NC (036570) Q3 2026 earnings summary

Executive summary

• 2026 growth is powered by core games, mobile casual and new-IP publishing, reducing reliance on any single hit IP.

• 2026 revenue expectation is ~KRW 2.8t, above prior guidance of KRW 2.0t–2.5t; 2027 revenue guidance is KRW 3.2t–3.4t.

Financial highlights

• Q3 revenue was KRW 686.5b, up 91% YoY and down 11% QoQ; 9M26 revenue reached KRW 2,014.4b, up 83% YoY.

• 9M26 operating income rose 3,070% to KRW 406.8b, with a 20% cumulative operating margin.

• Q3 operating expenses were KRW 566.9b, down 5% QoQ and up 54% YoY; personnel expenses were KRW 249.9b, down 4% QoQ.

• Q3 marketing expense was KRW 158.1b, including KRW 27.8b for Core Games and KRW 130.3b for Mobile Casual.

• Q3 pre-tax income was KRW 37.2b; net income was KRW 20.0b.

Outlook and guidance

• FY2026 revenue guidance was raised to KRW 2.8t from KRW 2.0t–2.5t, comprising KRW 2.25t from Core Game and KRW 0.55t from Mobile Casual.

• FY2027 revenue guidance is KRW 3.2t–3.4t; management cited KRW 3.2t–3.3t as the conservative foreseeable range and aims to exceed guidance.

• Mobile Casual revenue is expected to grow ~55% in 2027; reward-app, publishing and studio revenue together are expected to comprise 25%–30% of guidance, excluding inorganic contributions.

• 2027 guidance includes Lineage Classic, AION2 and 10 planned launches, mainly shooter and subculture titles; Horizon Steel Frontiers and Mobile Casual M&A are additional potential contributors.

• Astrae Oratio is expected to launch first in Q1 2027, followed by one or two launches nearly every month in Q1 and Q2; marketing expense is expected to remain meaningfully below 10% of revenue.