NAVER Posts KRW 451.3 Billion Operating Profit, Down 20.9%

NAVER reported third-quarter operating profit of KRW 451.3 billion, down 20.9% year over year, as AI-related investment compressed margins even while revenue grew 10.7% to KRW 3.4724 trillion. The company announced the figures on November 12, 2026, alongside plans for a new logistics subsidiary and a standalone personal AI agent app.

Operating margin narrowed to 13.0% from 18.2% a year earlier. NAVER attributed the profit decline in its earnings presentation to increased investment in infrastructure, content and offline data, all aimed at strengthening AI competitiveness.

Infrastructure expense climbed 29.1% to KRW 282.3 billion, driven by computing assets for internal use and data-center rents. Marketing costs also rose, reflecting shopping promotions and Npay Connect terminal installations. The quarterly pressure, in other words, wasn't confined to AI infrastructure.

What does the logistics unit do?

The planned subsidiary will build on an established commerce base. NAVER Platform services revenue rose 13.1% to KRW 473.6 billion in the quarter. Smartstore gross merchandise value — the total value of transactions on the platform — increased 6.4% despite the Chuseok holiday, according to the earnings presentation. Repeat purchases through the NAVER Plus Store app and membership programs supported that growth.

Chief Executive Choi Soo-yeon said the logistics subsidiary will gradually strengthen delivery infrastructure around leased logistics centers. She described a reinforcing cycle: better delivery increases transactions, and the resulting volume improves efficiency for sellers, users and partners. NAVER also plans to expand N-Delivery coverage.

Why a personal AI agent app?

The agent applies the same transaction focus to NAVER's AI services. The standalone app is scheduled for release by the end of 2026, following the earlier launches of AI Briefing and AI Tab. NAVER said the app will extend its services beyond recommendations and information delivery to actual purchases and visits, linking the agent's task handling to existing search and commerce activity.

Choi described an agent that can anticipate tasks users need handled or perform cumbersome work on their behalf. The goal, she said, is attracting new user groups and creating monetization opportunities. The product plan sits alongside efforts to improve AI Tab revisit and conversion rates and expand AI monetization in search.

When does AI Factory revenue arrive?

Not until 2027. NAVER has signed approximately KRW 2 trillion in computing-service supply contracts for the AI Factory business it is pursuing with Brookfield and NVIDIA. Those contracts secure initial customers for capacity coming online in early 2027, with related revenue expected to enter results in the first half of that year.

There's already traction in the enterprise line. Enterprise revenue within Global Opportunities grew 33.0% in the third quarter, giving NAVER an existing business channel alongside the forthcoming infrastructure projects.

Choi said NAVER plans to pursue medium- and long-term contracts with large customers and expand its customer base among global AI companies, targeting both stability and profitability.

What's the operating question now?

The quarter lays out a clear test: whether logistics and agent-driven transactions can develop fast enough while AI Factory revenue remains a 2027 item and current spending already compresses margins. Until the AI Factory contracts start contributing, NAVER is funding its AI push out of a commerce and search business whose operating margin has dropped more than five percentage points in a year.