KRAFTON 1Q22 Investor Presentation

KRAFTON’s first-quarter 2022 investor presentation outlines a strategic transition toward a diversified, technology-driven gaming ecosystem while maintaining the core performance of its flagship PUBG intellectual property. The company’s primary thesis centers on leveraging its production capabilities to expand beyond traditional gaming into immersive virtual environments, Web 3.0, and deep learning applications. By fostering a culture of small-scale, rapid experimentation through internal programs, the company aims to sustain long-term growth and audience engagement.

Financial performance for the first quarter of 2022 reflects strong recovery and growth, with revenue reaching KRW 523.0 billion, a 13.5% increase year-over-year and a 17.8% increase quarter-over-quarter. Operating profit saw significant gains, rising 37.3% year-over-year to KRW 311.9 billion, supported by improved operational efficiency and a reduction in operating costs. Net profit reached KRW 245.2 billion, representing a 26.4% year-over-year increase. These results were driven by the continued success of the PUBG franchise across PC, console, and mobile platforms, including localized strategies for the Indian market and the transition of PUBG: Battlegrounds to a free-to-play model.

The company’s strategic scope encompasses a global pipeline of upcoming titles, including The Callisto Protocol and various projects spanning genres from open-world shooters to turn-based strategy. Beyond game development, KRAFTON is heavily investing in deep learning, virtual human technology, and Web 3.0 ecosystems. These initiatives are designed to create scalable, creator-driven platforms that utilize Unreal Engine and NFT integration to facilitate new forms of interactive content. This multi-faceted approach aims to solidify the company’s position as a leader in the evolution of gaming as a primary global medium.