Netmarble (251270) Q4 2024 earnings summary

Executive summary

• FY 2024 revenue reached KRW 2,663.8bn, up 6.5% year-over-year, driven by higher overseas sales and cost efficiency.

• FY 2024 EBITDA was KRW 370.0bn, up 216.5% year-over-year, with a margin of 13.9%, a 9.2 percentage point increase.

• 4Q24 revenue was KRW 649.0bn, up 0.3% sequentially, with EBITDA of KRW 73.4bn, down 28.6% sequentially but up 19.3% year-over-year.

• 4Q24 net loss was KRW 166.7bn, mainly due to impairment losses on intangible assets.

Financial highlights

• FY 2024 EBITDA margin improved to 13.9%, up 9.2 percentage points year-over-year.

• 4Q24 EBITDA margin was 11.3%.

• FY 2024 operating profit was KRW 216bn, reversing a loss in FY 2023; net profit for FY 2024 was KRW 6bn.

• 4Q24 overseas revenue proportion was 83%, up 6 percentage points sequentially.

Outlook and guidance

• Nine new games are planned for release in 2025, including RF ONLINE NEXT, Game of Thrones: Kingsroad, and The Seven Deadly Sins: Origin.

• Focus remains on genre and platform diversification and global market expansion.

• No major changes expected in personnel headcount or dividend policy for 2025; open to M&A opportunities.