[Digital Today reporter Seul-gi Son] Streaming service TVING posted an operating loss of 19.2 billion won in the first quarter this year. It narrowed the loss by 25.3 percent from a year earlier, when it posted a loss of 25.7 billion won.

Standalone results for TVING disclosed during CJ ENM's first-quarter earnings conference call on Wednesday showed first-quarter revenue rose 20.7 percent from a year earlier to 107.3 billion won. Subscribers grew 37.3 percent over the past year as partnership products expanded, including with SSG and Lotte Card. Advertising revenue also rose 35.3 percent on exclusive content and the popularity of the World Baseball Softball Confederation (WBC).

The amortisation period for content rights was extended to 4 years from 2 years. The company explained it adjusted its existing system, which was aligned with a broadcasting-focused distribution cycle, to fit the OTT environment and global operators' standards.

Choi Ju-hee (최주희), TVING's chief executive, said during the conference call that advertising grew more than 50 percent from a year earlier in the first quarter, but that as it is an off-season, advertising accounts for only 10 percent of annual advertising revenue. She said she strongly believes that from the second quarter, revenue will grow steadily and the company will be able to show a break-even point.

CJ ENM reported on Wednesday that it posted first-quarter revenue of 1.33 trillion won and an operating profit of 1.5 billion won. That was up 16.8 percent and 107.2 percent, respectively, from a year earlier. Revenue in its entertainment segment rose 22.6 percent to 951.1 billion won, while its operating loss fell 7.2 billion won to 19.0 billion won. Its commerce segment posted a 4.5 percent rise in revenue to 378.5 billion won, but operating profit fell 7.6 percent to 23.9 billion won.