[K-Tech] Krafton's Q2 net profit tumbles 95 percent despite record sales for first half of the year

Kraftons title games shown at Gamescom 2025 Courtesy of Krafton — Krafton's title games shown at Gamescom 2025/ Courtesy of Krafton

SEOUL, July 30 (AJP) - South Korean gaming giant Krafton, well-known for its flagship game “PUBG: Battlegrounds”, reported on Tuesday its second-quarter net income tumbled 95.4 percent due to increased operational costs.

The company reported 15.5 billion won, around US$11.1 million, in net profit for the April to July period, down 95.4 percent compared to year-on-year, in a regulatory filing on Tuesday.

Krafton attributed its sharp fall in net income to increased marketing expenses and labor fees.

Despite its moody second quarter results, the company posted its highest sales for the January to June period, with sales nearing 1.53 trillion won, up 11.9 percent from the same period of last year.

Operating profits for the first half of 2025 also rose 9.5 percent to 703.3 billion won.

The firm analyzed its sales that mobile gaming contributed 960 billion won, followed by PC gaming with 543.2 billion won, console gaming and others with 33 billion won.

Looking ahead, Krafton is to broaden its portfolio by digging new franchise intellectual properties under its five-year long-term strategy for new games.

Kim Dong-young davekim0807@ajupress.com