TikTok’s Europe, Africa and LatAm Business Turns Its First Profit
2025 was a rough one for TikTok. That January, the on-and-off again struggle between Washington and Beijing came to a head, with the Chinese-owned social network going offline briefly and disappearing from app stores in the United States. By December, things had finally stabilized, with the Trump Administration brokering an Oracle-led deal for a partial buyout of its U.S. operations in December.
Amid that chaos, TikTok’s operations in the United Kingdom, Europe and Latin America flourished, according to British corporate filings submitted for TikTok’s U.K. entity that manages these regions. Its revenues grew 45.7% to $9.1 billion in 2025 from $4.5 billion in the prior years. That’s more than triple the $2.6 billion revenue TikTok generated from this region in 2022.
This is a fraction of TikTok’s parent ByteDance’s business. The Beijing-based company continues to operate the TikTok app in the United States but since December has been forced to share ownership and revenues with a joint venture owned by Oracle, Andreessen Horowitz and a consortium of other investors. ByteDance also operates TikTok in Asia, and a version known as Douyin in China, along with a range of other apps and AI products. ByteDance was reported to have made $186 billion in revenue last year but does not disclose any public details about its global operations.
TikTok notes in the filing that its growth in the U.K., Europe and Latin America stemmed from a surging its user base in those regions, along with the scaling of its e-commerce business TikTok Shop and live streaming features that have made the app such a powerhouse in China.
TikTok generated $702.5 million in profit last year after making a $657.3 million loss in 2024, and a $1.36 billion loss in 2023. “The directors regard 2025 as an inflection point in the group’s transition from a capital investment phase to sustained operating profitability,” TikTok wrote in the filing.
That bumper profit is padded by hundreds of millions of dollars of tax credits that TikTok is claiming from these earlier unprofitable years. TikTok only generated $280.4 million operating profit on a pre-tax basis.
The accounts reveal that TikTok’s operating costs for sales, marketing and admin also grew by 40.4% despite the number of staff working in this unit shrinking to 6,842 from almost 8,000 in the prior year.
While the partial divestiture of its U.S. business gave TikTok some reprieve from regulatory turmoil there, its U.K. corporate filings show that its problems in Europe are only mounting.
TikTok notes that it has set aside nearly $1 billion to cover potential regulatory fines and lawsuits in two pages dedicated to addressing its legal problems. But given the range of regulatory investigations and class action lawsuits that are winding their way through Europe’s courts, its liabilities could be on the scale of tens of billions of dollars.
Ireland’s Data Protection Commission fined TikTok $370 million in September 2023 over how it handled the user data of European children. The Irish data watchdog also fined TikTok $690 million in May 2025 after it emerged that TikTok staff in China had remote access to European user data.
TikTok appealed both rulings and the legal battle over the fines continues. In response to scrutiny about the whereabouts of Europeans’ data, in 2023 TikTok said it would spend $14 billion on “Project Clover” over the next ten years to build data centers in Europe along with “secure gateways” to make sure that the data of European users was stored securely.
Now, TikTok faces a second and potentially even bigger investigation from the Data Protection Commission (DPC), which regulates data issues within Europe, over European user data being stored in China. TikTok’s filings note that the DPC sent it a “statement of issues” in April 2026 and that it could face a fine of up to 4% of global revenue for a breach of the EU’s General Data Protection Regulation. Based on the estimated $186 billion in total 2025 revenue, that could rack up a potential $7.4 billion fine.
TikTok also faces a costly showdown with the European Union itself over the Digital Services Act, a tough new set of rules imposed on tech giants like ByteDance, Meta and Google. The trading bloc has at least four ongoing cases against TikTok over its “addictive design,” its handling of children, alleged election interference in Romania’s 2024 presidential election, and data access for researchers.
TikTok branded the EU’s claims over its “addictive design” as “categorically false and entirely meritless depiction of our platform” and said it would challenge the preliminary finding. It also pushed back against the election interference case. Separately, it claimed that it had taken measures to protect minors and would work with regulators on that case. The company has said it allows data access to researchers but claimed EU rules on this were unclear.
The EU and TikTok resolved another dispute over the data available in its advertising library in December 2025. Penalties under the Digital Services Act can total 6% of global revenues.
The Beijing-based company’s legal woes don’t end there. It also faces a $11.4 billion class action claim from three Dutch consumer rights groups that are winding through the European courts. It also faces a probe announced in July 2026 from the British media regulator Ofcom over whether TikTok is policing the U.K’s new ban on children under 16 accessing social media. TikTok told British media it would work with Ofcom but was confident that it met its legal obligations.
TikTok also said in the filing that it reported itself to Ireland’s financial regulator and the U.K’s Office of Financial Sanctions Implementation after it “identified and is investigating a potential issue relating to its compliance with applicable sanctions regulations.” TikTok did not immediately respond to a request for comment.
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