[Click eStock] NC Reflects Anticipation for TL Launch Early Next Year

NH Investment & Securities Report

[Asia Economy Reporter Minji Lee] NH Investment & Securities maintained a buy rating and a target price of 640,000 KRW for NCSOFT on the 28th. This is based on the expectation that additional information about TL (Throne and Liberty), which is being prepared for release in the first half of the year, will be disclosed early next year and act as a momentum for the stock price.

TL connects previously separated dungeon spaces into one, breaking the boundaries between different floors and providing content that changes according to weather and environment. It features a pre-class system where two types of weapon combinations are possible, allowing players to switch weapons according to the situation, which changes the character’s role. It offers a capture point that can be contested in PvP and guild wars in designated areas, dedicated UI and UX suitable for PC and consoles, and various character designs, reflecting many preferences of recent MMORPG users.

Jaemin Ahn, a researcher at NH Investment & Securities, said, “With the slogan ‘Play for ALL,’ the company’s intention is to create an MMORPG with a lighter business model than the existing Lineage series, aiming for success not only in Korea but also globally.”

Fourth-quarter earnings are expected to be weak. Sales are projected at 548.2 billion KRW, and operating profit at 72.7 billion KRW, down 27% and 33% respectively compared to the same period last year. Operating profit is expected to fall short of the market estimate of 88.2 billion KRW.

Researcher Ahn explained, “A decline in revenue from Lineage M is inevitable, and Lineage W, which was released a year ago, is also expected to see a drop in sales. Additionally, various operating expenses such as a special incentive of 1 million KRW for all employees, costs related to the baseball team’s FA contracts, and marketing expenses are increasing, which negatively impacts operating profit.”

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