[Comprehensive] NC, Lineage · Marketing Efficiency in the third quarter Earthing Surprise
[ Moon Byung-soo reporter] NC soft has accepted a report card that exceeds the third quarter of the market forecast thanks to the solid performance and marketing cost efficiency of the flagship games such as ‘Lineage W’. The company plans to continue its earnings through various new works, starting with the anticipated work, Throne & Riverbed (TL).
On the 11th, NC soft (CEO Kim Taejon) announced that it recorded sales of KRW 64.2 billion, operating profit of KRW 144.4 billion, and net profit of KRW 182.1 billion in the third quarter of 2022. This is a significant exceeding securities price outlook that sales will record sales of W572.7bn, operating profit of W14.2bn, and net profit of W92.2bn.
Sales and operating profit grew 21% and 50%, respectively, and net profit also increased 83%. Revenue decreased by 4% Qom, but operating profit and net profit increased 17% and 53%, respectively.
Regional sales amounted to 375.4 billion won in Korea, 140.8 billion won in Asia, and 44.8 billion won in North America and Europe. Royalty sales amounted to W43.3bn. North America and Europe grew 62% and Asia in Asia, compared to the same period last year. Overseas and royalty sales accounted for 38%of total sales.
Mobile game sales decreased by 8% Qom, up 32% YoY to W433.3bn. By product, ‘Lineage W’ 1971 billion won, ‘Lineage M’ 146.5 billion won, ‘Lineage 2M’ 85.6 billion won, and ‘Blade & Soul 2’ is 8.1 billion won. PC online game sales amounted to ‘Lineage’ 25.5 billion won, Lineage 2 23.4 billion won, ‘Ion’ 17.5 billion won, Blade & Soul 5.9 billion won, and ‘Guild Wars 2’ 24.8 billion won.
Lineage W, which accounted for 33%of total sales in the third quarter, continued its stable sales flow with updates and global IP affiliates. Lineage M has increased by 4% Qom to record sales growth for three consecutive quarters. The 10th anniversary of the launch grew 29% year-on-year, and Ion increased 23% Qom due to the classic server update effect.
Operating costs fell 9% Qom. Marketing costs recorded 35% Qom and 28% year-on-year to 38.9 billion won through efficiency. Labor costs also fell 8% Qom.
NC soft is developing a new PC and console TL with the goal of launching the first half of 2023. In particular, external publishers who joined hands to target the global market will soon be announced. The revenue model (BM) repeatedly emphasized that universities in the global market, unlike the existing Lineage.
Hong non-Jew, Chief Financial Officer of NC soft, said, We have noticed the universality of the MMORPG genre serviced in Korea and Asia, so it will be lower than the previous earnings trend. I expect sales to generate.
Carnival with existing games such as Lineage is also expected to be limited. Hong said, TL is a PC-console game and BM is different. I think there is less likely a carnival.
NC soft plans to introduce new works of various genres in 2023, including TL, puzzles, collectible RPGs, and blank field action. On the 14th, the new root shooter ‘ALL’ will be unveiled for the first time on the official YouTube.
Lee Jungkook, head of IR, said, Many companies are developing shooting genres. Shooting will be a big market if a model that produces sales by living this genre with a big genre in consoles and PC games will work. I think that Korean game companies will take a strategically takes way to change the shooting genre that the powerful people are serving in the console.
Following TL, there was also an explanation of ‘Ion 2’, which is considered as a key anticipation of NC soft. Lee Jungkook said, There is a lot of time until the release, so I can’t share specific details, but Ion 2 is the goal of the world’s simultaneous launch with the next-generation mobile-PC multi-platform MMORPG based on Unreal Engine 5.
Ten years ago, ‘Ion’ has achieved more than 100 billion won in sales in North America and Europe, and the PCUS of MMORPGs in North America and Europe are growing. Ion 2 is developing in line with changes in the market environment.