Neowiz

Neowiz’s second-quarter 2026 earnings release outlines the company’s financial performance and strategic shift toward global intellectual property expansion. For the first half of 2026, the company reported revenue of KRW 203.5 billion, representing a 2.2% year-over-year increase, while net profit rose significantly by 79.4% to KRW 33.9 billion, driven by financial asset valuation and foreign exchange gains. Operating profit for the same period declined by 48.3% to KRW 14.9 billion, attributed to higher variable costs associated with mobile revenue growth.

In the second quarter of 2026 specifically, revenue reached KRW 102.1 billion, supported by the third anniversary of BrownDust2 and successful collaborations within the Cats & Soup franchise. While PC and console revenue experienced a 35.1% year-over-year decline, mobile revenue grew by 20.7%, reflecting a strategic mix shift. Operating expenses remained relatively stable at KRW 94.1 billion, with increased marketing expenditures for new title launches offset by lower labor costs following the conclusion of share-based compensation cycles.

The company is currently executing a multi-phase growth strategy focused on serializing high-potential titles and expanding its global footprint. Upcoming pipeline developments include the release of Kingdom 2 and Goodbye Seoul: Itaewon, alongside several projects in production, such as a sequel to Lies of P and various narrative-based RPGs. To support these initiatives, Neowiz appointed a new co-CEO with a development background and reorganized its internal structure to prioritize global publishing and operational efficiency. Shareholder returns remain a priority, with a KRW 5.0 billion treasury share buyback approved for the 2026 fiscal year, consistent with the company’s three-year capital return policy.

The report presents NEOWIZ’s financial performance for the third quarter of 2024, emphasizing revenue composition, expense trends, and strategic initiatives. Overall revenue reached KRW 93.1 billion, marking a 20.7 % year‑over‑year decline yet a 7.0 % quarter‑over‑quarter increase. PC/Console sales fell sharply, down 33.1 % YoY to KRW 36.9 billion, while mobile revenue grew 19.7 % QoQ to KRW 45.7 billion, driven by seasonal events and the launch of “The Legend of Heroes: Gagharv Trilogy.” Non‑gaming income contributed KRW 10.6 billion, up 11.7 % YoY but down 9.2 % QoQ due to reduced advertising earnings from subsidiary TNK FACTORY.

Operating expenses totaled KRW 86.7 billion, a 10.9 % YoY reduction but a 5.4 % rise QoQ. Labor costs fell modestly, whereas variable costs rose 14.3 % QoQ because of higher platform commissions on new mobile titles, and marketing outlays increased 26.0 % QoQ to support the trilogy launch. The company recorded an operating profit of KRW 6.5 billion but posted a net loss of KRW 1.4 billion, reflecting elevated financial expenses and a modest decline in other income.

Geographically, revenue was split roughly 40 % domestic and 60 % international, with the strongest contributions from Asian and European markets. The quarter’s financial statements cover the period ending November 2024 and are prepared under consolidated K‑IFRS standards. A notable strategic development was the signing of a global publishing agreement with Polish studio Zakazane, aimed at expanding NEOWIZ’s PC/Console portfolio and strengthening narrative‑driven IP. The data set draws from internal accounting records and reflects the company’s consolidated financial position, assets, liabilities, and equity as of the reporting date.