VK Reports 23% Revenue Growth in 2024, Yet Falls Short of Analyst Expectations

VK’s revenue for 2024 saw a year-on-year increase of 23%, reaching 147.6 billion rubles, as reported in the company’s financial statements. This figure fell short of analysts’ consensus estimate, which anticipated revenue around 157.7 billion rubles, according to Interfax. Moreover, the adjusted EBITDA turned negative, amounting to −4.9 billion rubles, a decline from the positive 0.2 billion rubles reported in 2023.

VK projects that by the end of 2025, this figure will exceed 10 billion rubles. The company recorded a net annual loss of 94.9 billion rubles, which is 2.7 times greater than the previous year’s loss.

The primary driver of growth was the revenue from online advertising, which rose by 20% year-on-year to 96.1 billion rubles.

Additionally, revenues from online advertising for small and medium-sized businesses (SMBs) grew by 27% year-on-year.

Meanwhile, income from video advertising on VK platforms doubled, reaching 3.9 billion rubles.

VK Tech’s revenue increased by 42% year-on-year, totaling 13.6 billion rubles.

The revenue from educational services for children skyrocketed by 83% year-on-year, reaching 6.3 billion rubles.

In 2024, the average daily audience (DAU) of VK services reached 77 million users.

Users spent, on average, 29.4% more time on VK services compared to the previous year, with a time spent metric averaging 4.4 billion minutes per day.

By the end of 2024, the total daily viewing time for VK Video surged 4.5 times compared to the same period in 2023.