Nexon FY2026 Q1 Earnings Release

Nexon’s first‑quarter fiscal 2026 results demonstrate a robust expansion of its core gaming portfolio, with revenue reaching ¥152.2 billion—a 34 % year‑over‑year increase that is largely attributable to the continued success of ARC Raiders and the MapleStory franchise. PC/console sales grew 52 %, while mobile revenue declined by 7 %. Operating income climbed to ¥58.2 billion, up 40 % from the same period in 2025, and net income surged to ¥57.2 billion, a 118 % jump driven by a favorable foreign‑exchange gain of ¥14.5 billion and higher royalties from publishing agreements.

Cost management remained a key focus, with total cost of revenue rising to ¥50 billion but still controlled relative to the revenue increase. Human‑resource and royalty expenses dominated, yet SG&A costs increased to ¥43 billion due to higher performance‑based marketing and publisher fees. Cash flow from operations stayed strong at ¥53 billion, while investing activities recorded a modest outflow of ¥64 million for capital expenditures and asset disposals.

Strategically, Nexon is refining its portfolio by cutting three projects while allocating resources to high‑potential titles such as NAKWON and Woochi the Wayfarer. Ongoing partnership extensions with Blizzard, EA, and Tencent reinforce its market position across PC, console, and mobile platforms. The company projects sustained growth in flagship franchises, emphasizing performance‑based marketing and selective headcount expansion to support future releases.