Nexon Earnings for First Quarter 2020

Nexon’s financial results for the first quarter of 2020 demonstrate a resilient business model capable of maintaining growth despite the global economic volatility caused by the COVID-19 pandemic. The company reported quarterly revenues of ¥82.8 billion, exceeding internal expectations, primarily driven by the strong performance of major franchises in Korea. Operating income reached ¥41.5 billion, while net income totaled ¥49.9 billion, bolstered by significant foreign exchange gains. The company maintained a robust liquidity position, ending the quarter with ¥518 billion in cash.

The primary growth drivers were record-breaking performances in the Korean market, where the MapleStory franchise saw year-over-year revenue growth of 132% on PC and 184% on mobile. Other key titles, including Dungeon&Fighter, SuddenAttack, and FIFA ONLINE 4, also delivered substantial year-over-year revenue increases. While operations in China were impacted by temporary PC café closures due to the pandemic, revenue remained within the projected range, and the company anticipates a recovery as these venues resume business.

Nexon continues to execute a strategy focused on streamlining development and prioritizing major franchises across multiple platforms. Production schedules remained largely unaffected by the pandemic, as the company successfully transitioned to remote work environments. Looking ahead, the company is preparing for several strategic launches, including the mobile version of Dungeon&Fighter in China and the introduction of FIFA MOBILE in Korea. Management remains optimistic about the second quarter of 2020, projecting revenue growth between 10% and 19% year-over-year, supported by a diversified portfolio of over 60 live games operating across more than 190 countries.