On May 11, Neowiz announced that its consolidated revenue for the first quarter of 2026 reached 101.4 billion won, a 14% increase year-on-year. However, operating profit dropped to 7 billion won, a decrease of 32% from the previous year. The net profit for the period was 15.5 billion won.
The first quarter saw stable revenue growth driven by the success of key live IPs.
Revenue from the PC and console gaming segment was 39.5 billion won, up 9% year-on-year. However, it fell 14% compared to the previous quarter due to a decline in initial sales effects from 'Shape of Dreams' and 'P's Lie: Prelude.' 'P's Lie' maintained sales momentum following a global discount event in March, while 'Shape of Dreams' continued to perform well after surpassing cumulative sales of 1 million copies.
Mobile game revenue reached 51.4 billion won, a 13% increase from the previous year.
'Brown Dust 2' saw some revenue from its 2.5th anniversary event in the previous quarter carried over into the first quarter. Additionally, a successful live event and special skin promotion held in March helped maintain traffic. The web board game segment benefited from regulatory easing in February, leading to a rebound in average revenue per paying user (ARPPU).
Other revenue totaled 10.5 billion won, marking a 45% increase year-on-year.
Despite the increase in revenue across Neowiz's PC, console, and mobile gaming segments, operating profit decreased by 32% year-on-year and 48% compared to the previous quarter. The decline in operating profit was attributed to increased variable costs associated with higher mobile game revenue. Neowiz explained that the growth in revenue from mobile games like 'Brown Dust 2' and web board games resulted in higher platform fees and revenue sharing costs.
Looking ahead to the second quarter, Neowiz plans to continue its growth trajectory with global events and fan activities centered around key IPs such as 'Brown Dust 2' and 'DJ Max Respect V.' The official sequel to 'Cat and Soup,' which has surpassed 80 million global downloads, was launched globally on April 28.
New projects have also entered full development stages. According to Neowiz, the next installment of 'P's Lie' is currently focused on enhancing the overall gameplay experience and quality. Development is ongoing for 'Project CF,' 'Project Rubicon,' and 'Project Windy.' The mobile game 'Kingdom 2' is in its final stages of development, aiming for an early release in the second half of the year.
Additionally, the publishing lineup includes the upcoming release of 'Hello Seoul: Itaewon Edition' in the second half of the year, along with new titles from overseas developers Wolf Eye Studio and Zakazane.
Meanwhile, in accordance with its mid-to-long-term shareholder return policy announced in January, Neowiz executed a shareholder return of approximately 12 billion won, equivalent to 20% of last year's consolidated operating profit of 60 billion won. This included cash dividends of about 6 billion won and the buyback and cancellation of treasury shares worth approximately 6 billion won.
* This article has been translated by AI.
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