Nexon Reports 1Q Operating Profit of 260.5 Billion KRW, Down 48%... "Securing Growth Momentum with New Releases in Q2"

Nexon announced on the 14th that it recorded consolidated sales of 968.9 billion KRW (quarterly exchange rate: 893.7 KRW per 100 JPY) and operating profit of 260.5 billion KRW in the first quarter. These figures represent decreases of 13% and 48%, respectively, compared to the same period last year.

Both sales and operating profit declined year-on-year due to the base effect from the record-high performance in the first quarter of last year. However, compared to the upper end of the forecast announced by the company in the fourth quarter of last year for the first quarter of this year, sales exceeded expectations by 1.2%, and operating profit surpassed them by 24.4%.

FC Online and FC Mobile, which had maintained record growth until the fourth quarter of last year, continued to show solid performance in the first quarter of this year. The 2024 TOTY (Team Of The Year) class update in January received a positive response from users, and through hosting various leagues that encompass both professional and amateur players, such as the eK League Championship, Nexon Champions Cup, and FC High School, the company provided a platform to enjoy the FC franchise in diverse ways, achieving results beyond projections.

Blue Archive’s 3rd anniversary update gained great popularity in Japan, contributing to global revenue growth, and it also recorded double-digit growth in other regions such as Southeast Asia. HIT2, released last month in Japan, ranked first on both the Apple App Store and Google Play in Japan, significantly contributing to sales.

By region, remarkable achievements were made in North America and Europe. North America is traditionally a region where console games dominate, and there is a strong perception that Korean games have difficulty gaining a foothold there. However, Dave the Diver and The Finals, released last year, continued to attract steady interest from users in North America and Europe, and combined with the performance of the MapleStory franchise, this led to a 92% increase compared to the same period last year.

Nexon plans to further secure growth momentum in the second quarter of this year through a variety of new releases. First, in collaboration with publishing partner Tencent, the company is focusing on finalizing the release of Dungeon & Fighter Mobile in China, scheduled for launch on the 21st. The First Descendant, a next-generation global loot shooter game currently being developed by Nexon Games, is also planned for release this summer.

Jung-hun Lee, CEO of Nexon, said, "The first quarter was a time when we concentrated all our company’s capabilities and made every effort to improve user satisfaction and engagement. We will continue to do our best to repay the trust and patience of our users." He added, "Starting with the release of Dungeon & Fighter Mobile in China on the 21st, we plan to sequentially introduce games equipped with innovative gameplay and powerful IPs."