Netmarble 4Q 2024 and FY 2024 Earnings Results

Key insights

6 takeaways

01
Netmarble achieved KRW 2,663.8 billion in annual revenue for 2024, a 6.5% increase over the previous year, while annual EBITDA surged 216.5% to KRW 370.0 billion.See it on page 3
02
The company recorded a net loss of KRW 166.7 billion in 4Q 2024, driven primarily by the recognition of impairment losses on intangible assets.See it on page 5
03
Netmarble maintains a strong global presence with 83% of its revenue generated outside of Korea, led by North America at 46%.See it on page 7
04
Operational efficiency improved significantly throughout 2024, with the annual EBITDA margin rising 9.2 percentage points to 13.9% due to disciplined cost management.See it on page 3
05
The company's revenue is balanced across genres, comprising 40% casual games, 39% RPGs, and 13% MMORPGs, with key contributions from Marvel Contest of Champions, Jackpot World, and Solo Leveling: ARISE.See it on page 6
06
Netmarble plans to launch nine new titles in 2025, including RF Online Next, Game of Thrones: Kingsroad, and The Seven Deadly Sins: Origin, across mobile, PC, and console platforms.See it on page 9

Summary

Netmarble’s financial performance for the 2024 fiscal year reflects a period of revenue growth and improved operational efficiency, despite significant bottom-line volatility in the fourth quarter. The company reported annual revenue of KRW 2,663.8 billion, representing a 6.5% increase over the previous year. Annual EBITDA reached KRW 370.0 billion, a substantial 216.5% year-over-year increase, which drove the EBITDA margin up by 9.2 percentage points to 13.9%. These gains were supported by disciplined cost management across labor and commission structures.

In the fourth quarter of 2024, revenue remained relatively stable at KRW 649.0 billion, showing a slight 0.3% increase quarter-over-quarter but a 2.5% decrease year-over-year. While EBITDA for the quarter reached KRW 73.4 billion, it declined 28.6% from the previous quarter due to increased marketing expenditures associated with new title launches. The company recorded a net loss of KRW 166.7 billion for the fourth quarter, primarily attributed to the recognition of impairment losses on intangible assets.

The company maintains a highly diversified global footprint, with 83% of its revenue generated outside of Korea, led by North America at 46%. Its game portfolio is similarly balanced across genres, consisting of 40% casual games, 39% RPGs, and 13% MMORPGs. Key revenue contributors include titles such as Marvel Contest of Champions, Jackpot World, and Solo Leveling: ARISE. Looking ahead, the company has outlined a robust pipeline for 2025, planning the release of nine new titles, including RF Online Next, Game of Thrones: Kingsroad, and The Seven Deadly Sins: Origin, across mobile, PC, and console platforms.