NC (036570) Investor presentation summary

Industry trends and market outlook

• Global games market projected to reach USD 228 billion by 2026, with a CAGR of 2.5% from 2021 to 2026.

• South Korea's games market reached $16.4 billion in 2023, with mobile games accounting for 59% and showing 15% CAGR over four years.

• South Korean games exports grew at 6% CAGR from 2019 to 2023, with significant opportunities in NA and EU markets.

Corporate structure and governance

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

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

Financial performance

• 2024 sales were KRW 1,578.1 billion, down 11% YoY, with an operating loss of KRW 109.2 billion.

• Q4 2024 sales were KRW 409.4 billion, up 2% QoQ but down 6% YoY; Q4 operating loss was KRW 129.5 billion.

• Mobile game sales declined 22% YoY in 2024, while PC online game sales fell 2% YoY.

• Q4 Korea sales dropped 13% QoQ, but NA/EU sales rose 25% QoQ, and royalty sales surged 93% QoQ.