South Korea\'s fintech sector is moving beyond scale expansion and into a battle over profitability. Toss operator Viva Republica, Naver Financial and Kakao Pay posted their first combined annual net profit last year, with revenue also hitting record highs. Hecto Financial reported its best-ever results and is stepping up global business plans, including cross-border settlements and prepaid payments for foreign tourists visiting South Korea.

Hecto Financial said it will target the prepaid payment infrastructure market for foreign tourists by partnering with a Japanese affiliate of the country’s top eSIM operator. The company said it signed an exclusive contract with K&2P, operator of the prepaid service Moripay for Japanese visitors to South Korea, and will officially launch the service for the summer holiday season. It plans to expand the model to Southeast Asia.