[Click eStock] "Netmarble, Growing Expectations for New Releases"

NH Investment & Securities "Target Price Raised from 160,000 KRW to 180,000 KRW"
Existing Games Maintain Steady Sales... Seven Knights 2 Remains in Top 10 Domestic App Store Revenue Rankings

[Asia Economy Reporter Gong Byung-sun] An analysis has emerged predicting the success of Netmarble's new title "Second Country," scheduled for release in June. The value of companies in which Netmarble holds shares is also rising, leading to an increase in Netmarble's corporate value as well.

On the 16th, NH Investment & Securities raised Netmarble's target stock price from the previous 160,000 KRW to 180,000 KRW, maintaining a "buy" investment rating.

NH Investment & Securities raised Netmarble's target price due to the upcoming release of the new title Second Country in June. Second Country, which began pre-registration on the 14th, is a game adaptation of the manga original by Studio Ghibli, famous for the Totoro character. Jaemin Ahn, a researcher at NH Investment & Securities, said, "As a casual role-playing game (RPG) targeting a diverse user base, strong performance is expected in key countries such as Korea and Japan," adding, "Netmarble's internal evaluations are also reportedly positive."

As the value of companies in which Netmarble holds shares grows, Netmarble's corporate value is also rising accordingly. Netmarble holds shares in Coway, HYBE, NCSoft, Kakao Games, and Kakao Bank, among others, whose corporate values have been increasing recently. In fact, Kakao Bank filed for preliminary review for listing with the Korea Exchange on the 15th, beginning preparations for an initial public offering (IPO).

First-quarter earnings this year also met expectations. Researcher Ahn explained, "Netmarble's first-quarter revenue rose 20.8% year-on-year to 643.9 billion KRW, and operating profit increased 336.1% to 89.1 billion KRW," adding, "Both figures meet the previous estimates of 90.9 billion KRW and market forecasts of 86.5 billion KRW." The steady performance of Seven Knights 2, released in November last year, maintaining a top 10 position in domestic app store sales, appears to have driven Netmarble's first-quarter growth. Major games such as Lineage: Revolution, Marvel Contest of Champions, The Seven Deadly Sins, and Blade & Soul Revolution also continue to record steady sales.