Wemade NMWEMIX 3Q FY2024 Earnings Results

Key insights

6 takeaways

01
Overseas revenue made up 78% of 3Q'24 revenue, rising 43% QoQ to KRW 166,777 million.See it on page 6
02
Operating expenses fell 17% QoQ and 15% YoY to KRW 162,572 million in 3Q'24.See it on page 7
03
Operating income turned positive at KRW 51,788 million in 3Q'24, against a loss of KRW 24,140 million in 2Q'24.See it on page 4
04
License revenue reached KRW 83,594 million in 3Q'24, up from KRW 1,700 million in 2Q'24, driven by recognition of sales from the MIR IP China License Agreement.See it on page 5
05
NIGHT CROWS Global achieved cumulative sales of KRW 200 billion since its launch on 12 March 2024.See it on page 5
06
Communication costs, including server fees, declined 38% QoQ to KRW 7,590 million, which the company attributes to efficient server operation.See it on page 7

Summary

Wemade Co., Ltd. released sales performance for its consolidated group (K-IFRS basis) for 3Q FY2024, provided as a reference for investors before independent auditor review, so the figures may change. Revenue for 3Q'24 was KRW 214,361 million, up 25% QoQ and down 9% YoY from KRW 235,544 million in 3Q'23. The company attributes the QoQ increase to higher overseas License sales. Operating expenses were KRW 162,572 million, down 17% QoQ and 15% YoY, which the company links to cost optimization and reduced revenue-linked expenses. Operating income was KRW 51,788 million, compared with a loss of KRW 24,140 million in 2Q'24. Net income attributable to the controlling interest was KRW 41,937 million, up from KRW 4,114 million in 2Q'24.

By segment, Game revenue was KRW 127,989 million, License KRW 83,594 million, and Blockchain KRW 1,095 million in 3Q'24. License revenue rose sharply QoQ due to recognition of sales from the MIR IP China License Agreement. Domestic revenue was KRW 47,583 million (22% of total) and overseas revenue KRW 166,777 million (78%). NIGHT CROWS Global reached cumulative sales of KRW 200 billion since its launch on 12 March 2024.

Overall, the consolidated balance sheet showed total assets of KRW 13,676 hundred million at 3Q'24, with total liabilities of KRW 9,868 hundred million.