Wemade Posts First-Quarter Operating Profit of $6.1 Million, Extending Profit Streak to Three Quarters
Summary
- Wemade said it returned to profit in the first quarter of 2026, posting consolidated revenue of 153.3 billion won, operating profit of 8.5 billion won, and net income of 19.9 billion won.
- The company said weaker game revenue was offset by 30.5 billion won in license revenue tied to the intellectual property of The Legend of Mir 2 and growth in blockchain revenue.
- Wemade said it will release major games sequentially each year, including a new title based on the intellectual property of Night Crows and Project TAL, while pursuing broader platform profitability through greater use of WEMIX and listings on major exchanges in key countries.
Forecast Trend Report by Period
License Revenue Drives Earnings
New Game Releases to Pick Up in Second Half
Wemade Posts First-Quarter Operating Profit of $6.1 Million, Extending Profit Streak to Three Quarters
Wemade stayed profitable for a third straight quarter, supported by license revenue. Sales from its game business declined from the previous quarter, but revenue tied to the intellectual property of The Legend of Mir 2 helped support overall results.
Wemade said May 12 that first-quarter consolidated revenue totaled 153.3 billion won ($110.2 million), with operating profit of 8.5 billion won ($6.1 million). Revenue rose 8.1% from a year earlier, while the company swung to an operating profit from a loss of 11.3 billion won a year earlier. Net income came to 19.9 billion won ($14.3 million), returning to the black.
Compared with the previous quarter, revenue fell 20.0% and operating profit dropped 65.0%. Even so, the company remained profitable for three consecutive quarters, following profits in the third and fourth quarters of 2025.
License Revenue Supports Results
By segment, game revenue accounted for the largest share of first-quarter sales at 115.2 billion won ($82.8 million). License revenue was 30.5 billion won ($21.9 million), while blockchain revenue totaled 7.5 billion won ($5.4 million).
Game revenue declined from the previous quarter. Still, license revenue related to the settlement of a royalty dispute over The Legend of Mir 2 intellectual property with China's Kingnet, officially Shanghai Kaiying Network Technology, helped offset weaker performance.
The blockchain segment continued to grow. Revenue from the business rose 17% from the previous quarter as the WEMIX-based in-game economy in Legend of YMIR, launched in global markets in October last year, gained traction. From a year earlier, blockchain revenue jumped 867%.
Major New Titles to Roll Out From Second Half
Wemade said it plans to keep moving to secure mid- to long-term growth drivers. The company is preparing about 20 new titles across genres including MMORPG, casual and subculture games.
In the second half of this year, Wemade plans to release a new title based on the Night Crows intellectual property. It then plans to roll out major games annually, including Project TAL, its first major global console title. MIR4 and Night Crows, which have already proven their appeal in overseas markets, are also preparing to enter China.
In its blockchain business, the company is focusing on expanding WEMIX's use within games. Wemade plans to strengthen a structure in which user-to-user economic activity is centered on WEMIX as a base currency and translates into higher platform profitability. It also aims to broaden user access through listings on major exchanges in key countries.
Hong Min-seong, Hankyung.com reporter mshong@hankyung.com
Korea Economic Daily
hankyung@bloomingbit.ioThe Korea Economic Daily Global is a digital media where latest news on Korean companies, industries, and financial markets.
