Neowiz Reports Operating Profit of 5.2 Billion KRW in Q3... Returns to Profitability

[Asia Economy Reporter Yuri Choi] Neowiz announced on the 10th that it recorded sales of 74.9 billion KRW and an operating profit of 5.2 billion KRW in the third quarter. Sales increased by 22% compared to the same period last year, and operating profit turned positive.

Sales in the mobile game sector increased by 14% to 36.4 billion KRW. The healing mobile idle game "Goyang-i wa Seupeu" (Cat and Soup) achieved its highest quarterly sales by holding anniversary events and large-scale content updates to celebrate its first anniversary. "Brown Dust and Puzzle," which utilizes the intellectual property (IP) of "Brown Dust" released in July this year, also contributed to sales.

Sales in the PC and console game sector increased by 13% to 32.4 billion KRW. Thanks to the Steam release effect of "A.V.A" and the easing of web board game regulations, stable sales growth was observed, and the rhythm game "DJMax Respect V" was also released on Xbox and Game Pass, diversifying revenue sources.

Other sales slightly decreased compared to the previous quarter due to the impact of market conditions on mobile advertising sales of the subsidiary T&K Factory.

Neowiz plans to pursue diversification of game genres and platform expansion. It will focus on self-developed new titles and actively attempt game development utilizing IP.

Various new titles in different genres will be sequentially released in the fourth quarter of this year and in 2023. The turn-based strategy simulation role-playing game (SRPG) "Master of Knights," available from the 24th, the visual novel role-playing game (RPG) "Brown Dust Story" aiming for a fourth-quarter release, and the casual healing adventure game "Aka" are also in the final stages of development.

In 2023, Neowiz will release "P-ui Geojit" (P’s Lie), which won three awards at "Gamescom 2022," becoming the first Korean game company to achieve this. It will accelerate sales expansion with a lineup of new titles including "Oh My En," "Sannabi," and "Brown Dust 2." Additionally, it is preparing future IP-based titles such as a puzzle game based on the "Goyang-i wa Seupeu" IP and a mobile RPG utilizing a famous Japanese IP.