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2025-03-11 15:35 grvy - 6k_20210813.htm GRAVITY REPORTS SECOND QUARTER OF 2021 RESULTS AND BUSINESS UPDATES Seoul , South Korea ― August 13 , 2021 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 , 2021 , prepared in accordance with international Financial Reporting Standards as issued by the International Accounting Standards Board and business updates . SECOND QUARTER 2021 HIGHLIGHTS • • • Total revenues were KRW 83,611 million ( US $ 73,965 thousand ) , representing a 20.4 % decrease from the first quarter ended March 31 , 2021 ( “ QoQ ” ) and a 5.5 % decrease from the second quarter ended June 30 , 2020 ( " YoY " ) . Operating profit was KRW 19,157 million ( US $ 16,947 thousand ) , representing a 31.5 % decrease QoQ and a 17.4 % increase YoY . Profit before income tax expenses was KRW 19,387 million ( US $ 17,150 thousand ) , representing a 32.3 % decrease QoQ and a 18.7 % increase YoY . Net profit attributable to parent company was KRW 14,766 million ( US $ 13,062 thousand ) , representing a 37.3 % decrease QoQ and a 12.8 % increase YoY . REVIEW OF SECOND QUARTER 2021 FINANCIAL RESULTS Revenues Online game revenues for the second quarter of 2021 were KRW 22,380 million ( US $ 19,798 thousand ) , representing a 15.0 % increase QoQ from KRW 19,458 million and a 22.6 % decrease YoY from KRW 28,907 million . The increase QoQ was mainly attributable to increased revenues from Ragnarok Online in Thailand . The decrease YoY was largely due to decreased revenues from Ragnarok Online in Thailand and revenues from collaboration event with Garena's Free Fire items based on Ragnarok Online IP . Mobile game revenues were KRW 55,140 million ( US $ 48,778 thousand ) for the second quarter of 2021 , representing a 33.1 % decrease QoQ from KRW 82,438 million and a 1.6 % increase YoY from KRW 54,249 million . The decrease QoQ resulted primarily from decreased revenues from Ragnarok X : Next Generation in Taiwan , Hong Kong and Macau , Ragnarok Origin in Korea and Ragnarok M : Eternal Love in Southeast Asia . Such decrease was partially offset by increased revenues from Ragnarok X : Next Generation in Southeast Asia that was launched on June 18 , 2021. The increase YoY was primarily due to revenues from Ragnarok X : Next Generation in Taiwan , Hong Kong , Macau and Southeast Asia and Ragnarok Origin in Korea . This increase was partially offset by decreased revenues from Ragnarok M : Eternal Love and Ragnarok Tactics . https://www.sec.gov/Archives/edgar/data/1313310/000156459021044126/grvy-6k_20210813.htm 2/8