The revenue growth from new game launches is positive, but declining profitability and rising costs suggest margin pressure. Traders should monitor whether future quarters show stabilization in operating margins. The Co-CEO structure may signal strategic shifts; investor communication on leadership roles will be key.
Price Chart
Executive Summary
GRAVITY Co., Ltd. reported consolidated revenue growth of 11.9% in 2025 to KRW 560.5 billion ($388M), driven by new mobile and online game launches, including Ragnarok M Classic and Ragnarok X Next Generation. However, net profit declined 20.7% YoY to KRW 67.3 billion ($46.6M) due to higher operating costs and lower non-operating income. The company also announced leadership changes, appointing Yoshinori Kitamura as Co-CEO alongside Hyun Chul Park.
Key Facts
- Consolidated revenue increased 11.9% YoY to KRW 560,547,445,000 ($388,043,000)
- Net profit declined 20.7% YoY to KRW 67,309,329,000 ($46,595,000)
- Operating income decreased 8.3% to KRW 79,029,502,000 ($54,709,000)
- New game launches drove growth: Ragnarok M Classic (Southeast Asia, Taiwan, Hong Kong, Macau), Ragnarok X Next Generation (Americas, Oceania, Europe), and Ragnarok Online America Latina
- SG&A expenses increased 8.8% due to higher advertising, salaries, and commissions
- Non-operating income dropped 40.9% due to lower foreign currency gains and unrealized losses
- Cash and short-term financial instruments totaled KRW 618.6 billion ($428.3M) as of December 31, 2025
- Yoshinori Kitamura appointed Co-CEO alongside Hyun Chul Park, effective March 27, 2026
Financial Impact
Revenue up 11.9% to $388M, net income down 20.7% to $46.6M, operating income down 8.3% to $54.7M
Risk Factors
- Declining net and operating profits despite revenue growth
- Increased reliance on new game performance to sustain growth
- Higher SG&A and cost of revenues compressing margins
- Foreign exchange volatility impacting non-operating income
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 7 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 6-K Filing (Primary) | 0001628280-26-021565 |
| Exhibit: exhibit991_2026.htm | 0001628280-26-021565 |
| Exhibit: exhibit992_2026.htm | 0001628280-26-021565 |
| Document: a6-k20260327resultoftheagm.htm | 0001628280-26-021565 |
| Document: 0001628280-26-021565-index-headers.html | 0001628280-26-021565 |
| Document: 0001628280-26-021565-index.html | 0001628280-26-021565 |
| Document: 0001628280-26-021565.txt | 0001628280-26-021565 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Aug 7, 2026 11w ago | 6-K | $68.12 | awaiting T+60 | — | $66.64 (−2.17%) |
Aug 7, 2026 11w ago | Press Release | $68.12 | awaiting T+60 | — | $66.64 (−2.17%) |
Jun 18, 2026 18w ago | 6-K | $65.52 $72.26 | ▲ +10.29% | ▲ +8.39% | $66.64 (+1.71%) |
May 8, 2026 24w ago | 6-K | $65.46 $62.71 | ▼ −4.20% | ▼ −9.04% | $66.64 (+1.80%) |
May 8, 2026 24w ago | Press Release | $65.46 $62.71 | ▼ −4.20% | ▼ −9.04% | $66.64 (+1.80%) |
Apr 24, 2026 26w ago | Press Release | $62.82 $62.22 | ▼ −0.96% | ▼ −6.04% | $66.64 (+6.08%) |
Mar 27, 2026 30w ago | 6-K | $61.40 $68.50 | ▲ +11.56% | ▼ −4.50% | $66.64 (+8.53%) |
US Market Status
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