The Callisto Protocol

KRAFTON 4Q22 & FY2022 Earnings Results

The 2022 fiscal year results for KRAFTON reflect a period of strategic transition, characterized by the successful implementation of a free-to-play model for the PUBG franchise and a pivot toward diversified global game development.

• KRAFTON achieved a 2022 annual revenue of KRW 1,854.0 billion, a 1.7% year-over-year decrease, while operating profit rose 15.5% to KRW 751.6 billion.
• The company plans to release 21 new titles between 2023 and 2025, including new entries in the Subnautica series and a new extraction shooter.
• Fourth-quarter 2022 revenue grew 6.8% year-over-year, supported by the launch of The Callisto Protocol and stable PC and console performance, despite a net loss caused by non-operating impairment charges.

KRAFTON 4Q22 & FY2022 Earnings Results

KRAFTON’s 2022 fiscal year results reflect a period of strategic transition toward a free-to-play (F2P) model for its flagship PUBG PC and console titles, alongside a diversification of its development pipeline.

• KRAFTON reported 2022 annual revenue of KRW 1,854.0 billion, a 1.7% year-over-year decline, while operating profit rose 15.5% to KRW 751.6 billion.
• The transition of PUBG PC and console titles to a free-to-play model drove the addition of 45 million new registered users.
• Console segment revenue surged by 430.2% year-over-year, significantly bolstered by new title releases and studio portfolio expansion.

KRAFTON 3Q22 Earnings Results

KRAFTON’s third-quarter 2022 earnings results reflect a strategic pivot toward strengthening its PC and console segments while navigating headwinds in the mobile gaming market.

• KRAFTON reported 3Q22 revenue of KRW 433.8 billion, a 2.4% quarter-over-quarter increase driven by record-high PC revenue following the transition of PUBG: Battlegrounds to a free-to-play model.
• Net profit rose 16.7% quarter-over-quarter to KRW 226.4 billion, despite a decline in operating profit to KRW 140.3 billion.
• Mobile revenue fell 12% due to the end of pandemic-related growth and regulatory challenges impacting Battlegrounds Mobile India.

KRAFTON 1Q22 Investor Presentation

KRAFTON’s first-quarter 2022 investor presentation outlines a strategic transition toward a diversified, technology-driven gaming ecosystem while maintaining the core performance of its flagship PUBG intellectual property.

KRAFTON 4Q21 Investor Presentation

KRAFTON’s fourth-quarter 2021 investor presentation outlines the company’s financial performance and strategic roadmap for 2022 and beyond.

KRAFTON 4Q21 & FY2021 Earnings Results

The 2021 fiscal year results for KRAFTON, Inc. reflect a period of strategic transition and expansion, characterized by a 12.9% year-over-year revenue increase to KRW 1,886.3 billion.

• KRAFTON reported a 12.9% year-over-year revenue increase to KRW 1,886.3 billion for fiscal year 2021, though operating profit fell 17.3% to KRW 639.6 billion.
• Operating costs surged by 39.1% in 2021, primarily due to increased personnel, marketing, and share-based payment expenses.
• The company is transitioning its core PUBG: BATTLEGROUNDS title to a free-to-play model and has expanded its studio portfolio through the acquisition of Unknown Worlds.