South Korea’s top messenger operator Kakao Corp. will stay under the current co-chief executives for another two years, crediting them for the company’s strong ascension.

The Kakao board is to propose the reappointment of Yeo Min-soo and Joh Su-yong as the co-chiefs on Tuesday, according to industry sources.

The two took joint helm of Kakao in March 2018. The extension of the two-year term will be put to a vote in the March shareholders meeting, the sources said.

This is the first time Kakao has extended its CEO tenure since its merger with local web portal Daum in 2014.

The reappointment will be a vote of confidence for the fast-growing company. Under the watch of Yeo and Joh, Kakao sales surged to a record 3 trillion won ($2.46 billion) in 2019 from less than 2 trillion won in 2017. Operating profit also jumped 25 percent to 200 billion won during the period.

The company now generates a stable revenue stream from its flagship messenger KakaoTalk, and has created new incomes from its contents and mobility businesses. Last year, it added banner ad placements on its messenger app, which, despite some initial pushback from users, has now become a cash cow with daily revenue of 500 million won. KakaoTalk-related sales this year are on track to hit 1 trillion won compared with last year’s 649.8 billion won, the company said.

Yeo Min-soo started in August 2016 as Kakao’s vice president overseeing the advertisement business, and is credited for driving the company’s data-based customized ad platforms.

Joh Su-yong joined a few months later in December 2016 as the vice president in charge of the brand design team. He is responsible for the branding of the online bank Kakao Bank, taxi-hailing service Kakao T and AI speaker Kakao Mini.

By Pulse

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