Nexon Announces Fourth Quarter and Full Year 2015 Results
Fourth Quarter Revenues Up 7% Year-over-Year, Full Year Revenues Up 10% Strong Results Driven by Continued Focus on Quality Content and Expansion of Strategic Partnerships Worldwide
TOKYO – 10th February 2016 – NEXON Co., Ltd. (“Nexon”) (3659.TO), a worldwide leader in free-to-play online and mobile games, today announced financial results for its fourth quarter and fiscal year ended 31st December 2015.
“Nexon’s solid performance throughout 2015 was driven by our relentless focus on the quality of our live and new games and the expansion of world class partnerships. Our full-year revenues, operating income and net income all grew year-over-year, reflecting the positive response from players of our high-quality titles,” said Owen Mahoney, President and Chief Executive Officer of Nexon. “Player retention and growth among our existing games was strong, and Nexon’s pipeline of new titles delivered impressive initial results . DomiNations surpassed 17 million total downloads worldwide and HIT immediately took first place for top-grossing app in Korea on Google Play and iOS App Store.”
Mr. Mahoney continued, “Throughout the year, we also continued to strengthen our world-class partnerships with industry-leading developers and IP holders. Heading into 2016, we remain well-positioned to continue executing on our strategy of servicing high-quality titles through strong internal development and partnerships.”
Full Year 2015 Highlights:
- Full year revenues were 190.3 billion yen, up 10% year-over-year.
- Operating income was 62.3 billion yen, up 37% year-over-year.
- Net income attributable to owners of the parent was 55.1 billion yen, up 88% year-over-year.
Fourth Quarter 2015 Highlights:
- Fourth quarter revenues were 45.8 billion yen, up 7% year-over-year. Performance exceeded Nexon’s outlook and was primarily driven by higher-than-expected sales from Dungeon&Fighter in China and the successful launch of HIT in Korea.
- Operating income was 10.3 billion yen, within the range of Nexon’s outlook.
- Net income attributable to owners of the parent was 4.4 billion yen, which was below Nexon’s outlook due primarily to FX loss in foreign currency-denominated cash deposits and account receivables.
First Quarter 2016 Outlook:
- Revenues expected to be in the range of 49.0 to 52.5 billion yen.
- PC online game revenues expected to be in the range of 38.1 to 40.5 billion yen.
- Mobile game revenues expected to be in the range of 10.9 to 12.0 billion yen.
- Operating income expected to be in the range of 18.6 to 22.2 billion yen.
- Net income attributable to owners of the parent expected to be in the range of 16.3 to 19.3 billion yen.
Conference Call and Replay:
Nexon management will host an earnings presentation for analysts, investors and media to discuss the Company’s financial results and outlook. The presentation will be conducted in Japanese with simultaneous English translation today at 3:30 p.m. Japan Standard Time (JST) / 1:30 a.m. Eastern Standard Time (EST)/ 7.30 a.m. Central European Time (CET). The earnings presentation materials will be available on Nexon’s Investor Relations website following the presentation.
A conference call for foreign investors will be conducted in English later today at 10:00 p.m. JST / 8:00 a.m. EST / 2.00 p.m. CET. The conference call will consist of prepared remarks from management followed by a Q&A session.
A replay of the call will be available about 30 minutes after the conclusion of the conference call and can be accessed until 17th February 2016. A transcript of the call will be available within several days on Nexon’s Investor Relations website.
For additional information regarding Nexon’s fourth quarter and full year 2015 financial results, please visit the Investor Relations section of Nexon’s website athttp://ir.nexon.co.jp/en/.
This press release is prepared to offer reference information about Nexon to investors and is intended to generally provide investors and analysts with financial and operational information about Nexon, but not to solicit or recommend any sale or purchase of stock or other securities of Nexon.
About NEXON Co., Ltd. http://company.nexon.co.jp/
NEXON Co., Ltd. (“Nexon”) (3659.TO) is a worldwide leader in free-to-play online and mobile games. Founded in Korea in 1994, Nexon developed one of the world’s first graphics-based massively multiplayer online games. Nexon also pioneered the concept of microtransactions and the free-to-play business model, setting a new standard in which play is free, and users have the option to purchase in-game items to enhance their experience. Nexon currently services over 100 titles in more than 190 countries. The Company is headquartered in Tokyo, Japan and its shares are listed on the Tokyo Stock Exchange.