Nexon Consolidated Financial Results for the Three Months Ended March 31, 2025

Key insights

6 takeaways

01
Nexon reported a 5.1% year-over-year revenue increase to 113.9 billion yen for Q1 2025, driven by core franchises like Dungeon&Fighter and MapleStory alongside the launch of MABINOGI MOBILE.See it on page 5
02
Operating profit grew by 42.8% to 41.6 billion yen, reflecting improved operational efficiency and strong market penetration in South Korea and China.See it on page 6
03
Net profit attributable to owners of the parent declined by 26.9% to 26.3 billion yen, primarily due to unfavorable foreign exchange fluctuations compared to the previous year.See it on page 11
04
Nexon projects a year-over-year decline in both revenue and operating profit for Q2 2025, largely due to difficult comparisons against the high-performing launch of Dungeon&Fighter Mobile in China during Q2 2024.See it on page 5
05
The company is shifting its strategic focus toward mobile segment expansion to offset a marginal contraction in the PC online sector.See it on page 19
06
Nexon maintains a stable long-term outlook by leveraging its existing intellectual property and a consistent pipeline of new titles to navigate ongoing foreign exchange headwinds and seasonal market fluctuations.See it on page 5

Summary

Nexon achieved a robust financial performance during the first quarter of 2025, characterized by a 5.1 percent year-over-year revenue increase to 113.9 billion yen. This growth was underpinned by the enduring strength of core franchises such as Dungeon&Fighter and MapleStory, complemented by the successful introduction of MABINOGI MOBILE. Operating profit surged by 42.8 percent to 41.6 billion yen, reflecting improved operational efficiency and strong market penetration across South Korea and China. However, net profit attributable to owners of the parent fell by 26.9 percent to 26.3 billion yen, a decline primarily attributed to unfavorable foreign exchange fluctuations compared to the same period in the previous year.

The company’s strategic focus remains on balancing established PC online titles with an expanding mobile segment, which served as a primary driver for recent revenue gains. While the PC online sector experienced a marginal contraction, the overall financial trajectory remains positive, supported by a solid balance sheet and a consistent pipeline of new title development. Geographic performance remains concentrated in key Asian markets, where the company continues to leverage its intellectual property to maintain market share despite shifting consumer preferences and platform transitions.

Looking ahead to the second quarter of 2025, the company anticipates a year-over-year decline in both revenue and operating profit. This projection is largely a result of difficult comparative benchmarks established by the high-performing launch of Dungeon&Fighter Mobile in China during the second quarter of 2024. Furthermore, persistent foreign exchange headwinds and anticipated seasonal fluctuations are expected to temper short-term growth. Despite these challenges, the company maintains a stable outlook, relying on the continued expansion of its flagship franchises and the strategic integration of new mobile offerings to navigate the remainder of the fiscal year.