Kakao Games Corp. announced on November 4 that it recorded consolidated revenue of approximately 69.1 billion won and an operating loss of approximately 26.3 billion won for the third quarter of 2026. Revenue decreased by approximately 46% year-over-year and about 8% quarter-over-quarter.
Based on Korean International Financial Reporting Standards (K-IFRS), revenue for the comparison periods was 127.5 billion won in Q3 2025 and 75.0 billion won in Q2 2026. Operating losses for those quarters were 5.4 billion won and 23.0 billion won, respectively, extending the company's streak of losses into the current quarter. The company explained that a lack of new title releases and a downward stabilization of revenue from existing titles affected its financial performance.
By business segment, mobile games recorded approximately 50.6 billion won in revenue, while PC online games generated approximately 18.5 billion won. Mobile game revenue dropped by approximately 40% year-over-year and about 4% quarter-over-quarter. PC online game revenue fell by approximately 57% year-over-year and about 17% quarter-over-quarter.
Kakao Games is seeking a rebound through upcoming title releases and preparations for global services. On December 12, the company will officially launch the action hack-and-slash PC online game Path of Exile 2, and in January 2027, it is preparing to simultaneously launch the MMORPG Odin Q: Valkyrie's Call (hereafter Odin Q) in South Korea, Taiwan, and Japan. Odin Q will feature quarter-view combat and large-scale competitive content based on the live-service experience of the original Odin and the development capabilities of Lionheart Studio.
In the fourth quarter, the company plans to build on the momentum of World of Dokkaebi, which launched in October. According to the company, the game reached No. 1 in Google Play revenue rankings within five days of release and has maintained a top-tier position ever since. Featuring 2.5D pixel art graphics with traditional Korean aesthetics and a story based on the webtoon IP Myeolgwisudojeon, global service preparations are also underway.
As additional upcoming titles, the company revealed the open-world zombie survival simulator God Save Birmingham, the PC MMORPG ArcheAge S: Straits of Freedom, and the pixel-art collectible action RPG Guardian Maiden. The company plans to continue expanding its IP targeting global users through new titles across various genres.
Under its new management structure, the company is pursuing business structural efficiency alongside M&A, strategic investments, and new title contracts. Over the past three months, Kakao Games acquired global casual game company ME2ON and made strategic investments in AI backend technology company BackendX, with plans to identify additional promising developers and technology firms.
Lee Si-woo, CEO of Kakao Games, said, “By targeting various user segments with distinct differentiation points for each IP, we are once again proving our core competitiveness based on a solid portfolio.” He added, “We will pursue new title launches, shareholder returns, and investments to secure new growth opportunities, doing our utmost to ensure these efforts lead to a substantial turnaround opportunity.”
