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Nexon’s Record-Breaking Q1 2019 Fueled by Innovation, Longevity of Popular Nexon IP, and Live Services

Nexon's Record-Breaking Q1 2019 Fueled by Innovation, Longevity of Popular Nexon IP, and Live Services

Dungeon&Fighter, MapleStory, and FIFA ONLINE 4 Continue to Drive Record-Breaking Revenue

 Live Support and Mobile Versions of Established Properties Extend Growth

TOKYO – NEXON Co., Ltd. (“Nexon”) (3659.TO), a global leader in online games, today announced the financial results for its first quarter ending March 31, 2019.                                                                                                                                  

“Nexon’s strong start to 2019 is a result of our tireless innovation in live services and game development, as well as long-term focus on our wholly-owned intellectual properties,” said Owen Mahoney, president and CEO of Nexon. “We have continued growing our business around the globe through outstanding live operations and development. Dungeon&Fighter has beat expectations in China following its impressive live service performance in the quarter, while MapleStory has once again recorded double-digit year-over-year revenue growth in Korea. Additionally, following the successful service transition of FIFA ONLINE 4, we have seen increasingly high engagement in the title with combined PC and mobile revenues close to FIFA Online 31 in Q1 2017, prior to the service transition.”

 

“Nexon continues to break industry records for longevity in game franchises,” added Mahoney. “One franchise, KartRider has exceeded 380 million registered players, and after 15 years of availability in Korea, has generated an over 3x year-over-year revenue increase. Crazy Arcade BnB, released in Korea 18 years ago, was recently released globally on mobile and has surpassed 10 million downloads in less than a month.”

First Quarter 2019 Highlights:

  • Revenues ¥93.1 billion, up 3% year-over-year as-reported, up 7% constant currency – exceeded outlook
  • Stronger-than-expected performances of Dungeon&Fighter in China, MapleStoryFIFA ONLINE 41, and new mobile game Lyn: The Lightbringer in Korea
  • Operating income ¥52.6 billion – exceeded outlook. Revenue outperformance while recording a ¥2.9 billion impairment loss primarily on prepaid royalties
  • Net income ¥53.4 billion – exceeded outlook. Operating income outperformance as well as a ¥6.3 billion FX gain primarily on U.S. dollar-denominated cash deposits

Second Quarter 2019 Outlook:

  • Expect revenues in the range of ¥52.1 to ¥56.7 billion, up 9% to 19% year-over-year on an as-reported basis, up 12% to 22% year-over-year on a constant currency2 basis
  • Expect operating income of ¥12.6 to ¥16.3 billion
  • Expect net income3 of ¥14.6 to ¥17.8 billion

Conference Call and Replay:

Nexon management will host a conference call for investors, analysts and the media to discuss the company’s financial results and outlook. It will consist of brief remarks made by the management team followed by a Q&A session. Q&A session will be conducted with consecutive interpretation.

■  Conference Call Replay

A replay of the call will be available about 30 minutes after the conclusion of the conference call and can be accessed until May 17, 2019. Webcast replay and the transcript of the call will be available within several days on Nexon’s Investor Relations website.

Conference Call Replay (English)

Replay Telephone Number:            +81-3-6630-2251 (Japan)

Reference Number:                        512467045#

 

Conference Call Replay (Japanese)

Replay Telephone Number:            +81-3-6630-2236 (Japan)

Reference Number:                        512467042#

For additional information regarding Nexon’s first quarter financial results, please visit the Investor Relations section of Nexon’s website at http://ir.nexon.co.jp/en/.

Related: MapleStory MMORPG Celebrates 14th Anniversary with Major Events

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I have always enjoyed playing video games and am a programming team lead for a video game company. I co-founded Gaming Cypher because I enjoy the gaming community and would like to provide the best news service around. Feel free to ask me any questions and I will make sure to get back to you quickly.

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