Wemade announced on the 14th that it recorded an operating loss of 11.3 billion KRW in the first quarter, a 69.9% reduction compared to the same period last year. During the same period, sales decreased by 12.1% to 141.8 billion KRW, and the net loss was trimmed by 65% to 20.6 billion KRW.
Compared to the previous quarter, the total sales in the first quarter decreased by 14%, and both operating profit and net earnings turned to a deficit. The sales from the game business segment increased by about 26% from the previous quarter, driven by the performance of new releases like ‘Legend of YMIR,’ launched in Korea on February 20. However, both operating profit and net earnings turned to a deficit compared to the previous quarter. This was due to increased costs such as labor expenses following the integration of the development company Mad Engine as a subsidiary and rising advertising and promotional expenses related to new game marketing.
This year, Wemade plans to actively target overseas markets with various genre games. In the third quarter, ‘MIR M’ will be launched in China, and in the second half of the year, ‘Midnight Walkers’ will be released in the global market. The global version of ‘Legend of YMIR,’ featuring advanced tokenomics, will also be introduced in the fourth quarter.
Wemade disclosed, “Preparations for upcoming titles such as ‘MIR 5,’ ‘Black Vultures: Prey of Grid,’ ‘Knight Crow 2 (tentative title),’ and ‘TAL: The Arcane Land’ are proceeding smoothly.”
Additionally, Wemade is accelerating its blockchain business based on the virtual asset WEMIX. The company plans to service multiple highly-polished blockchain games in the global market while implementing strategies to coexist with WEMIX holders in various ways.
Meanwhile, Wemade MAX recorded sales of 47.1 billion KRW, an operating loss of 2.4 billion KRW, and a net loss of 700 million KRW in the first quarter. Currently, the company is developing over 10 new titles centering on verified key subsidiaries like Wemade NEXT and Mad Engine. The company intends to release more games to the market this year than in previous years.