Financial Glossary and Balance Sheet Summary slide image

Financial Glossary and Balance Sheet Summary

Key Franchises Confident in Long-Term Trajectory, Despite Short-Term Challenges Major Titles Short-Term Challenges China Dungeon&Fighter Korea MapleStory ■ Trended as expected until late December when an unexpected imbalance in the in-game economy occurred ■ The imbalance is carrying over into QI and we are seeing soft performance of packaged-item sales from the Lunar New Year update (1/11) ■ In November, a promotional video made by a production company in Korea created a controversy, which led to negative consumer reaction ■ In January, the Korean Fair Trade Commission imposed sanctions alleging that Nexon had, in the past, engaged in an unfair trade practice. This news negatively impacted the MapleStory community Long-Term Approach ■ In 2024, we will not only double the amount of new content added in 2023, but also accelerate the update process ■This will include the renewal of existing characters, introduction of new characters, renovation of the existing item system, collaboration with popular IP, plus more raids, and other high-end content to stimulate player engagement and balance the in-game economy ▪ To create a more enjoyable experience, Nexon discontinued sales of a major probability-based item and transitioned to a business model that offers the same experience, paid for with in-game currency rather than a cash transaction. ■ We anticipate this transition will have a short-term negative impact on revenue but believe it will result in a long-term improvement in player satisfaction and engagement © 2024 NEXON Co., Ltd. All Rights Reserved. 3
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