Press Release: Nexon Releases Earnings for First Quarter 2026

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ARC Raiders$(R)$ Surpasses 16 Million Units Sold -- Frozen Trail, the Largest-Ever Update, with Premium Content Scheduled for October

MapleStory Franchise Records 42% Year-Over-Year Growth Driven by Franchise Expansion

2H 2026 Releases Include MABINOGI MOBILE in Taiwan and Japan Plus, Dungeon&Fighter: Idle RPG

Extended Publishing Partnership for EA SPORTS FC$(TM)$ Franchise in Korea

Ten-Year Extension of Publishing Agreement with Tencent for Dungeon&Fighter PC in China

TOKYO--(BUSINESS WIRE)--May 14, 2026-- 

NEXON Co., Ltd. (Nexon) (3659.TO), a global leader in online games, today announced the financial results for its first quarter ending on March 31, 2026.

"Nexon delivered a record-setting quarter with 42% year-over-year growth in our MapleStory franchise and sustained engagement in our global blockbuster, ARC Raiders," said Junghun Lee, President and CEO of Nexon. "Beyond the incredible commercial success, ARC Raiders demonstrates we now have a Western development engine that can build global IP at scale -- a far-reaching structural asset.

"Our outlook for the second half of 2026 includes strong growth catalysts -- the launch of MABINOGI MOBILE in Taiwan and Japan, the ARC Raiders Frozen Trail update with free and premium content in October, a National Day update plus a new raid for Dungeon&Fighter PC in China, the introduction of two exciting publishing projects -- Azur Promilia and Project T, and we will finish the year with the highly anticipated launch of Dungeon&Fighter: Idle RPG.

"We are also making tangible progress on the transformation initiative outlined at our March 31 Capital Markets Briefing, which includes improvements in our creative process, cost management, margin improvement, and delivering new experiences for growing our global player community."

Recent Highlights

   --  In Q1, both revenue and operating income reached quarterly record highs, 
      driven by the sustained success of ARC Raiders(R) and the MapleStory 
      franchise, establishing a blueprint for broader IP growth. 
 
   --  Revenue was Yen152.2 billion, up 34% on an as-reported basis or up 26% 
      on a constant-currency basis1, which was in line with expectations. 
 
   --  Q1 operating income came within our expectations at Yen58.2 billion, up 
      40% year over year on an as-reported basis or up 28% on a 
      constant-currency basis1. 
 
   --  Q1 revenue and operating income include refunds related to MapleStory: 
      Idle RPG, which reduced revenue by Yen6.7 billion and operating income by 
      Yen3.5 billion. 
 
   --  Net income2 exceeded Nexon's outlook at Yen57.2 billion, up 118% year 
      over year on an as-reported basis, driven by a Yen14.5 billion FX gain 
      recognized in Q1 2026, compared to a Yen4.2 billion FX loss recognized in 
      Q1 2025. 
 
   --  ARC Raiders(R) sold an additional 4.6 million units, reaching 
      cumulative unit sales of 15.5 million in Q1, and recently surpassed 16 
      million units. 
 
   --  In keeping with our initiative for fostering and growing strong player 
      communities, in April, Nexon opened a Maple Island area at the Lotte 
      World Adventure in Seoul. We also unveiled a MapleStory animated film set 
      to premiere nationwide in Korea in June. 

Progress on Nexon's Transformation Initiative

   --  Following a product review for quality and commercial viability, three 
      projects were cancelled and additional funding was allocated to two 
      promising games: NAKWON: LAST PARADISE and Woochi the Wayfarer. Creative 
      talent has been redeployed to projects that can capture and sustain a 
      global audience. 
 
   --  A renewed focus on cost management yielded a decision to maintain flat 
      HR costs and headcount in 2026. 
 
   --  Development for the China service of Dungeon&Fighter Mobile has been 
      transferred to Tencent for greater hyperlocalization and player 
      engagement, while Nexon's Neople Studio retains creative control over the 
      co-development with Tencent. 

Partnership

   --  In March, Nexon and Blizzard Entertainment announced a publishing 
      agreement for the global blockbuster Overwatch(R) on PC in Korea later 
      this year. 
 
   --  Nexon and Electronic Arts $(EA)$ announced a long-term agreement on the 
      EA SPORTS FC(TM) publishing partnership, securing the future of our 
      franchise in Korea. Under the agreement, Nexon and EA will expand 
      investment in growing the EA SPORTS FC(TM) fanbase and collaborate to 
      continuously deliver authentic experiences for Korea's most popular 
      football game. 
 
   --  Nexon and Tencent announced a ten-year extension to the publishing 
      partnership for Dungeon&Fighter $(PC)$ in China. The new agreement offers 
      continuity in the service for millions of players in China and extends a 
      long-standing and mutually beneficial relationship between our two 
      companies. 

Franchise Performance

Nexon's three largest franchises -- MapleStory, Dungeon&Fighter, and FC -- collectively delivered roughly flat revenue year over year at Yen92.9 billion, as growth in the MapleStory and FC franchises was offset by a decline in Dungeon&Fighter Mobile. Horizontal revenues delivered a significant 188% year-over-year growth at Yen59.3 billion, driven by sustained strength of ARC Raiders(R) .

   --  Dungeon&Fighter Franchise: 

- Dungeon&Fighter (PC) started the year with a major New Year update which contributed to solid Q1 year-over-year growth. However, Q1 franchise revenue was down 26% year over year due to the offsetting decline in Dungeon&Fighter Mobile. In Q2, we anticipate another year-over-year decline in franchise revenue due to the headwinds in both PC and mobile services.

- Dungeon&Fighter (PC): In China, Q1 revenue grew double digits year over year driven by the New Year update. Despite boosting player engagement, the April update underperformed, resulting in an expected year-over-year decline in Q2. In Korea, Q1 revenue was down year over year, and another decline is expected in Q2, with soft performance compounded by a difficult comparison to the same quarter in 2025.

- Dungeon&Fighter Mobile: Q1 revenue was down year over year and is expected to decline in Q2, following a March level cap update that failed to sustain engagement. An anniversary update scheduled for May is designed to grow the player base with major promotions and content that includes a new area and raid. Fresh content co-developed with Tencent will be released this summer.

   --  MapleStory Franchise: 

- The Q1 franchise revenue grew 42% year over year, driven by MapleStory: Idle RPG and MapleStory Worlds. In Q2, we expect franchise revenue to grow approximately 20% year over year, driven by continued engagement in MapleStory: Idle RPG.

- Korea MapleStory: Q1 revenue exceeded our outlook, driven by the New Year and Anniversary updates from March. Year over year, revenue declined 8% due to a difficult comparison with Q1 2025. In Q2, we expect continued player engagement leading into the June summer update, while year-over-year comparison will remain high due to the strong performance throughout 2025 that resulted in 78% annual growth.

- Global MapleStory: Q1 revenue was above our expectations and grew 8% year over year driven by continued growth in Western MapleStory through the winter update. In Q2, we expect the performance to remain stable supported by hyperlocalized content.

- MapleStory Worlds: Q1 revenue exceeded our outlook and grew 79% year over year, driven by a successful New Year update in Taiwan. In Q2, we expect a year-over-year decline due to a challenging comparison with the successful Taiwan launch last year.

- MapleStory: Idle RPG: Q1 revenue exceeded our outlook, driven by a major update and a strong influx of new users. Refunds related to the coding issue were completed in March, resulting in reductions of Yen6.7 billion in revenue and of Yen3.5 billion in perating income in Q1. In Q2, we expect continued engagement supported by the half-year anniversary in April.

   --  FC Franchise: 

- Q1 revenue exceeded our outlook with modest year-over-year growth, driven by strong engagement in the TOTY (Team of the Year) and New Year updates. A large-scale player-acquisition strategy beginning in Q2 will include throttled monetization while leveraging World Cup enthusiasm for long-term engagement.

   --  Mabinogi Franchise: 

- Q1 franchise revenue grew year over year driven by major updates in MABINOGI MOBILE, aimed at stabilizing player metrics. Beginning in Q2, the game will face tough comparisons to quarters that followed the strong launch in 2025. A promising regional expansion for the game includes launches in Taiwan in Q3 and Japan in Q4.

   --  Shooters: 

- ARC Raiders(R) has surpassed 16 million unit sales to date and was honored as Multiplayer Award at the 2026 BAFTA Games Awards. Embark Studios is now working on the October Frozen Trail update, which will include a large amount of free content including a new map, plus premium content. The update is expected to add a multitude of hours of new gameplay and reshape how ARC Raiders(R) is played, reengaging players and attracting new ones.

- THE FINALS(R) : Q1 revenue grew 47% year over year, driven by the Season 9 update in December. Expect the game to sustain its good performance in Q2 following the Season 10 update released in late March.

Pipeline of New Games

Nexon has more than 15 new games and experiences in development, including:

Games Scheduled For Release This Year:

- MABINOGI MOBILE: Scheduled for release in Taiwan and Japan.

- Overwatch(R) on PC: Nexon's recent publishing agreement with Blizzard Entertainment, is expected to establish service in Korea later this year.

- Azur Promilia: A fantasy world RPG for PC and mobile, featuring a distinct art style and an expansive worldview.

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May 14, 2026 12:41 ET (16:41 GMT)

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