NCSoft FY2025 Q4 Earnings Release

Q4 2025 Earnings Release
2026. 2. 10 NCSOFT IR

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The financial results for Q4 2025 have been prepared on an unaudited basis and may be
subject to change during an independent auditing process.
Please note that NCSOFT will not be responsible for individual investment decisions based on
this material.
※ Key Consolidated Subsidiaries (based on K -IFRS):
NCSOFT Corporation(HQ, KOR), NC West Holdings(100%, USA),
NC America(100%, USA), NC Europe(100%, GBR), NC Japan(100%, JPN),
NC Taiwan(100%, TWN), NCSOFT Service(100%, KOR), NC Dinos(100%, KOR),
NC ITS(100%, KOR), NCSOFT Asia Holdings(100%, SG), NC IDS(100%, KOR),
NC QA(100%, KOR), FirstSpark Games Co., Ltd.(100%, KOR),
BigFire Games Co., Ltd.(100%, KOR), Ludius Games Co., Ltd.(100%, KOR),
NC AI Co., Ltd.(100%, KOR)

Disclaimer

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Table of Contents
I. Consolidated Earnings
1. Financial Highlights
2. Revenue Breakdown
3. Cost Breakdown
II. Appendix
4. Consolidated Financial Statements

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(129,491)
5,220 15,079
(7,467)
3,247
4Q 24 1Q 25 2Q 25 3Q 25 4Q 25
Operating Income
TTP QoQ
TTP YoY
↑ 12% QoQ
↓ 1% YoY
Quarterly Performance
(Unit : KRW MN)
409,407 360,278 382,393 360,036 404,218
4Q 24 1Q 25 2Q 25 3Q 25 4Q 25
Revenue
TTR QoQ
N/A YoY
↓ 94 % QoQ
TTP YoY
(10,334)
31,252
(33,287)
28,248
4Q 24 1Q 25 2Q 25 3Q 25 4Q 25
Pre -tax income
435,145
Q4 revenue was KRW 404.2 billion, up 12% QoQ and down 1 % YoY
Operating income was KRW 3.2 billion, turning profitable
Pre -tax income came in at KRW 28.2 billion with a net loss of KRW 1.5 billion, reflecting the absence of prior -quarter one -time gain from the
real estate sale and reduced impact from FX -related income
(7,588)
37,507
(35,953) (1,493)
4Q 24 1Q 25 2Q 25 3Q 25 4Q 25
Net Income
347,360
1. Financial Highlights (Quarterly)

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137,284
206,228 213,914
(109,215)
120,908 94,116
16,078
461,358
347,422
Revenue Operating Income Pre-tax Income Net Income
2023 2024 2025
FY25 revenue posted KRW 1,506.9 billion (YoY -5%) and operating income was KRW 16.1 billion (TTP YoY)
Pre -tax income totaled KRW 461.4 billion (YoY + 282%) and net income closed at KRW 347.4 billion (YoY +269%),
driven by the one -time real estate sale reflected in 2025
1. Financial Highlights (Yearly)
3-Year Performance
(Unit : KRW MN)
TTP YoY
↓5% YoY ↑ 282% YoY
↑ 269% YoY
* Operating Income excluding one -time severance payments amounted to KRW 36.9 billion
1,779,833 1,578,123 1,506,925

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Q4 mobile games revenue recorded KRW 178.1 billion, down 9% QoQ, following the initial surge from new server launches and reg ion al
expansions, representing 44% of total revenue
PC online games revenue recorded KRW 168.2 billion, up 92% QoQ and 80% YoY, driven by the successful launch of Aion 2 and
strong sales from the Guild Wars 2 expansion, representing 42% of total revenue
2. Quarterly Revenue Breakdown (By Game)
* Not including other mobile games * Not including other PC online games
Mobile Games
(Unit : KRW MN )
PC Online Games
(Unit : KRW MN )
121,770 112,710 121,111 105,339 93,817
41,263 37,876 47,987 47,170 45,315
49,086 53,097 47,640
43,410 38,938
212,119 203,683 216,738
195,919
178,070
4Q 24 1Q 25 2Q 25 3Q 25 4Q25
Lineage M Lineage 2M Lineage W
22,943 22,300 20,737 25,157 25,049
20,569 19,089 22,708 21,610 22,866
11,195 8,499 12,984 8,995 5,326 13,967 14,179 19,486 13,596 8,609
24,720 19,259 15,803 18,387 28,940
77,361
93,394 83,327 91,718 87,746
168,151
4Q 24 1Q 25 2Q 25 3Q 25 4Q 25
Lineage Lineage 2 Aion Blade & Soul Guild Wars 2 Aion 2
* Gross billings : KRW 94.1 billion

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2. Yearly Revenue Breakdown (By Game)
496,115 492,760 432,977
262,863 182,567 178,348
414,014
244,280
183,086
1,172,992
919,607
794,410
2023 2024 2025
Lineage M Lineage 2M Lineage W
96,546 98,202 93,243
87,278 85,466 86,273
67,893 50,385 35,804
24,207 25,138 55,871
84,527 92,586 82,390
77,361 360,451 351,778
430,942
2023 2024 2025
Lineage Lineage 2 Aion Blade & Soul Guild Wars 2 Aion 2
FY25 mobile games revenue totaled KRW 794.4 billion, down 14% YoY, accounting for 53% of total revenue
PC online games revenue increased 23% YoY to KRW 430.9 billion, accounting for 29% of total revenue
Mobile Games
(Unit : KRW MN)
PC Online Games
(Unit : KRW MN)
* Not including other mobile games * Not including other PC online games
* Gross billings : KRW 94.1 billion

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2. Revenue Breakdown (By Region )
Quarterly
(Unit : KRW MN)
Yearly
(Unit : KRW MN)
2023 2024 2025
Total 1,779,833 1,578,123 1,506,925
Royalties 144,457 181,999 176,381
NA/EU 135,767 134,194 124,748
Asia 349,907 227,493 277,467
Korea 1,149,702 1,034,437 928,329
1,779,833
1,578,123 1,506,925
4Q 24 1Q 25 2Q 25 3Q 25 4Q 25
Total 409,407 360,278 382,393 360,036 404,218
Royalties 73,538 44,955 42,252 46,783 42,391
NA/EU 35,366 30,897 26,242 27,950 39,659
Asia 52,025 56,108 69,098 67,529 84,732
Korea 248,479 228,318 244,802 217,774 237,436
409,407
360,278 382,393 360,036 404,218
Q4 Korea revenue increased 9% QoQ to KRW 237.4 billion, supported by the Aion 2 launch
Asia revenue grew 25% QoQ, recording KRW 84.7 billion
NA/EU revenue increased 42% QoQ to KRW 39.7 billion, mainly driven by the robust sales of Guild Wars 2 expansion

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4Q 24 1Q 25 2Q 25 3Q 25 4Q 25
Total 538,897 355,058 367,315 367,503 400,971
Variables & Others 143,236 129,389 128,427 130,724 127,937
D&A 25,931 25,147 24,725 21,397 22,281
Marketing 55,248 13,329 23,378 15,992 52,877
Labor 314,483 187,192 190,785 199,391 197,876
538,897
355,058 367,315 367,503 400,971
3. Cost Breakdown
2023 2024 2025
Total 1,642,549 1,687,339 1,490,847
Variables & Others 622,787 544,720 516,477
D&A 111,866 108,080 93,550
Marketing 85,044 128,182 105,577
Labor 822,852 906,356 775,242
1,642,549 1,687,339
1,490,847
FY25 operating expenses totaled KRW 1,490.8 billion, a 12% YoY decrease, while Q4 number increased 9% QoQ to KRW 401.0 billio n
FY25 labor costs decreased 14% YoY to KRW 775.2 billion, driven by the lower one -time severance payments,
with Q4 labor costs recorded KRW 197.9 billion, down 1% QoQ
FY25 marketing spend decreased 18% YoY to KRW 105.6 billion. Q4 marketing spend increased 231% to KRW 52.9 billion,
impacted by new title release and game show participation
Quarterly
(Unit : KRW MN )
Yearly
(Unit : KRW MN)

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FY 2024 FY 2025
Liabilities
I. Current liabilities 322,188 641,190
Borrowings – 129,966
Account payables 70,549 105,862
Lease liabilities 45,845 49,240
Current tax liabilities 721 53,138
Other current liabilities 193,718 302,770
Liabilities held for sale 11,354 –
Other provisions – 213
II. Non -current liabilities 568,165 321,520
Debentures and borrowings 169,805 39,946
Defined benefit obligations 1,263 3,326
Long -term employee benefits 21,033 21,862
Lease liabilities 163,806 137,867
Others 212,256 118,519
Total liabilities 890,353 962,710
Shareholders equity
Capital stock 10,977 10,977
Other paid -in capital (365,222) (239,534)
other components of equity (61,168) (75,623)
Retained earnings 3,473,871 3,669,049
Non -controlling interest 5,130 5,562
Total shareholders equity 3,063,589 3,370,431
Total liabilities and shareholders equity 3,953,941 4,333,140
Statement of Financial Position
4. Consolidated Financial Statements
FY 2024 FY 2025
Assets
I. Current assets 1,788,537 2,266,590
Cash and cash equivalents 1,260,473 503,522
Short -term financial instruments 178,293 491,465
Account receivables 130,279 187,483
Other receivables 36,941 21,532
Short -term investment assets 39,816 1,008,380
Non -current assets held for sale 87,425 –
Others 55,309 54,207
II. Non -current assets 2,165,404 2,066,551
Long -term loans 8,050 500
Other receivables 22,131 21,904
Long -term investment assets 813,452 678,720
Investment stocks in
associated companies 50,198 71,654
Investment property – –
Tangible assets 997,620 1,034,694
Intangible assets 103,873 110,596
Others 170,079 148,484
Total assets 3,953,941 4,333,140
(Unit : KRW MN)

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4Q 24 1Q 25 2Q 25 3Q 25 4Q 25
Revenue 409,407 360,278 382,393 360,036 404,218
Operating Expenses 538,897 355,058 367,315 367,503 400,971
Operating Income (129,491) 5,220 15,079 (7,467) 3,247
Non -operating Income 119,156 26,032 (48,366) 442,612 25,001
Pre -tax Income (10,334) 31,252 33,287 435,145 28,248
Income Tax (2,746) (6,255) 2,666 87,785 29,741
Net Income (7,588) 37,507 (35,953) 347,360 (1,493)
Equity Attribution to the
Owners of the Parent Company (7,455) 37,760 (35,412) 346,699 (2,377)
Non -controlling interest (134) (253) (541) 661 885
4. Consolidated Financial Statements
Income Statement
(Unit : KRW MN )
FY 2024 FY 2025
1,578,123 1,506,925
1,687,339 1,490,847
(109,215) 16,078
230,123 445,280
120,908 461,358
26,792 113,936
94,116 347,422
94,215 346,670
(100) 751