Investor Presentaiton
FY2021
FY2022
Q1
Q2
Q3
Q4
Q1
Q2
Total Cost of Revenue'
2
¥18,699
¥16,702
¥18,739
¥17,981
¥21,924
¥24,966
Royalty
7,977
5,967
7,712
5,634
9,013
9,142
HR cost (COGS) ³
3
7,281
7,489
7,553
8,576
8,671
10,960
Other (COGS) 4
3,441
3,246
3,474
3,771
4,240
4,864
COGS and SG&A¹
(Unit: \ millions)
Total SG&A'
26,317
23,948
27,467
30,758
30,475
34,322
HR cost
6,582
6,586
6,818
8,566
7,423
7,835
PG fee
5
8,299
6,350
6,894
6,614
8,480
10,909
R&D
4,976
4,935
5,203
5,883
5,790
6,637
Marketing/advertising expenses
3,132
2,968
5,078
6,209
4,856
5,564
Depreciation and amortization
1,453
1,463
1,439
1,088
1,065
934
Other
1,875
1,646
2,035
2,398
2,861
2,443
6
Other Income
Other Expense
Includes: impairment loss
1 Breakdown of COGS and SG&A are unaudited.
2 Royalty includes royalties paid to third-party developers in
order for us to obtain the right to publish their games.
3 HR cost includes salaries, bonuses and benefits for our live
game developers, who support post launch servicing, updating
and support for our games.
124
163
197
321
160
136
100
113
46
19
97
5
2,856
2,820
275
2,286
241
2,219
4 Other (COGS) primarily consists of depreciation and
amortization of assets related to existing games,
connection fees (mainly comprised of co-location and
datacenter fees, internet bandwidth and access fees),
and the costs of purchasing and maintaining our servers
and computer equipment.
5 PG fee in SG&A includes commissions made to external
payment gateway companies when users purchase in-
game items in PC Online games that we service. It also
includes mobile carrier-related commissions we pay
regarding our Japanese mobile browser games,
commissions we pay to Apple/Google regarding our
mobile native games globally, and platform commission
fees related to mobile browser games.
6 Other Income includes other non-operating income, reversal of
deferred revenue, gain on sale of properties, gain on change in
equity and gain on step acquisition.
7 Other Expense includes other non-operating expenses, loss on
sale/disposal of properties, loss on impairment of tangible fixed
assets, loss on impairment of intangible assets, loss on impairment
of other fixed assets and loss on change in equity. It also includes
impairment loss of game IPs and goodwill.
© 2022 NEXON Co., Ld. All Rights Reserved.
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