NC (036570) Investor presentation summary

Industry trends and market outlook

• Global games market projected to reach USD 236 billion by 2025, with mobile platforms accounting for 46% of the market.

• MMO games market expected to grow to USD 75 billion by 2028, with a CAGR of 10.7%.

• South Korea's games market reached USD 17.1 billion in 2022, with mobile games representing 59% of the market.

• South Korean games exports have grown at 9% annually over the past four years, with significant opportunities in NA and EU.

Company profile and governance

• Board consists of 7 members, emphasizing independence, diversity, and expertise.

• Ownership is diversified among retail, domestic, foreign investors, and management.

• Development and publishing network spans Korea, North America, Europe, Japan, Taiwan, and Vietnam.

Financial performance

• Q1 2024 sales were KRW 397.9 billion, down 9% qoq and 17% yoy; operating profit was KRW 25.7 billion, up 568% qoq but down 68% yoy.

• FY 2023 sales were KRW 1,779.8 billion, a 31% decrease yoy; operating profit was KRW 137.3 billion, down 75% yoy.

• Mobile games contributed 67% of 2023 sales, but declined 38% yoy; PC online games fell 8% yoy.

• Overseas and royalty sales accounted for 35% of Q1 2024 sales.