Russian tech huge VK published an incredible net loss of 94.94 billion rubles ($1.12 billion) in 2024 nearly three times the 34.29 billion rubles ($405 million) it lost in 2023 regardless of achieving record-high revenue, according to its yearly report published Thursday.The business reported a total earnings of 147.57 billion rubles ($1.74 billion) in 2024, a considerable increase from 120.3 billion rubles ($1.42 billion) the previous year.
VK omitted its net loss figures from its press release revealing the income milestone.Online advertising made up nearly two-thirds of VKs revenue in 2024.
Following the reports publication, VK shares toppled more than 6% on the Moscow Stock Exchange (MOEX).
VK operates Russias largest social networks network, VKontakte, as well as the Odnoklassniki social media network, the grocery service Delivery Club and a number of other online businesses.The business came under state control in 2021 after Russian energy giant Gazprom acquired a bulk stake through a series of deals that bought out billionaire Alisher Usmanov.Analysts at Moscow-based financial services firm Finam had actually anticipated VK would report considerable net losses despite profits development.
The Interfax news agencyreported that VKs earnings figures fell short of its agreement projection of 157.7 billion rubles.