(LEAD) Netmarble turns to red in 2022 due to lack of new games
$6,000 Welcome Bonus
(ATTN: UPDATES with closing prices in last para)
SEOUL, Feb. 9 (Yonhap) -- Netmarble Corp., a major South Korean game developer and publisher, said Thursday day it swung to the red last year due to a lack of new blockbuster games.
The company said in a regulatory filing it logged a net loss of 906.4 billion won (US$716.9 million) on a consolidated basis in 2022, shifting from a net profit of 249.2 billion won a year earlier.
It posted an operating loss of 104.4 billion won, compared with a profit of 151 billion won a year ago. Sales rose 6.6 percent on-year to 2.7 trillion won, with 84 percent of them coming from overseas.
Netmarble said annual net loss is attributable to a lack of new blockbusters and sluggish sales of old games.
Also, the appraised value of the Hong Kong-based casino game company SpinX Games, which was acquired by Netmarble in 2021, fell amid contracted market conditions, according to the Korean game company.
For the fourth quarter, Netmarble posted a 8.7 percent drop in sales with 686.9 billion won. Its operating loss reached 19.8 billion won and net deficit amounted to 456.6 billion won.
In the three-month period ending December, North America accounted for 51 percent of the quarterly sales, followed by South Korea with 15 percent and Europe with 12 percent.
"Marvel Contest of Champions," a fighting video game developed by its North American subsidiary Kabam, was the bestselling product for the quarter, accounting for 13 percent of Netmarble's quarterly sales. The online slot machine games "Jackpot World" and "Cash Frenzy Casino" came in next with shares of 9 percent and 8 percent, respectively.
The company said it will release more than 10 new titles in 2023, including "Paragon: The Overprime," "HypeSquad" and "Arthdal Chronicles."
