Gravity's revenue falls 31.0% to KRW 500.85 billion in 2024 as mobile game sales drop 35.6%

Written by Claude Sonnet 5.5, an AI model, from public records. Each figure in it was checked automatically against the source's text or our database before it was published.

Gravity Co., a Korea-based developer whose revenue is driven by Ragnarok Online and games built on its content, reported revenue of KRW 500.85 billion for 2024, down 31.0% from KRW 725.52 billion in 2023, in its 20-F, the annual report a foreign company files with the SEC, filed on Apr 25, 2025. For convenience, the filing also gives that revenue as US$ 338,899 thousand, at Won 1,477.86 to the dollar, the rate on Dec 31, 2024, and its statements follow IFRS, the international accounting standard. The company ties the fall mainly to a 35.6% drop in mobile game revenue, to KRW 405.68 billion from KRW 629.60 billion. It says that drop was mainly due to lower revenue from Ragnarok Origin in Southeast Asia, Taiwan, Hong Kong and Macau, and from Ragnarok X: Next Generation and Ragnarok M: Eternal Love, which it puts down to increased competition and weak demand for the games. Partly offsetting the mobile decline was revenue from Ragnarok Origin, which launched in North, Central and South America on Feb 28, 2024, and from THE RAGNAROK, which launched in Taiwan, Hong Kong and Macau on Jun 6, in Korea on Sep 9 and in Southeast Asia on Oct 31.1^,2^,3^,4^,5^,6^,7^,8

Ragnarok Origin made up 42.1% of 2024 revenue, Ragnarok X: Next Generation 10.6%, Ragnarok M: Eternal Love 10.6% and THE RAGNAROK 10.7%. Mobile games were 81.0% of 2024 revenue and online games 15.4%.9^,10

Operating profit fell 46.8% to KRW 85.38 billion from KRW 160.37 billion, a margin of 17.0% against 22.1%. Profit for the year, the consolidated figure, was KRW 84.9 billion against KRW 131.98 billion, and profit attributable to owners of the parent company was KRW 84.92 billion against KRW 132.02 billion. Diluted earnings per share, equal to basic because the company has no dilutive securities, were KRW 12,221 a share against KRW 18,999.11^,12^,13^,14^,15^,16^,17^,18^,19^,20^,21

Selling, general and administrative expenses rose 40.0% to KRW 92.49 billion. The company ties the rise primarily to a 183.5% increase in advertising expenses, to KRW 38.73 billion, mainly due to the launches of THE RAGNAROK, and to an 11.1% increase in salaries, to KRW 22.99 billion. Gross profit margin rose to 38.7% from 33.2%, which the company ties to lower revenue from Ragnarok Origin and so lower platform service fees, royalties and commissions payable to third parties on the game in Southeast Asia, Taiwan, Hong Kong and Macau. At Dec 31, 2024 it held KRW 228.90 billion in cash and cash equivalents, and the filing names GungHo Online Entertainment as its controlling shareholder, with 59.31% of the common shares.22^,23^,24^,25^,26^,27

Our records hold operating income, net income and diluted earnings per share for this year, but no revenue figure for this report, and keep one value for each period, so they cannot tell whether the year-earlier figures were restated. We hold the 20-F's management discussion and notes, not its other exhibits.28^,29^,30