Good morning. I'm Cho Jeongyeon from the IR team at Kakao Games. Let's begin the 2026 third quarter earnings presentation. Today, I am joined by our co-CEO, Kim Tae-hwan and Lee Si-woo, as well as CFO Shin Kwon-ho. We will start with the CFO's presentation on 2026 third quarter earnings. As a disclaimer, today's earnings release includes estimates based on K-IFRS consolidated statements, which are subject to change upon the auditor's review. [Non-English content] Good morning. I am Shin Kwon-ho, CFO of Kakao Games. Thank you all for joining our call today. Last quarter, we committed that we will engage in regular communications to provide greater visibility and share the company's direction forward and its growth strategy. Since then, over the three months, we acted upon such plan, including releasing new titles, making strategic investments, and driving corporate value enhancements. Realm of Dokkaebi, released October the 8th, achieved record high user count among all of the titles we have so far serviced, becoming number one top-grossing game in the major app marketplace. And in September, we entered an agreement to acquire control of ME2ON and Ghost Studio Group, known for their social casino and casual games, which will help secure a solid basis for driving global revenue. Also, as promised, we completed the transfer of funds to retained earnings through a reduction in capital reserve and completed treasury share purchases by the management team. Going forward, we will faithfully deliver on our commitments, demonstrate our performance through tangible results, and further strengthen the market's confidence in the company. That being said, I will now run through the business results of Q3 2026. [Non-English content] Kakao Games reported third quarter consolidated revenue of KRW 69.1 billion and operating loss of KRW 26.3 billion. Due to lack of new releases, revenue fell 46% year-over-year and 8% Q-on-Q. Despite cost-cutting efforts on lower revenue, operating loss expanded by KRW 3.3 billion Q-over-Q. As mentioned last quarter, we expect revenue to bottom out in Q3. With Realm of Dokkaebi's commercial success and consolidation of ME2ON in the financials, we expect revenue to rebound in Q4. By Q1 next year, our aim is to achieve a turnaround in operating profit following the release of new large-scale titles, including Odin Q. [Non-English content] Moving on to Q3 revenue breakdown. First, PC game revenue fell 57% year-on-year and 17% Q-on-Q to KRW 18.5 billion because it was off-peak season for promotions of legacy titles. In Q4, there will be major collaboration updates for PUBG, and with the early access of ArcheAge Chronicles, which began this morning, and official rollout of Path of Exile 2 slated for December, we will be able to broaden our revenue stream. Due to lack of new releases and natural decline from legacy titles, mobile games saw a 40% year-on-year and 4% Q-on-Q decline, recording KRW 50.6 billion in revenue. Despite a series of new MMORPG launches in the market, Odin domestic, being our core title, saw both traffic and revenue uptrend Q-over-Q, attesting to the game's competitiveness even though the game is in its fifth year. Through a new class update in December, we will expand onboarding of new and returning users, building a stable revenue stream underpinned by a robust core user base. In Q4, we also expect mobile revenue to recover once the performance from Realm of Dokkaebi is accounted for in the financials. [Non-English content] Next is operating expense. In Q3, consolidated operating expense fell 28% year-on-year and 3% Q-on-Q to KRW 95.4 billion. The breakdown is as follows. Labor cost was down 6% Q-on-Q to KRW 36.7 billion, coming in flat year-over-year. We saw costs come down following the impact from operational efficiency efforts, which started last quarter. Marketing spend fell 32% year-on-year as we continued to be selective on marketing for the legacy titles, but because there was pre-marketing for Realm of Dokkaebi, marketing spend increased 76% Q-on-Q, reporting KRW 6.2 billion. In Q4, we plan to strengthen marketing activities in order to drive user inflow and expand revenue for Realm of Dokkaebi, and also do pre-marketing for Odin Q, which is scheduled for release next January. There will be increase in marketing spend on new titles, but anchoring on performance, we will operate efficiently relative to revenue. Commissions, which comprises of fees paid to the platform and the game studios and payment for infrastructure due to the decline in top-line revenue, fell 47% year-on-year and 4% Q-on-Q, reporting KRW 35 billion. There were no meaningful changes to note for depreciation and other expense items. [Non-English content] Next, I will give an update on the improvement of the financial position and implementation of the shareholder return plan, which we communicated last quarter. On 24th August, extraordinary shareholders meeting made the resolution to reduce capital reserve, transferring that amount to retained earnings, thus securing the funds necessary for implementing shareholder return, including share buyback and dividend payout. The management, as committed, completed the purchase of KRW 5 billion in treasury shares, and we are currently discussing with the financial institutions regarding the terms of early repayment of borrowings and will start the process of repayment early next year. The ME2ON acquisition actually increases consolidated cash position, and so our plan to improve the company's financial position remains unchanged. We are also preparing to make the first RSU grant early next year, linked to year-end performance evaluation, intended to reinforce the principle of performance-based compensation. Shareholder return of the company will consider both new release performances and growth investment opportunities, and relevant decisions will be made in a balanced manner that maximizes corporate value. This ends the briefing on the third quarter business results of Kakao Games. I will now give the floor to Co-CEO Lee Si-woo to run through performance of new releases, rollout timeline, and ME2ON acquisition. [Non-English content] Good morning. I'm Co-CEO Lee Si-woo. Last quarter, we committed to delivering on our promises and demonstrating tangible results in order to regain the trust from the market. The first new release under the new management was Realm of Dokkaebi, and this title is winning meaningful commercial success, and we have also executed new investment strategies through the acquisition of controlling share of ME2ON. Today, I will talk about major titles, their performances, upcoming timeline, and explain the background to the acquisition of ME2ON. [Non-English content] As mentioned by our CFO, since its release on October 8th, Realm of Dokkaebi has consistently been ranked as top grossing title in the main app marketplace, recording highest unique user traffic among all of the MMORPGs serviced by Kakao Games. In this highly competitive market, through differentiated servicing strategies, we acquired broad-based users, and even with limited initial monetization mechanism in place, we became number one grossing title, making this achievement all the more meaningful. We will continue to solidify the basis for long-term success through wide-ranging collaborations and content expansion. I believe Realm of Dokkaebi has plenty of potential for the global market with Korea-themed universe and billing schemes that is different from other legacy MMORPG titles. Thus, we are preparing for a launch on the Steam platform as well as global mobile platform in the second half of 2027. We will nurture Realm of Dokkaebi as our long-term global IP success. [Non-English content] On new pipeline, we are focused on making the final preparations for the upcoming highly anticipated launch of Odin Q, slated for release next January. Drawing on the success of Odin and development capabilities at Lionheart Studio, Odin Q, as a AAA title, is a game adopting quarter-view based combat and large-scale PvP content. We will concurrently release the title in Taiwan and Japan together with domestic launch, and we'll be able to prove Odin's IP competitiveness yet again. Also last week, Odin received an import game license from China. We've prepared for this for a long time, and it's meaningful as we have secured the basis to enter the Chinese market with Odin, which has been proven over the past five years, and in China, which is one of the biggest game markets of the world. We will come back to you with a concrete plan in due course. [Non-English content] Early access on Steam for "ArcheAge Chronicles" started just today, while "Path of Exile 2" official launch will be in December. Next year, there will be a series of releases, including "God Save Birmingham," "Guardian Maiden," "Chrono Odyssey," and "ArcheAge S." Meanwhile, for "Dungeon Arise," which we said will be launched in the fourth quarter, after completing the closed test, we are now looking into different servicing options and thus have not included it in the company's guidance. Going forward, we will take on a more prudent approach when dealing with the release timeline. That being said, major titles, including "Odin Q," are progressing as per the timeline communicated last quarter. We are also tapping into other new publishing arrangements yet to be disclosed and will communicate once the new lineup becomes concrete. [Non-English content] Also, we executed a contract for acquiring ME2ON in September, under which we will gain a 39.6% equity stake with KRW 99.6 billion invested in secondary shares and new share issuances. Upon closing the transaction in Q4, the entity will be consolidated into our financial statement. There are largely three key rationales for the ME2ON investment. [Non-English content] First is the steady cash flow. ME2ON and its subsidiary, Ghost Studio, have long been serving the North America and global market with its social casino and casual games, generating persistent revenue and profit, not becoming reliant on commercial success of new title releases. We thus expect the acquisition will be complementary to our business portfolio, which was more dependent on new releases of AAA titles, causing significant variability in the performance. Second, it's a financially sound transaction. ME2ON has KRW 100 billion net cash on a consolidated basis with no leverage, and our consolidated net borrowing following the acquisition thus will decrease by approximately KRW 30 billion. The transaction will drive both investment for growth and improvement for the financial position. Third, global business capacity expansion. We expect that ME2ON's global live servicing and marketing capabilities will support our global expansion, including the global launch of Realm of Dokkaebi. [Non-English content] After the acquisition, we will retain the stable business foundation of ME2ON whilst enhancing corporate value through the cooperation of the two companies. We will pursue investment in a way that balances financial return and strategic value, with the focus on strengthening our core businesses and global capabilities. [Non-English content] Let me sum up what was said so far. First, Q3 was the bottom, and starting the fourth quarter, we will see a rebound. The commercial success of Realm of Dokkaebi and ME2ON consolidation is the starting point. Second, the commitments made last quarter are being executed. New releases, shareholder returns, strategic investments are all being carried out as planned, and in the process, we will ensure transparency and share updates. Third, we are aiming for a turnaround in operating profit in Q1 of next year with the release of Odin Q in January. Lastly, I would like to take this opportunity to thank the shareholders and investors for your continued interest and support. This ends the earnings presentation for Q3 of 2026. We will now take your questions. [Non-English content] Now Q&A session will begin. Please press star one, that is star and one, if you have any questions. Questions will be taken according to the order you have pressed the number star one. For cancellation, please press star two, that is star and two on your phone. In order to allow as many Q&A chances as possible within the restricted time, we would appreciate only two questions per each participant. [Non-English content] The first question will be provided by Jaemin Ahn from NH Investment & Securities. Please go ahead with your question. [Non-English content] Good morning. Thank you for taking my question. I am Ahn Jaemin from NH Investment & Securities. My first question relates to Realm of Dokkaebi. I see the external metrics that you're sharing, and I see that the revenue performance is quite good, as you've mentioned in your opening presentation. So can you share with us what the initial performance profile looks like, and what are some of the differentiating factors of this game title, and what are your views in terms of sustainability of the top-line revenue? Second question is on Odin Q. Would like to gain some color as to the unique characteristics of Odin Q, as well as what your expectations are compared to the existing title. [Non-English content] Yes, this is Tae-hwan, the CEO. We'll respond to your question about the initial performance and some of the key drivers behind that achievement. [Non-English content] We believe that this achievement is significant in three key aspects. [Non-English content] First, we've tapped into new demand beyond the traditional MMORPG player base. Realm of Dokkaebi is attracting not only MMORPG players but also users from a wide-ranging other gaming genre. Players in their 40s account for the largest share as of now, while we are also seeing balanced onboarding of users across different age groups, confirming demand from a broader audience. We believe that organic, viral word of mouth from players who have experienced the game is really driving further user acquisition and expanding its commercial success. The second point is the actual scale of our user base. Realm of Dokkaebi allows each user to run only one game client at a time. This is intended to prevent player numbers from being inflated by repeated logins or multiple accounts and to ensure that the in-game economy is driven by actual players. The results are all the more meaningful thus because they have been achieved under this principle. Realm of Dokkaebi has recorded one of the highest net active user count amongst all of the Kakao Games core genre game titles, demonstrating that its success is being driven by genuine players. [Non-English content] The third factor is that we achieved top grossing ranking while focusing solely on service stability and content improvement following the initial launch. Rather than putting monetization front and center, we focused on helping players adapt to the game and fully experience the enjoyment of character progression and the gameplay. Despite this approach, we achieved number one grossing position in the major app store, and this is because it shows that our new gameplay experience and service direction has truly translated into tangible business results. While we can't disclose specific daily revenue or user metrics, the revenue contribution will be reflected in our fourth quarter results. [Non-English content] Now moving on to the second question on what our strategy is to drive long-term commercial success. [Non-English content] Realm of Dokkaebi is demonstrating new possibilities for the so-called K-MMORPGs with gameplay and a service strategy that is different from the conventions of traditional MMORPG games. Our current focus, thus, is on strengthening content competitiveness to turn its initial success into sustainable long-term performance. Firstly, we have announced a roadmap of major content updates every two weeks for approximately three months following the initial rollout. By adding new progression goals, competitive content, and PvE features, we aim to allow players to enjoy the game in a way that best suit their individual preferences. We're also exploring collaborations that naturally incorporate external IPs while preserving the distinctive aesthetics of its pixel art graphics. Through developer livestream sessions, the team is communicating directly with the player base and quickly incorporating their feedback into the game. As a result, the overall quality of the game continues to improve beyond its initial launch. [Non-English content] The revenue structure is also worth highlighting. Rather than relying on a small number of high-spending users, we are building a broad revenue base driven by users with moderate spending levels. The in-game economy, where players earn and trade resources through the gameplay, provides an additional motivation to keep playing and is expected to contribute to long-term revenue stability. Given that the game is still in its early phase, it is too early. However, we will leverage traffic driven by genuine players and continue content expansion to convert the initial success into stable revenue. Above all, our domestic success is just the beginning. We're preparing for a global launch of Realm of Dokkaebi on mobile and Steam platform targeted for the second quarter of next year. The low entry barrier, accessible gameplay, and broad monetization that we have been able to validate in Korea represent competitive advantage that can resonate across different countries and cultures. In particular, the pixel art graphics and player-driven economy are features that appeal to overseas PC and Steam users as well, giving us the confidence in the game's potential to achieve even greater success in global markets. We will therefore grow and cultivate this game title in the global market and develop it into a top-tier RPG, so that it can become our long-term source of revenue and follow the footsteps of Odin. [Non-English content] This is Si-woo Lee, the other Co-CEO. I will now provide you an answer regarding what are the key characteristics and what expectations we have with regards to Odin Q. [Non-English content] I will first talk about Odin. When Odin was first launched, it attracted new types of demand with gameplay that offered less of a demanding progression requirement and a lower level of competitive intensity compared to the hardcore MMORPGs that were popular at that time. [Non-English content] Whilst for Odin Q, it really builds on the development capabilities we have accumulated through Odin and directly targets hardcore MMORPG players. Our goal is to address the unmet needs of hardcore users and deliver the feature that's been missing in the existing games. We plan to further enhance quarter-view combat system and large-scale PvP content, delivering highly polished experience that brings the classical appeal of core MMORPGs up to the standards required in 2027. [Non-English content] In terms of the timeline of the Odin Q release, now we want Odin Q to be positioned as a top-tier MMORPG in all three countries, including Korea, Taiwan, and Japan. We've been servicing the game globally for a long time, including these countries, and we know there is solid demand for MMORPG games and expectations are high for upcoming release. Especially for MMORPGs, character progression and competition are central to the experience as the game becomes more engaging and dynamic with more gamers growing and competing together. In Taiwan and Japan, however, market was of a limited size, and so it was challenging to maintain the dynamism of competition as service matured. Odin Q thus is designed to address these limitations by enabling users in all three countries to grow and compete together on a shared stage from launch while challenging one another across markets. Through this approach, we aim to take the core MMORPG experience to the next level. [Non-English content] We're also confident of Lionheart Studio's capabilities, proven by Odin's long-running success, as well as Kakao Games' servicing capabilities. We aim to grow Odin Q into another major hit IP, following the steps of Odin, and make it a new growth engine for us that will take the company's revenue to the next level. [Non-English content] What's the next question, please? [Non-English content] The following question will be presented by Seung-ho Choi from Hyundai Motor Securities. Please go ahead with your question. [Non-English content] I am Seung-ho Choi from Hyundai Motor Securities. I have two questions. I would like to know about the potential cannibalization that you may experience since there are a number of newly-slated titles for next year, which are mostly focused around MMORPG game titles, including ArcheAge Chronicles, which you have started early access today. Providing a certain explanation for the potential cannibalization would be helpful. The second question is that since there are going to be quite a number of new title releases next year, how would you guide your marketing spending for next year? [Non-English content] Responding to your question, yes, we've released ArcheAge Chronicles today, and there are multiple large-scale MMORPGs slated for release, and you asked about the potential cannibalization. [Non-English content] Firstly, to summarize the characteristics or the categories of these game titles, "Odin" and "Realm of Dokkaebi" and "Odin Q" are based off of the Korean-themed — it's more of a Korean-style MMORPG games that is based on the mobile platform, whereas "ArcheAge Chronicles" and "ArcheAge S" are based upon the ArcheAge IP and developed to cater to the global or the overseas taste. [Non-English content] All of the three game titles basically are MMORPGs, but they target different segments of the market, so we expect cannibalization to be very much limited. Rather than competing for the same users, we see "Odin," "Realm of Dokkaebi," and "Odin Q" as a complementary lineup, each serving a distinct player base and collectively expanding Kakao Games' MMORPG user base as well as the revenue scale. Our actual data supports this very view. Around the launch of "Realm of Dokkaebi," Odin's DAU, Daily Active User count, changed only by a few dozen, so we can confidently say that there was virtually no impact. [Non-English content] When "Odin" was first launched, it catered to more of the hardcore mainstream MMORPG, and now it is in its sixth year of servicing, and it continues to deliver stable performance supported by its extensive content build-up over the years and its solid user base. "Realm of Dokkaebi" takes this a step further by expanding its appeal beyond MMORPG players to users who enjoy a variety of different game genres. This is particularly meaningful because it's attracting new player segments that Kakao Games had not previously reached. With exploration and PvE-oriented content added to its progression and competitive features during the fourth quarter, we expect to be able to further broaden this appeal to users in their 20s. Since I talked about "Odin Q" before, I will skip that aspect. To summarize what I have said so far, while "Odin" continues to firmly serve its mainstream MMORPG demand, "Realm of Dokkaebi" extends our reach to players beyond that genre, and "Odin Q" targets the hardcore segment. Now, there are other cases in Korea in the MMORPG market where original titles and their successors have grown side by side without cannibalizing each other, thanks to their distinct target audiences. We therefore believe that all three games can collectively expand our MMORPG player base and revenue scale. [Non-English content] In terms of the marketing, when a certain game title is launched, what we do is we set aside about 10% of the marketing budget as against the potential revenue that will be generated in a 12-month going forward period. That 10% of the marketing budget is not going to be spent out all at once. What we do is we closely monitor the UA metrics, the indicator, after which we make the decision to make that expenditure based upon the marketing budget. It would be, therefore, rare for us to spend that marketing budget and not be able to recover the investment that's been made. Now, in terms of "Realm of Dokkaebi," since we've been able to validate its commercial success, we are going to take on a more active approach as we have increased the marketing budget set aside for "Realm of Dokkaebi." [Non-English content] Next question, please. [Non-English content] The following question will be presented by Donghwan Oh from Samsung Securities. Please go ahead with your question. [Non-English content] Thank you. I have two questions. You've mentioned that with the commercial success of "Realm of Dokkaebi" and with the upcoming "Odin Q," you are expecting to see a positive turnaround in your operating profit. But still, even on that basis, there are two potential risks that we need to be considering, which is usually in the fourth quarter, we see a high level of depreciation and amortization. The second is because of the non-controlling, basically the revenue attributable to the non-controlling shareholding, basically, that has an impact of lowering your net profit. My question is that even with "Odin Q" becoming a success, that would mean that Lionheart Studio's net profit is going to go up, and also on ME2ON, because your equity holdings there is not majority holdings. My question, therefore, is that for you to report a net profit attributable to the governing shares, the majority shareholding, what would have to be the revenue for you to be able to achieve a net profit on that basis? Also, in terms of the ME2ON acquisition, the key entity that is generating profit for them is their Ghost Studio, developing those casino-type and casual-type of game titles, but they have extensively entered into other business sectors such as healthcare and entertainment business and beauty as well. What are your plans in terms of dealing with those other businesses? [Non-English content] Regarding your question at what revenue level we will be able to turn positive in terms of the net profit attributable to the governing shares, there are multiple factors that come into play other than simply the revenue figure in terms of the consolidated basis, the amortization-related aspect, as well as net profit attributable to non-governing shares and the corporate tax. There are multiple line items that come into play in determining the net profit attributable to the governing shares. Having said that, I understand that there could be some concerns in the market with regards to the impairment side with the implementation of the IFRS 18 standard. Over the past 2-3 years, because of the delay in the new title pipeline release, there was quite a significant accounting for impairment loss. This year, we will also be conducting impairment tests, and there may be a certain amount of impairment that needs to be booked. I can tell you that because the pipeline, the timeline of new releases, has been more or less fixed, I believe that we will not be booking any significant amount of impairment loss. [Non-English content] Also because Realm of Dokkaebi has been a commercial success and because there are a number of upcoming titles scheduled for the first quarter and the second quarter, we can expect to see less dependence on one single title, which is the Odin title. The difference between the profit attributable to controlling versus non-controlling shares, I do not think that there will be that significant a gap between the two. [Non-English content] Regarding the second question on ME2ON, at this point, ME2ON and Ghost Studio, that transaction has not yet reached closing, so I cannot be making any definitive statement on this. Having said that, as you've mentioned, the social casino is a cash cow for this studio, and it is quite profitable. In terms of their other business lines, like entertainment, media, and webtoon business, there's a bit of a loss that has been booked and being considered. However, it is showing an improvement trend. I don't think that it is to the extent where it actually drags on the business performance. We will be closely discussing with the management of ME2ON to find and explore ways for us to further maximize synergies between the companies. [Non-English content] Thank you very much. This brings us to the end of the earnings call by Kakao Games for the third quarter of 2026. Thank you very much.