VK published the results for 2023

VK published the results for 2023

The VK company published the results for 2023. For the announced year, VK’s revenue increased by 36% compared to 2022 and amounted to ₽132.8 billion. The main source of revenue growth was online advertising. Revenue from online advertising increased by 40% compared to 2022 to ₽79.7 billion.

According to a new report:

  • VK’s revenues from online advertising of medium and small businesses increased by 42%;

  • from advertising integrations in own content, shows of partners and bloggers – 2.5 times;

  • revenues in the segments “Educational Technologies” and “Technologies for Business” increased by 42% and 68% compared to 2022;

  • VK’s revenue for the fourth quarter of 2023 increased by 34% compared to the fourth quarter of 2022 and amounted to ₽42.5 billion. VK’s adjusted EBITDA for 2023 was ₽495 million;

  • the “Educational Technologies” segment showed revenue growth of 41.7% to ₽15.9 billion by the end of 2023;

  • the “Technologies for Business” segment showed revenue growth of 67.5% to ₽9.7 billion in 2023. EBITDA segment profitability was 27.2% in 2023;

  • the segment “New business directions” was reformed into “Ecosystem services and other directions”. Segment revenue increased by 21.2% to ₽23 billion by the end of 2023. This segment also includes the gaming platform VK Play, the RuStore application store, voice technologies and smart devices, and the segment itself is in an active investment phase;

  • the segment “Social networks and content services” was reformed into “Social platforms and media content” and its revenue increased by 35.3% to ₽84.6 billion rubles. in 2023. For example, the growth of the Vkontakte audience and engagement led to a 23% increase in the social network’s revenue in 2023;

  • The fastest growing segment was “Technologies for business”. In 2023, its turnover increased by 68% compared to 2022;

  • the growth of VK’s non-advertising revenue by the end of 2023 amounted to 30%.

In 2023, VK increased the site audience and increased user engagement rates:

  • the average daily audience (DAU) of VK services increased by 13% compared to 2022 and amounted to 76 million users;

  • DAU of the VKontakte social network in Russia increased by 10% to 54.1 million users compared to 2022;

  • the average monthly audience (MAU) of VKontakte in Russia increased by 11% to 84.7 million users in 2023 compared to 2022;

  • in the fourth quarter of 2023, the DAU of VK services grew by 6% compared to the fourth quarter of 2022 and amounted to 78 million users;

  • users spent an average of 6% more time in VK services compared to the previous year;

  • Zen’s DAU for 2023 was 31.9 million users;

  • the Time spent indicator averaged 3.4 billion minutes per day;

  • in the fourth quarter of 2023, users spent an average of 3.5 billion minutes per day on VK services, which is 3% more than in the same period of 2022;

  • the vertical video platform “VK Clips” became the most popular in Russia, according to Mediascope;

  • In the fourth quarter of 2023, the number of new groups on the Vkontakte social network increased by 20% compared to 2022.

  • RuStore became the audience leader among Russian mobile application stores and took second place in the market of application stores in the Russian Federation for Android devices.

The number of VK employees from January 2023 to December 2023 increased by 33% to 15 thousand people, and the share of IT specialists and product developers increased to 63%. The full report can be found here.

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