NEXON Co., Ltd.
3659・Prime Market・Information & Communication
Business
Nexon Co., Ltd. was founded in Korea in 1994 and listed on the Tokyo Stock Exchange in 2011 as an operating holding company. Its core business is the production, development, and distribution of PC online games and mobile games, forming a global group comprising 36 consolidated subsidiaries and 13 equity-method affiliates. The company operates across five segments—Japan, Korea, China, North America, and Others (Europe & Asian Countries)—and recorded consolidated revenue of ¥475,102 million for FY2025 (ending December 2025), a record high. Its revenue base rests on three major franchises—Dungeon&Fighter, MapleStory, and EA SPORTS FC™—which together command a fan base of several hundred million people worldwide.
Business Model
The main revenue source is the item-based paid charging model (F2P), in which fees are charged when players purchase paid in-game items. In addition to its self-distribution model, in markets such as China, the Korean subsidiary that holds the IP licenses the IP to local distribution partners and receives royalties. Titles such as 'FC ONLINE' with EA are operated under a licensed distribution model, whereby exclusive distribution rights are obtained and the titles are operated accordingly. Against cost of sales of ¥193,088 million and selling, general and administrative expenses of ¥161,928 million, the company secured operating profit of ¥124,012 million (operating margin of 26.1%).
Company Strengths
The three major franchises, Dungeon&Fighter, MapleStory, and EA SPORTS FC™, account for the majority of revenue, with the Korea segment alone generating external revenue of ¥400,657 million and segment profit of ¥132,945 million. The Korean PC version of Dungeon&Fighter achieved its highest-ever full-year revenue in FY2025 (ending December 2025).
Mabinogi Mobile, which began distribution in Korea in March 2025, has performed steadily, while ARC Raiders, globally released in October, surpassed cumulative sales of 10 million units in under two months. MapleStory: Idle RPG has also ranked highly on mobile app stores in multiple countries, advancing revenue diversification through new IP.
Cash flow from operating activities in FY2025 (ending December 2025) rose sharply to ¥171,872 million from ¥100,968 million in the prior period. Cash and cash equivalents at period-end reached ¥498,868 million, with total assets of ¥1,410,188 million against total equity of ¥1,065,918 million, indicating an extremely sound financial base. The company continued to build up cash on hand even while executing ¥96,885 million in share buybacks and ¥24,396 million in dividends.
ENVALITH's Perspective
Performance Trend
On an annual basis, revenue grew for five consecutive fiscal years, rising from ¥274,462 million in FY2021 to ¥475,102 million in FY2025. Operating profit peaked at ¥134,745 million in FY2023, then remained flat in the ¥124,000 million range in FY2024 and FY2025. In 1Q FY2026 (single-quarter basis), revenue reached ¥152,234 million (up 33.6% year on year) and operating profit reached ¥58,163 million (up 39.8% year on year), both renewing record highs, with growth re-accelerating. The main drivers were a 42% increase in revenue from the MapleStory franchise and new contribution from ARC Raiders. As an external factor, the weaker yen and weaker won substantially boosted pre-tax profit through foreign exchange gains. For 2Q on a single-quarter basis, both revenue and profit are forecast to decline year on year, and the full-year profit level will depend on the degree of recovery of the major franchises from 2Q onward.
Growth Strategy
Two-pronged strategy of vertical growth in the three major franchises and horizontal growth through nurturing next-generation IP
With the expansion of MapleStory: Idle RPG (released November 2024) and MapleStory Worlds in the Asia region, the franchise as a whole achieved a 42% year-on-year revenue increase in 1Q FY2026 (ending March 2026). Normalization following the completion of refund measures and new user acquisition are ongoing. Maintaining engagement through the June summer update is the focus from 2Q onward.
The China PC version achieved year-on-year revenue growth with the Lunar New Year update, but progress on monetization measures fell short of expectations, and a revenue decline is projected for 2Q. The company plans to regain momentum with the June anniversary update. Dungeon&Fighter Mobile is set to accelerate the rollout of jointly developed content with Tencent from the second half of the fiscal year.
"ARC Raiders," developed by Embark Studios AB, achieved cumulative sales of over 16 million units following its global release in October 2025. This pushed up revenue in the Others segment by 2,706% year-on-year in 1Q FY2026 (ending March 2026), demonstrating the effectiveness of the horizontal growth strategy. Given its pay-once nature, revenue is expected to normalize going forward.
The company is advancing a hyper-localization strategy that customizes content to match player preferences in each region. It provides hyper-localized dedicated content for the global MapleStory, aiming to maintain and expand revenue in the North America, Europe, and Asia markets.
The forecast annual dividend for FY2026 (ending March 2026) has been raised to ¥60 (a 33% increase from ¥45 in the previous fiscal year). The company resolved to conduct a share buyback in May–July 2026 with an upper limit of ¥30,000 million and 14,000,000 shares. Backed by ample liquidity on hand (total cash and deposits of ¥874,606 million), the company is implementing proactive shareholder returns combining a dividend increase with share buybacks.
Last updated: July 17, 2026