NCSOFT (036570) Q2 2025 earnings summary

Executive summary

• Q2 2025 sales reached KRW 382.4 billion, up 6% QoQ and 4% YoY, driven by growth in both PC and mobile games.

• Operating profit surged 189% QoQ and 71% YoY to KRW 15.1 billion, supported by sales growth and cost savings.

• Net income turned negative due to FX-related losses from a weaker US dollar.

• Legacy IPs showed strong performance, with regional expansion and new launches supporting growth.

Financial highlights

• Mobile game sales were KRW 219 billion, up 6% QoQ and 0.3% YoY, accounting for 57% of total sales.

• PC online game sales reached KRW 91.7 billion, up 10% QoQ and 6% YoY, making up 24% of sales.

• Royalty sales fell 6% QoQ to KRW 42.3 billion, but rose 12% YoY.

• Operating costs totaled KRW 367.3 billion, up 3% QoQ and 2% YoY.

• Net loss for Q2 2025 was KRW -35.9 billion, compared to net income of KRW 37.5 billion in Q1 2025 and KRW 71.1 billion in Q2 2024.

Outlook and guidance

• Seven new titles, including Aion 2, Breakers, Time Takers, LLL, and four spinoffs, are planned for release in 2026.

• 2026 sales guidance is KRW 2 trillion to KRW 2.5 trillion.

• Regional expansion of legacy IPs continues, with launches in China and Southeast Asia.

• Anticipation is building for Aion 2's Q4 launch in Korea and Taiwan.