Netmarble Sales Sluggish, But Up

Q1 financial report.

Netmarble posted their financial results for Q1 2021 and the results are okay. Total sales broke the half a billion mark at $512 million for a 7% increase year over year. Operating profit rose to $48.7 million for a 165% increase over the same period. And net profit is up to $55 million, a 7% increase.

North America makes up the highest revenue stream with 36% of the total pot with Korea (29%) and Europe (12%) pulling up behind, and the rest of the world making up the remaining amount. The top five revenue earners this quarter were The Seven Deadly Sins: Grand Cross (15%), MARVEL Contest of Champions (12%), Seven Knights 2 (11%), Lineage 2: Revolution (8%), and Blade & Soul Revolution (6%).

“The sales in the first quarter were relatively sluggish due to the lack of new titles following the successful launch of Seven Knights 2 in the fourth quarter of 2020. In addition, the rise in labor costs in the overall Korean game industry led to a downside in profits,” said Seungwon Lee, CEO of Netmarble, adding “however, major live games such as the Seven Deadly Sins: Grand Cross, Marvel Contest of Champions, and Lineage 2: Revolution recorded stable results. As Ni no Kuni: Cross Worlds and new high-fidelity titles with renowned IPs, including Marvel, Seven Knights, and BTS are planned to be launched in the second quarter and the second half, significant sales growth and profits improvement are expected.”

The slate of upcoming titles includes Ni no Kuni, Marvel Future Revolution, and more. During the conference call, Netmarble confirmed a June 10 exact launch date for Ni no Kuni. BTS Dream is a rhythm game with housing decoration. Merge Kuya Island has players merging items to decorate their island.