Krafton announced its preliminary financial results for Q1 2026 on the 30th.

Based on the K-IFRS consolidated financial statements, Krafton achieved record-breaking quarterly results with 1.3714 trillion KRW in revenue and 561.6 billion KRW in operating profit. Compared to the same period last year, revenue increased by 56.9% and operating profit by 22.8%. The operating profit for Q1 alone accounts for 53% of the total annual operating profit recorded in 2025.

Revenue by sector was as follows: 363.9 billion KRW from PC, 702.7 billion KRW from mobile, 13.8 billion KRW from console, and 291 billion KRW from other sources. The PUBG IP franchise saw a 24% year-on-year increase, surpassing 1 trillion KRW in quarterly revenue and driving the company's best-ever Q1 performance. On the PC platform, content diversification and robust live service operations for 'PUBG: Battlegrounds' fueled the growth.

The mobile sector also contributed to the record-breaking revenue through premium content and IP collaborations. The partnership with German hypercar brand Apollo Automobil drove demand among high-spending users. 'Battlegrounds Mobile India (BGMI)' expanded its user base by investing in server infrastructure and providing diverse content, resulting in a 17% increase in paying users compared to the same period last year. The official BGMI league, the Battlegrounds Mobile India Series 2026, recorded its highest-ever viewership. Other revenue increased by 285.9 billion KRW year-on-year, reflecting the performance of the ADK Group.

The PUBG IP is strengthening its position as a content platform, supported by a strong fandom and service competitiveness. In April, the 'Xeno Point' mode was released, offering new experiences beyond battle royale and contributing to increased user traffic. In May, the company plans to introduce a mode based on the PAYDAY IP and will continue to expand additional modes and UGC. Furthermore, Krafton plans to accelerate the growth of the PUBG IP franchise by strengthening global fandom marketing and increasing its presence in emerging markets.

'inZOI', which launched in Early Access last year, is focusing on scaling up to become an IP with a long product life cycle (PLC). The company is working on content enhancement to deepen the life simulation experience and is pursuing console porting to expand user accessibility. Additionally, it is creating an environment where anyone can easily create content by providing an AI script modding tool. Krafton plans to foster it as a platform-type IP where users can share and play content they have created themselves through the introduction of multiplayer.

The open-world survival crafting game 'Subnautica 2' is preparing for its Early Access launch. 'Subnautica 2' plans to provide new experiences to both existing fans and new users by adding new content, such as a co-op mode.

Krafton continues to pursue 'AI for Game' to provide differentiated gameplay experiences. First, it plans to apply four 'Raon' multimodal AI models, unveiled in April, to its games. These models will be fine-tuned to the characteristics of each game to implement new play experiences. Additionally, Krafton will introduce 'PUBG Ally', which utilizes Co-Playable Character (CPC) technology, as a beta service in the 2026 Battlegrounds arcade. Through PUBG Ally, the company intends to provide users with a differentiated, AI-based immersive experience.

Meanwhile, in accordance with the shareholder return policy announced last February, Krafton completed the acquisition of 200 billion KRW in treasury shares and paid out 99.6 billion KRW in dividends in Q1. It also completed the cancellation of 336.2 billion KRW worth of treasury shares, combining newly acquired and previously held shares. In Q2, the company plans to acquire an additional 100 billion KRW in treasury shares and cancel them in their entirety. As of the first half of 2026, this represents a 23% increase in shareholder return execution and a 115% increase in treasury share cancellation compared to the 2025 annual figures. The company plans to faithfully implement its shareholder return policy based on a strong commitment to enhancing shareholder value in the future.