NEXON (3659) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue reached JPY 121.1 billion, up 2% year-over-year, with operating income at JPY 31.3 billion, down 17% year-over-year, both exceeding outlook due to strong MapleStory and ARC Raiders performance, despite declines in Dungeon & Fighter and FC franchises.

• Transformation initiatives focus on cost management, portfolio diversification, leveraging established IP, and investment in new technology for global growth and productivity.

• Global expansion strategies, including replicable growth models from MapleStory and ARC Raiders, are unlocking new markets, especially in the West.

• Revenue for the six months ended June 30, 2026 rose 17.4% year-over-year to ¥273,310 million, driven by new MapleStory titles and ARC Raiders global launch.

• Special dividend of JPY 415 per share (approx. JPY 324 billion) announced, reflecting excess cash from investment gains and stable business.

Financial highlights

• Q2 net income was JPY 29.6 billion, up 77% year-over-year, aided by a smaller FX loss and a JPY 5.5 billion valuation gain.

• MapleStory franchise revenue grew 62–63% year-over-year, setting a quarterly record; MapleStory Worlds revenue up 123% year-over-year.

• ARC Raiders contributed JPY 18.3 billion in Q2 revenue, with over 16.3 million units sold since launch.

• PC/Console revenue grew 4% year-over-year; mobile revenue declined 2%.

• North America and Europe revenue surged 170% and 2,033.3% year-over-year, while Korea and China declined.

Outlook and guidance

• Q3 2026 revenue expected between JPY 120.7–133.4 billion, a 2–12% increase as reported, or -3% to +7% on constant currency year-over-year.

• Q3 operating income forecasted at JPY 22.6–32.3 billion, down 40–14% as reported, or 48–24% on constant currency year-over-year.

• Net income for Q3 projected at JPY 18.2–25.6 billion, a 52–33% decrease as reported, reflecting non-recurring gains in prior year.

• For the nine months ending September 30, 2026, revenue is forecasted at ¥394,042–406,746 million (up 12.1–15.7% year-over-year).

• MapleStory expected to sustain strong growth; ARC Raiders revenue to normalize; Dungeon & Fighter and FC franchises to see year-over-year declines.