Coupang, despite achieving a record annual revenue of approximately 49 trillion won in the previous year, faced a severe decline in its operating profit during the fourth quarter of 2022, which dropped by 97% compared to the same period the previous year. The company's chairman, Kim Beom-seok, publicly apologized for the data breach that impacted customer trust and business performance. In Q4, Coupang's operating profit fell to approximately 11.5 billion won, leading to a significant net loss of about 37.7 billion won, marking a stark turnaround from its previous profitability.

The quarterly revenue saw a modest increase of 11%, reaching roughly 12.81 trillion won, but this was not enough to offset the ramifications of the data breach, which the company attributed to higher customer churn and a slowdown in revenue growth. Notably, this marked the first decrease in revenue from the previous quarter since Coupang's IPO in 2021. However, the company also indicated that it has started to see a tapering of customer losses and a surge in new subscriptions to its paid membership service, suggesting a gradual recovery.

As a result of these developments, market expectations for Coupang's annual revenue aspirations were tempered, as analysts had anticipated the company would surpass 50 trillion won but it ultimately fell short. The ongoing issues surrounding customer data protection are likely to have lasting implications for Coupang's reputation and operational strategies moving forward, particularly as they navigate the complexities of maintaining consumer trust amid heightened concerns over privacy and data security.