?

    It is scheduled for August 14th at 3 PM KST.

    What are the main reasons for the poor Q1 performance?

    The primary reason for the revenue decline is the discontinuation of the print book subscription service. However, further analysis is necessary, and the decrease in paid conversion rates is also a concern.

    What should investors be aware of?

    Investors should carefully consider the Q2 earnings, the analysis of revenue decline and solutions, and future growth strategies presented in the IR announcement before making investment decisions.