Kakao Games Posts First Earnings Since IPO... Record Quarterly Revenue of 150.5 Billion Won (Comprehensive)

Namgoong Hoon (left), Jo Gye-hyun (right), Co-CEOs of Kakao Games

[Asia Economy Reporter Buaeri] Kakao Games announced on the 4th that it recorded sales of 150.5 billion KRW and an operating profit of 21.2 billion KRW in the third quarter.

"Best Quarterly Performance Ever"

Kakao Games achieved its highest quarterly performance since its listing in its first earnings announcement. Sales increased by 54% year-on-year, and operating profit rose by 178% compared to the previous year.

The mobile game segment recorded sales of 89.5 billion KRW. In particular, 'Guardian Tales,' officially launched in over 230 countries worldwide including South Korea in July, drove strong performance. Guardian Tales is the first game through which Kakao Games has fully launched mobile global services, surpassing a total accumulated user base of 5.5 million.

The PC online game segment recorded sales of 43.9 billion KRW. Other sales, consisting of subsidiary Kakao VX and new business sales, recorded 17.1 billion KRW in sales due to increased golf demand.

Kakao Games is preparing to launch the massively multiplayer online role-playing game (MMORPG) 'Elyon' on the 10th of next month. Elyon is a major PC online title developed by Krafton and serviced by Kakao Games. Next year, they also plan to release the mobile MMORPG 'Odin.'

In particular, the company explained that Elyon will adopt a 'Buy to Play' model where users purchase a 9,900 KRW access pass. Kim Ki-hong, CFO (Chief Financial Officer) of Kakao Games, stated, "We will provide a comfortable and stable gaming environment for genuine users."

Regarding Elyon, CFO Kim said, "After the PC version release, we are also considering supporting cloud services," adding, "Since we hold the right of first negotiation for the mobile version, we plan to proceed accordingly once Krafton announces the development schedule."

Kakao Games plans to reveal detailed information about Odin at the international game exhibition 'G-Star,' which opens on the 19th.

Kakao Games said, "We are continuously expanding each area by combining a powerful platform spanning PC online and mobile, solid publishing capabilities, and in-house development power," adding, "We are building strong business capabilities by securing new growth engines through new business areas and the development of golf and virtual/augmented reality (VR/AR) content."

Namgoong Hoon (left), Jo Gye-hyun (right), Co-CEOs of Kakao Games

Namgoong Hoon: "Starting Our Voyage as a Listed Company... Growing into a Global Game Company"

Namgoong Hoon, CEO of Kakao Games, expressed his determination as a listed company during the conference call. He said, "The third quarter of 2020 is an important time to start a bigger and broader voyage with greater social responsibility as a listed company," adding, "We will build the company into one with a stable and long-term profit structure."

He continued, "It is a meaningful year in which Kakao Games, once a latecomer, has established a value chain of platform, publishing, and development," explaining, "We are continuously expanding."

CEO Namgoong emphasized, "The members of Kakao Games dream of a world where games become everyday life and everyday life becomes games," adding, "We will actively implement diverse strategies to successfully open the great age of exploration in 2021 and grow into a global game company."

This content was produced with the assistance of AI translation services.