kakao games logo # Disclaimer Q3 2023 financial information contained in this presentation are estimates based on K-IFRS standards, and all financial and business results except for the stand-alone statement are consolidated-basis results which include subsidiary performance. Please note that the information was prepared to cater to investors and has not yet been reviewed by an outside auditor, and hence is subject to change upon the auditor’s review. Kakao Games therefore does not make any representation or accept liability as to the accuracy or completeness of the information herein and is not responsible for providing future updates on the information contained in this document.

# Contents 01 Summary 02 Revenue Breakdown 03 OPEX Breakdown 04 Operating & Net Profit Appendix. * Upcoming Global Title * Core line-up * Financial Summary kakao games logo

kakao games ## Summary * Despite revenue impact from the new title 'Ares: Rise of Guardians', Q3 Revenue down 14% YoY and 2% QoQ, on the back of prolonged recession * Even with enhanced profitability from the game business, Q3 Operating Profit down 48% YoY and 15% QoQ, due to losses from non-game business <thead> <th>Billion Won</th> <th>3Q22</th> <th>4Q22</th> <th>1Q23</th> <th>2Q23</th> <th>3Q23</th> <th>YoY</th> <th>QoQ</th> </thead> <tbody> <td>Revenue</td> <td>306.9</td> <td>235.7</td> <td>249.2</td> <td>271.1</td> <td>264.7</td> <td>-13.7%</td> <td>-2.4%</td> <td>Mobile</td> <td>197.0</td> <td>151.7</td> <td>153.6</td> <td>171.9</td> <td>183.8</td> <td>-6.7%</td> <td>6.9%</td> <td>PC</td> <td>13.3</td> <td>10.8</td> <td>14.1</td> <td>11.9</td> <td>11.5</td> <td>-13.5%</td> <td>-3.0%</td> <td>Others</td> <td>96.6</td> <td>73.2</td> <td>81.5</td> <td>87.3</td> <td>69.4</td> <td>-28.2%</td> <td>-20.5%</td> <td>OPEX</td> <td>263.2</td> <td>226.7</td> <td>237.8</td> <td>244.6</td> <td>242.1</td> <td>-8.0%</td> <td>-1.0%</td> <td>Operating Profit</td> <td>43.7</td> <td>9.0</td> <td>11.3</td> <td>26.5</td> <td>22.6</td> <td>-48.4%</td> <td>-14.8%</td> <td>OPM</td> <td>14.2%</td> <td>3.8%</td> <td>4.6%</td> <td>9.8%</td> <td>8.5%</td> <td>-5.7%p</td> <td>-1.2%p</td> <td>Net Income</td> <td>11.3</td> <td>-299.7</td> <td>4.2</td> <td>8.7</td> <td>3.7</td> <td>-67.3%</td> <td>-57.4%</td> <td>Controlling Interest</td> <td>3.2</td> <td>-295.4</td> <td>2.2</td> <td>3.4</td> <td>3.0</td> <td>-5.4%</td> <td>-11.4%</td>

<td>8.5%</td> <td>-5.7%p</td> <td>-1.2%p</td> <td>Net Income</td> <td>11.3</td> <td>-299.7</td> <td>4.2</td> <td>8.7</td> <td>3.7</td> <td>-67.3%</td> <td>-57.4%</td> <td>Controlling Interest</td> <td>3.2</td> <td>-295.4</td> <td>2.2</td> <td>3.4</td> <td>3.0</td> <td>-5.4%</td> <td>-11.4%</td> </tbody>

kakao games ## Revenue Breakdown ### 3Q Revenue reported 264.7 bn Won YoY 13.7% ▼ / QoQ 2.4% ▼ - Mobile Game : Marginal increase from new titles including 'Ares: Rise of Guardians', offsetting natural decline from legacy titles - PC Game : Decline due to deferred effect from major events for 'PUBG' - Others : Continuing macro headwind from prolonged recession ### Mobile (YoY 6.7% ▼ / QoQ 6.9% ▲) (Billion Won) <th>Quarter</th> <th>Revenue (Billion Won)</th> <td>3Q22</td> <td>197.0</td> <td>4Q22</td> <td>151.7</td> <td>1Q23</td> <td>153.6</td> <td>2Q23</td> <td>171.9</td> <td>3Q23</td> <td>183.8</td> ### PC (YoY 13.5% ▼ / QoQ 3.0% ▼) (Billion Won) <th>Quarter</th> <th>Revenue (Billion Won)</th> <td>3Q22</td> <td>13.3</td> <td>4Q22</td> <td>10.8</td> <td>1Q23</td> <td>14.1</td> <td>2Q23</td> <td>11.9</td> <td>3Q23</td> <td>11.5</td> ### Others (YoY 28.2% ▼ / QoQ 20.5% ▼) (Billion Won) <th>Quarter</th> <th>Revenue (Billion Won)</th> <td>3Q22</td> <td>96.6</td> <td>4Q22</td> <td>73.2</td> <td>1Q23</td> <td>81.5</td> <td>2Q23</td> <td>87.3</td> <td>3Q23</td> <td>69.4</td>

# OPEX Breakdown ## 3Q Operating Expense reported 242.1 bn Won YoY 8.0% ▼ / QoQ 1.0% ▼ - Labor Cost : Implement management efficiency measures on businesses with declining profitability - Commissions : Increase in developer RS following the release of newly published titles - Marketing Cost : Strategic target marketing and sustained marketing efficiency from legacy titles - Others (Amortization included): Decrease in COGS on the back of non-game revenue decline <thead> <th>Billion Won</th> <th>3Q22</th> <th>4Q22</th> <th>1Q23</th> <th>2Q23</th> <th>3Q23</th> <th>YoY</th> <th>QoQ</th> </thead> <tbody> <td>OPEX</td> <td>263.2</td> <td>226.7</td> <td>237.8</td> <td>244.6</td> <td>242.1</td> <td>-8.0%</td> <td>-1.0%</td> <td>Labor Costs</td> <td>48.3</td> <td>52.7</td> <td>49.4</td> <td>53.7</td> <td>51.1</td> <td>5.7%</td> <td>-4.8%</td> <td>Commissions</td> <td>110.7</td> <td>84.9</td> <td>92.4</td> <td>92.0</td> <td>104.3</td> <td>-5.8%</td> <td>13.3%</td> <td>Marketing Costs</td> <td>20.9</td> <td>15.2</td> <td>20.3</td> <td>20.6</td> <td>13.2</td> <td>-36.8%</td> <td>-35.9%</td> <td>Tangible/Intangible Amortization</td> <td>21.5</td> <td>20.8</td> <td>21.1</td> <td>21.5</td> <td>21.7</td> <td>0.8%</td> <td>0.6%</td> <td>Others</td> <td>61.7</td> <td>53.1</td> <td>54.6</td> <td>56.8</td> <td>51.9</td> <td>-15.9%</td> <td>-8.6%</td> <td>Operating Profit</td> <td>43.7</td> <td>9.0</td> <td>11.3</td> <td>26.5</td> <td>22.6</td> <td>-48.4%</td> <td>-14.8%</td> <td>Income Tax</td> <td>15.2</td> <td>-72.6</td> <td>-1.5</td> <td>9.4</td> <td>10.0</td> <td>-33.9%</td> <td>7.3%</td>