6-K_GRAVITY_Second QUARTER 2026 RESULT and Business Update
Rhea-AI Summary
Gravity (NasdaqGM: GRVY) reported unaudited Q2 2026 revenue of KRW 161,884 million (US$104.5 million), flat QoQ and down 5.2% YoY. Operating profit was KRW 27,582 million, down 10.5% QoQ but up 40.2% YoY, with net profit attributable to parent at KRW 24,341 million, down 17.2% QoQ and up 83.8% YoY.
Online game revenue rose 14.5% QoQ and 35.0% YoY, while mobile game revenue declined 3.2% QoQ and 10.7% YoY. Cash and short-term financial instruments totaled KRW 649,231 million (US$419.2 million). Gravity highlighted extensive Ragnarok IP launches across multiple regions, a Chinese ISBN approval for Ragnarok M: Eternal Love 2, a new joint venture in Indonesia, and plans for additional JVs and a global UGC and HTML5 gaming platform.
Positive
- Operating profit +40.2% YoY to KRW 27,582 million in Q2 2026
- Net profit +83.8% YoY to KRW 24,341 million in Q2 2026
- Online game revenue +35.0% YoY to KRW 29,660 million
- Cost of revenue -3.9% YoY to KRW 109,541 million, supporting margin
- Strong liquidity with KRW 649,231 million in cash and short-term instruments
- Chinese ISBN approval obtained for Ragnarok M: Eternal Love 2 in July 2026
Negative
- Total revenue -5.2% YoY in Q2 2026 to KRW 161,884 million
- Mobile game revenue -10.7% YoY and -3.2% QoQ to KRW 128,611 million
- Operating profit -10.5% QoQ from KRW 30,830 million to KRW 27,582 million
- Net profit -17.2% QoQ from KRW 29,394 million to KRW 24,341 million
- Operating expenses +18.9% QoQ to KRW 24,761 million in Q2 2026
Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| May 08 | 1Q26 earnings report | Positive | +8.0% | Revenue and profit increased, supported by mobile-game launches and lower operating costs. |
| Feb 13 | 4Q25 earnings report | Negative | -0.3% | Quarterly revenue and operating profit declined despite multiple scheduled game launches. |
| Aug 08 | 2Q25 earnings report | Positive | -2.5% | Revenue and profit increased year over year despite the subsequent negative price reaction. |
| May 09 | 1Q25 earnings report | Positive | +5.8% | Revenue growth and multiple regional launches accompanied stronger quarterly operating performance. |
| Apr 25 | 2024 annual report | Negative | +1.8% | Annual revenue, operating profit and net profit declined while the stock price increased. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Tag-specific earnings history was mixed: three of five events aligned with the reported results, while two showed price-result divergence.
Key Terms
international financial reporting standards financial
mmorpg technical
isbn technical
ads financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
Seoul, Korea, Aug. 07, 2026 (GLOBE NEWSWIRE) -- GRAVITY Co., Ltd. (NasdaqGM: GRVY) (“Gravity” or “Company”), a developer and publisher of online and mobile games based in South Korea, today announced its unaudited financial results for the second quarter ended June 30, 2026, prepared in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board and business updates.
SECOND QUARTER 2026 HIGHLIGHTS
•Total revenues were KRW 161,884 million (US
•Operating profit was KRW 27,582 million (US
•Profit before income tax expense was KRW 32,470 million (US
•Net profit attributable to parent company was KRW 24,341 million (US
REVIEW OF SECOND QUARTER 2026 FINANCIAL RESULTS
Revenues
Online game revenues for the second quarter of 2026 were KRW 29,660 million (US
Mobile game revenues were KRW 128,611 million (US
Other revenues were KRW 3,613 million (US
Cost of Revenue
Cost of revenue was KRW 109,541 million (US
Operating Expenses
Operating expenses were KRW 24,761 million (US
Profit Before Income Tax Expense
Profit before income tax expense was KRW 32,470 million (US
of KRW 18,706 million for the second quarter of 2025.
Net Profit
As a result of the foregoing factors, Gravity recorded a net profit attributable to parent company of KRW 24,341 million (US
Liquidity
The balance of cash and cash equivalents and short-term financial instruments was KRW 649,231 million (US
Note: For convenience purposes only, the KRW amounts have been expressed in U.S. dollars at the exchange rate of KRW 1,548.78 to US
GRAVITY BUSINESS UPDATES
Ragnarok Online IP-based Games
•Ragnarok M: Eternal Love 2, an MMORPG Mobile and PC game
Ragnarok M: Eternal Love 2 officially received an ISBN from Chinese government on July 23, 2026.
•Ragnarok: Twilight Global, an Idle MMORPG Mobile game
Ragnarok: Twilight Global was officially launched in Europe and North, Central and South America on June 4, 2026.
•Ragnarok: Rebirth, a 3D MMORPG Mobile game
Ragnarok: Rebirth was officially launched in Vietnam on July 9, 2026 and in Brazil on July 16, 2026.
•Ragnarok: Rebirth Global, a 3D MMORPG Mobile game
Ragnarok: Rebirth Global was officially launched in North, Central and South America (except Brazil) on July 16, 2026.
•Ragnarok: The New World, an MMORPG Mobile and PC game
Ragnarok: The New World was officially launched in Southeast Asia (except Vietnam) on July 16, 2026, and is preparing for its launch in Global (except certain regions).
•Ragnarok M: Classic, an MMORPG Mobile and PC game
Ragnarok M: Classic was officially launched in Korea on July 16, 2026.
•Ragnarok Origin Classic, an MMORPG Mobile and PC game
Ragnarok Origin Classic was officially launched in North, Central and South America on July 23, 2026.
•Ragnarok Zero: Global, an MMORPG PC game
Ragnarok Zero: Global will be launched in Southeast Asia, Europe and Oceania on August 18, 2026, and plans to be launched in North and South America in the fourth quarter of 2026.
•Ragnarok Online Plus, an MMORPG Mobile and PC game
Ragnarok Online Plus will be launched in Korea in the second half of 2026.
•Ragnarok: Midgard Senki, a 2D MMORPG Mobile and PC game
Ragnarok: Midgard Senki will be launched in Taiwan, Hong Kong and Macau in the second half of 2026, and is underway for its launch in Southeast Asia and Korea.
•Ragnarok Adventures, a Vertical Idle MMORPG Mobile game
Ragnarok Adventures will be launched in Japan in the second half of 2026.
•Ragnarok Online 3, an MMORPG Mobile and PC game
Ragnarok Online 3 is underway for its launch in China and Global within 2027.
•Ragnarok Abyss, an MMOARPG Mobile and PC game
Ragnarok Abyss will be launched in China in the first half of 2027, followed by launches in Taiwan, Hong Kong, Macau and Southeast Asia within 2027. Preparation for its launch in Korea is underway.
Other IP-based Games
•Requiem M, an MMORPG Mobile game
Requiem M was officially launched in Korea on June 30, 2026.
•Dragonica Landverse, an Action Adventure MMORPG Blockchain PC game
Dragonica Landverse was officially launched in Thailand on July 17, 2026.
•Hashire HEBEREKE: EX, a Racing and Remake Console and PC game
Hashire HEBEREKE: EX will be launched in Global on September 3, 2026.
•GALVATEIN: Adventure's Guild, a Simulation Console and PC game
GALVATEIN: Adventure's Guild will be launched in Global on September 22, 2026.
•Jaleco Arcade Collection, a Retro Console and PC game
Jaleco Arcade Collection will be launched in Global in the fourth quarter of 2026.
•LIGHT ODYSSEY, a Boss Rush Action and Soul-like Console and PC game
LIGHT ODYSSEY will be launched in Global in the fourth quarter of 2026.
•Final Knight, an Action RPG Console and PC game
Final Knight will be launched in Global within 2027.
Expansion of Ragnarok IP-business
Ragnarok Monsters Magic Rush! animation, comprising 50 episodes, premiered on the Cartoon Network Korea TV channel on May 6, 2026, and was subsequently selected as one of the channel's Top 10 programs based on viewership after its premiere.
Our New Joint Ventures
Gravity Co., Ltd. and its subsidiaries have completed the establishment of a joint venture in Indonesia, and plan to establish joint ventures in Thailand and two other countries. The Company aims to expand into new business areas by developing a global UGC(User Generated Content) platform and an HTML5 gaming platform, and launching an outsourcing business.
Investor Presentation
Gravity issued an investor presentation. The presentation contains the Company’s recent business updates, results of the second quarter in 2026 and Gravity’s business plan. The presentation can be found on the Company’s website under the IR Archives section at https://www.gravity.co.kr/en/ir/updates. Korean and Japanese versions of the presentation are also provided on the website.
About GRAVITY Co., Ltd. ---------------------------------------------------
Gravity is a developer and publisher of online and mobile games. Gravity's principal product, Ragnarok Online, is a popular online game in many markets, including Japan and Taiwan, and is currently commercially offered in 91 markets. For more information about Gravity, please visit http://www.gravity.co.kr.
Forward-Looking Statements:
Certain statements in this press release may include, in addition to historical information, “forward-looking statements” within the meaning of the “safe-harbor” provisions of the U.S. Private Securities Litigation Reform Act 1995. Forward-looking statements can generally be identified by the use of forward-looking terminology, such as “may,” “will,” “expect,” “intend,” “estimate,” “anticipate,” “believe”, “project,” or “continue” or the negative thereof or other similar words, although not all forward-looking statements contain these words. Investors should consider the information contained in our submissions and filings with the United States Securities and Exchange Commission (the “SEC”), including our annual report for the fiscal year ended December 31, 2025 on Form 20-F, together with such other documents that we may submit to or file with the SEC from time to time, on Form 6-K. The forward-looking statements speak only as of this press release and we assume no duty to update them to reflect new, changing or unanticipated events or circumstances.
Contact:
Mr. Heung Gon Kim
Chief Financial Officer
Gravity Co., Ltd.
Email: kheung@gravity.co.kr
Ms. Jin Lee
Ms. Jimin Park
IR Unit
Gravity Co., Ltd.
Email: ir@gravity.co.kr
Telephone: +82-2-2132-7800
GRAVITY Co., Ltd.
Consolidated Statements of Financial Position
(In millions of KRW and thousands of US$)
| As of | |||||||||||||||||||||||||||||||||||||||||||||||
| 31-Dec-25 | 30-Jun-26 | ||||||||||||||||||||||||||||||||||||||||||||||
| KRW | US$ | KRW | US$ | ||||||||||||||||||||||||||||||||||||||||||||
| (audited) | (unaudited) | (unaudited) | (unaudited) | ||||||||||||||||||||||||||||||||||||||||||||
| Assets | |||||||||||||||||||||||||||||||||||||||||||||||
| Current assets: | |||||||||||||||||||||||||||||||||||||||||||||||
| Cash and cash equivalents | 203,599 | 131,458 | 210,058 | 135,628 | |||||||||||||||||||||||||||||||||||||||||||
| Short-term financial instruments | 415,034 | 267,975 | 439,173 | 283,561 | |||||||||||||||||||||||||||||||||||||||||||
| Accounts receivable, net | 56,318 | 36,363 | 76,380 | 49,316 | |||||||||||||||||||||||||||||||||||||||||||
| Other receivables, net | 2,904 | 1,875 | 1,175 | 759 | |||||||||||||||||||||||||||||||||||||||||||
| Prepaid expenses | 13,766 | 8,888 | 24,578 | 15,869 | |||||||||||||||||||||||||||||||||||||||||||
| Other current financial assets | 4,333 | 2,798 | 5,461 | 3,526 | |||||||||||||||||||||||||||||||||||||||||||
| Other current assets | 2,559 | 1,652 | 2,087 | 1,348 | |||||||||||||||||||||||||||||||||||||||||||
| Total current assets | 698,513 | 451,009 | 758,912 | 490,007 | |||||||||||||||||||||||||||||||||||||||||||
| Property and equipment, net | 10,770 | 6,954 | 8,960 | 5,785 | |||||||||||||||||||||||||||||||||||||||||||
| Intangible assets, net | 7,157 | 4,621 | 5,469 | 3,531 | |||||||||||||||||||||||||||||||||||||||||||
| Deferred tax assets | 7,209 | 4,655 | 6,830 | 4,410 | |||||||||||||||||||||||||||||||||||||||||||
| Other non-current financial assets | 3,812 | 2,461 | 4,075 | 2,631 | |||||||||||||||||||||||||||||||||||||||||||
| Other non-current assets | 15,201 | 9,815 | 30,829 | 19,905 | |||||||||||||||||||||||||||||||||||||||||||
| Total assets | 742,662 | 479,515 | 815,075 | 526,269 | |||||||||||||||||||||||||||||||||||||||||||
| Liabilities and Equity | |||||||||||||||||||||||||||||||||||||||||||||||
| Current liabilities: | |||||||||||||||||||||||||||||||||||||||||||||||
| Accounts payable | 61,927 | 39,984 | 66,926 | 43,212 | |||||||||||||||||||||||||||||||||||||||||||
| Deferred revenue | 21,501 | 13,883 | 21,651 | 13,979 | |||||||||||||||||||||||||||||||||||||||||||
| Withholdings | 1,655 | 1,069 | 1,959 | 1,265 | |||||||||||||||||||||||||||||||||||||||||||
| Accrued expense | 2,597 | 1,677 | 2,181 | 1,408 | |||||||||||||||||||||||||||||||||||||||||||
| Income tax payable | 4,633 | 2,991 | 9,087 | 5,867 | |||||||||||||||||||||||||||||||||||||||||||
| Other current liabilities | 3,718 | 2,401 | 3,598 | 2,323 | |||||||||||||||||||||||||||||||||||||||||||
| Total current liabilities | 96,031 | 62,005 | 105,402 | 68,054 | |||||||||||||||||||||||||||||||||||||||||||
| Long-term account payables | 623 | 402 | 623 | 402 | |||||||||||||||||||||||||||||||||||||||||||
| Long-term deferred revenue | 410 | 265 | 1,859 | 1,200 | |||||||||||||||||||||||||||||||||||||||||||
| Deferred tax liabilities | 1,736 | 1,121 | 1,736 | 1,121 | |||||||||||||||||||||||||||||||||||||||||||
| Other non-current liabilities | 6,496 | 4,194 | 5,172 | 3,339 | |||||||||||||||||||||||||||||||||||||||||||
| Total liabilities | 105,296 | 67,987 | 114,792 | 74,116 | |||||||||||||||||||||||||||||||||||||||||||
| Share capital | 3,474 | 2,243 | 3,474 | 2,243 | |||||||||||||||||||||||||||||||||||||||||||
| Capital surplus | 26,979 | 17,420 | 26,979 | 17,420 | |||||||||||||||||||||||||||||||||||||||||||
| Other components of equity | 25,523 | 16,479 | 34,697 | 22,403 | |||||||||||||||||||||||||||||||||||||||||||
| Retained earnings | 580,882 | 375,058 | 634,617 | 409,754 | |||||||||||||||||||||||||||||||||||||||||||
| Equity attributable to owners of the Parent Company | 636,858 | 411,200 | 699,767 | 451,820 | |||||||||||||||||||||||||||||||||||||||||||
| Non-controlling interest | 508 | 328 | 516 | 333 | |||||||||||||||||||||||||||||||||||||||||||
| Total equity | 637,366 | 411,528 | 700,283 | 452,153 | |||||||||||||||||||||||||||||||||||||||||||
| Total liabilities and equity | 742,662 | 479,515 | 815,075 | 526,269 | |||||||||||||||||||||||||||||||||||||||||||
* For convenience purposes only, the KRW amounts are expressed in U.S. dollars at the rate of KRW 1,548.78 to US
GRAVITY Co., Ltd.
Consolidated Statements of Comprehensive Income
(In millions of KRW and thousands of US$ except for share and ADS data)
| Three months ended | Six months ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 31-Mar-26 | 30-Jun-25 | 30-Jun-26 | 30-Jun-25 | 30-Jun-26 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| (KRW) | (KRW) | (KRW) | (US$) | (KRW) | (KRW) | (US$) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| (unaudited) | (unaudited) | (unaudited) | (unaudited) | (unaudited) | (unaudited) | (unaudited) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Revenues: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Online games | 25,906 | 21,971 | 29,660 | 19,151 | 40,777 | 55,566 | 35,877 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Mobile games | 132,800 | 144,003 | 128,611 | 83,040 | 259,489 | 261,411 | 168,785 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Other revenue | 3,172 | 4,766 | 3,613 | 2,333 | 7,938 | 6,785 | 4,382 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Total net revenue | 161,878 | 170,740 | 161,884 | 104,524 | 308,204 | 323,762 | 209,044 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Cost of revenue | 110,224 | 114,006 | 109,541 | 70,727 | 201,464 | 219,765 | 141,896 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Gross profit | 51,654 | 56,734 | 52,343 | 33,797 | 106,740 | 103,997 | 67,148 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Operating expenses: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Selling, general and administrative expenses | 19,609 | 33,509 | 21,131 | 13,644 | 55,368 | 40,740 | 26,305 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Research and development | 1,133 | 3,291 | 2,951 | 1,905 | 6,722 | 4,084 | 2,637 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Others, net | 82 | 264 | 679 | 438 | 250 | 761 | 491 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Total operating expenses | 20,824 | 37,064 | 24,761 | 15,987 | 62,340 | 45,585 | 29,433 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Operating profit | 30,830 | 19,670 | 27,582 | 17,810 | 44,400 | 58,412 | 37,715 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Finance income(costs): | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Finance income | 9,871 | 2,651 | 5,875 | 3,793 | 13,368 | 15,746 | 10,167 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Finance costs | (2,376) | (3,615) | (987) | (637) | (10,612) | (3,363) | (2,171) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Profit before income tax | 38,325 | 18,706 | 32,470 | 20,966 | 47,156 | 70,795 | 45,711 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Income tax expense | 8,934 | 5,486 | 8,123 | 5,245 | 11,858 | 17,057 | 11,013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Profit for the year | 29,391 | 13,220 | 24,347 | 15,721 | 35,298 | 53,738 | 34,698 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Profit attributable to: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Non-controlling interest | (3) | (25) | 6 | 4 | 15 | 3 | 2 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Owners of Parent company | 29,394 | 13,245 | 24,341 | 15,717 | 35,283 | 53,735 | 34,696 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Earnings per share | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| - Basic and diluted | 4,230 | 1,906 | 3,503 | 2.26 | 5,077 | 7,733 | 4.99 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Weighted average number of shares outstanding | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| - Basic and diluted | 6,948,900 | 6,948,900 | 6,948,900 | 6,948,900 | 6,948,900 | 6,948,900 | 6,948,900 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Earnings per ADS | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| - Basic and diluted | 4,230 | 1,906 | 3,503 | 2.26 | 5,077 | 7,733 | 4.99 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
* For convenience, the KRW amounts are expressed in U.S. dollars at the rate of KRW 1,548.78 to US
(1) Each ADS represents one common share.
