Nexon FY 2018 Financial Results

Key insights

7 takeaways

01
Nexon achieved record-breaking fiscal year 2018 results with ¥253.7 billion in revenue, an 8% year-over-year increase, alongside ¥98.4 billion in operating income and ¥107.7 billion in net income.See it on page 2
02
Flagship titles drove performance, with Dungeon&Fighter achieving double-digit growth in China for the third consecutive year and MapleStory recording a 67% revenue increase in Korea.See it on page 2
03
The company experienced a 13% year-over-year revenue decline in the fourth quarter, primarily due to underperforming new mobile titles in Japan and Korea.See it on page 2
04
Financial results included a ¥3.0 billion impairment loss related to NAT Games during the fourth quarter.See it on page 2
05
Nexon is prioritizing long-term growth by investing in AI, immersive mobile technologies, and new iterations of the Dungeon&Fighter franchise.See it on page 1
06
Strategic expansion efforts in 2018 included the service transition of FIFA ONLINE 4 in Korea and the launch of mobile titles such as MapleStory M and Darkness Rises.See it on page 2
07
Future strategy focuses on leveraging wholly-owned IP and strategic partnerships, including a collaboration with Embark Studios, to maintain market position.See it on page 2

Summary

Nexon achieved record-breaking financial performance in fiscal year 2018, driven by the sustained success of its flagship PC and mobile franchises across global markets. The company reported annual revenues of ¥253.7 billion, representing an 8% year-over-year increase, alongside operating income of ¥98.4 billion and net income of ¥107.7 billion. These results reflect the strength of core titles such as Dungeon&Fighter, which maintained double-digit growth in China for the third consecutive year, and MapleStory, which saw a 67% revenue increase in Korea.

The company’s growth strategy centers on leveraging established intellectual property to fund investments in new content and emerging technologies. Key operational highlights include the successful service transition of FIFA ONLINE 4 in Korea and the expansion of the mobile portfolio through titles like MapleStory M and Darkness Rises. Despite a fourth-quarter revenue decline of 13% year-over-year—attributed to underperforming new mobile titles in Japan and Korea—the company remains focused on long-term development. This includes integrating artificial intelligence and immersive mobile technologies, as well as developing new iterations of the Dungeon&Fighter franchise for mobile and PC platforms.

Nexon’s 2018 performance underscores the effectiveness of its live-service model, which sustains player engagement over long cycles. While the fourth quarter was impacted by a ¥3.0 billion impairment loss related to NAT Games, the overall fiscal year demonstrated robust health across both PC and mobile segments. Looking forward, the company continues to prioritize its wholly-owned IP and strategic partnerships, such as its collaboration with Embark Studios, to maintain its competitive position as a global leader in the online gaming industry.