Com2uS Reports Q1 Revenue of 192.7 Billion KRW... "Positive Signal for Annual 1 Trillion KRW Revenue"

Com2uS has turned on a green light for achieving its annual sales target of 1 trillion KRW.

Com2uS announced on the 11th that it recorded sales of 192.7 billion KRW in the first quarter, a 45% increase compared to the same period last year. This is the highest sales for a first quarter. Net profit for the period turned positive to 40.6 billion KRW compared to the same period last year.

However, operating profit recorded a loss of 14.8 billion KRW due to increased marketing expenses. This was a temporary cost increase related to the global launch of Summoners War: Chronicle (hereafter Chronicle) in March. Com2uS expects profit improvement effects to appear from the second quarter onward.

From the first quarter, Com2uS has been striving to expand the global market for both existing hit titles and new releases. Summoners War: Sky Arena (hereafter Summoners War) saw its sales increase compared to the same period last year, successfully reversing its trend once again this year.

The baseball game lineup also achieved its best performance in the first quarter with sales of 30 billion KRW, a 25% increase compared to the same period last year. Especially this year, with the addition of the new title MLB 9 Innings Rivals, the annual sales target of 150 billion KRW is expected to be surpassed.

Chronicle surpassed 50 billion KRW in sales within 54 days of service, ranking 5th in global comprehensive sales on Steam and placing high in app markets worldwide. Com2uS expects to exceed its annual sales target of 100 billion KRW this year.

The Com2uS-developed title Zenonia, scheduled for release in the second quarter, exceeded 1.4 million pre-registrations domestically in about four weeks. Various new titles in different genres, such as Minigame Heaven and God of Fishing: Crew, are also set to be released soon.

Com2verse and media content businesses also contribute to Com2uS’s 1 trillion KRW sales goal. Starting with the launch of the metaverse office in the second quarter, Com2verse will enter full service and sequentially provide various content linked with more than 20 partner companies, including convention services in the third quarter.

The media content sector, centered on affiliates Wysiwyg Studios and MyMusicTaste, is also showing strong growth compared to last year with over 30 pieces of content such as dramas and movies, as well as K-POP performances worldwide. Com2uS plans to reap investment results not only by expanding global achievements in its core gaming business but also through new businesses for future growth such as metaverse and media content.

Meanwhile, Com2uS has established and announced a mid- to long-term shareholder value enhancement policy, including treasury stock cancellation, after reflecting various shareholder opinions, consulting related external experts, and reviewing the company’s financial environment and investment plans according to global market conditions.

Com2uS prepared a shareholder value enhancement plan using 33% of the average operating cash flow (OCF) over the past three years on a separate basis as resources to conduct ▲dividends ▲treasury stock purchases ▲treasury stock cancellations. Using these resources, the company plans to pay dividends, repurchase treasury stock, and cancel 50% of the repurchased shares.

In 2023, a total of 60.5 billion KRW was allocated as resources for the shareholder value enhancement policy, reflecting special factors such as successful investment results in SM Entertainment. In addition to treasury stock purchases and dividends conducted this year, a special quarterly dividend of 15.2 billion KRW will be paid, and an additional treasury stock purchase of 18 billion KRW will be made. Among the newly purchased treasury stock, 128,665 shares, equivalent to 1% of the total issued shares, will be canceled.