NCSoft set a goal of achieving annual revenue of up to 3.4 trillion won by releasing 10 new titles next year and expanding its mobile casual business. It plans to diversify its growth structure by adding new games and its mobile casual business to stable revenue from existing intellectual property (IP).

NCSoft, on a third-quarter earnings conference call on Tuesday, raised its 2026 annual revenue forecast to 2.8 trillion won from 2.0 to 2.5 trillion won. It presented 2027 revenue guidance of 3.2 to 3.4 trillion won. It expects next year's revenue to rise 14 to 21 percent from this year's forecast.

Won-jun Hong (홍원준), NCSoft's chief financial officer, said expansion of existing IP, global services for new titles and the mobile casual business are becoming a new foundation for growth.

Third-quarter consolidated revenue came to 686.5 billion won, up 91 percent from a year earlier, and operating profit was 119.6 billion won, turning to profit. From the previous quarter, the figures fell 11 percent and 31 percent, respectively. Net profit for the period was 20.0 billion won due to factors including a drop in foreign exchange-related gains and losses.

Revenue for the first nine months totaled 2.0144 trillion won and operating profit was 406.8 billion won, up 83 percent and 3,070 percent from a year earlier, respectively. Mobile casual revenue was 171.9 billion won, accounting for 25 percent of total revenue, and the share of overseas revenue expanded to 54 percent.

◆ 10 new titles next year... expanding Aion2's global results

NCSoft plans to roll out new titles in various genres, including shooters and subculture, based on annual revenue contributions from Lineage Classic and Aion2 next year.

Byung-moo Park (박병무), co-chief executive, said, "In 2027, as these three growth axes become fully established and advanced, we expect to see continued growth."

New titles in preparation include Astral's Oratio, Cinder City, Limit Zero Breakers and Time Takers. Park said the company plans to start with Astral's Oratio in the first quarter next year and release 1 to 2 new titles each month in the first half.

It said Astral's Oratio recorded a first-day user retention rate of more than 90 percent in a recent test. The company is improving combat balance and difficulty by reflecting user feedback, and plans to showcase the game at AGF in December.

The company is also pushing to expand existing IP in overseas markets. NCSoft will begin fully reflecting revenue from Aion2's global service from the fourth quarter and is preparing LineageM's entry into China and releases of new titles using existing IP.

According to Hong, Aion2 posted cumulative payments of 110.3 billion won over 42 days through Nov. 10 after global early access began on Sept. 30. Peak concurrent users were tallied at 410,000.

Lineage Classic posted third-quarter revenue of 158.7 billion won and cumulative revenue of 427.8 billion won since launch. NCSoft plans to pursue performance growth next year through stable revenue from existing games and an expanded lineup of new titles.

◆ Accelerating mobile casual growth... strengthening business structure through additional M&A

NCSoft is expanding its mobile casual business as a growth axis to complement its existing MMORPG-centered business structure.

Third-quarter mobile casual revenue rose from the previous quarter to 171.9 billion won. The reward platform Justplay led the growth on the back of an increase in users and expanding advertiser demand.

Park said Justplay has formed a virtuous cycle in which more user inflows lift advertiser demand and ad rates, which in turn helps secure more users.

NCSoft plans to connect its reward platform with development studios and its publishing business. It also plans to add in-app purchases (IAP) and third-party advertising businesses to its existing advertising revenue model.

Park expects the mobile casual business to account for 25 to 30 percent of total revenue next year. Hong said the company did not reflect revenue and profit increases from additional mergers and acquisitions (M&A) currently being pursued in next year's guidance.

Park said the company will build its mobile casual business system through additional acquisitions and business expansion in the fourth quarter this year and expand synergies among businesses from next year.

◆ Reviewing shareholder return policy... possible introduction of cash flow-based metric

NCSoft is also reviewing an overhaul of its shareholder return policy. It will maintain its current principle of paying cash dividends equal to 30 percent of net profit through 2027, but it is discussing applying a new standard for the policy thereafter.

Park said, "Personally, I think it would be right to introduce a concept called free cash flow instead of net profit."

He also proposed a flexible shareholder return plan focused on buying back and canceling treasury shares when the share price level is low, and increasing the dividend portion when the share price rises.

He said this is not a confirmed policy. Park said the company will finalize its official position by the next annual general meeting of shareholders after board discussions and approval.

The company said it has no plans for additional M&A in its core game business for the time being. NCSoft plans to strengthen its growth base through long-term services for existing IP, expanded new-title publishing capabilities and advancement of its mobile casual business.