NEXON Q2 2020 Investor Presentation

Nexon achieved record financial performance during the second quarter of 2020, characterized by a 20 percent year-over-year revenue increase and a substantial 106 percent surge in operating income. This growth was primarily fueled by the successful expansion of core franchises onto mobile platforms, most notably the global launch of KartRider Rush+, alongside the enduring popularity of established titles such as MapleStory and Kingdom of the Winds. These results underscore the efficacy of a long-term strategy that leverages multi-decade intellectual properties to anchor a robust, immersive online gaming ecosystem.

Despite these gains, the company faced specific regional headwinds, particularly in China, where performance fell short of projections due to difficulties in re-engaging the player base for the flagship title Dungeon&Fighter. Nevertheless, the company maintains a strong financial foundation, reporting a net income of ¥19.76 billion for the quarter and holding ¥305.5 billion in cash and cash equivalents. Operating cash flows for the first half of the year reached ¥65.59 billion, providing the necessary liquidity to sustain ongoing operations and future development.

Looking ahead, the company remains committed to a growth trajectory centered on cross-platform expansion. By migrating core intellectual properties across PC, mobile, and console environments while simultaneously investing in new, unique titles, the organization aims to mitigate regional volatility and capitalize on its existing player base. Projections for the third quarter of 2020 remain optimistic, as the company continues to prioritize the longevity of its core franchises as the primary driver of sustained global revenue and operational stability.