Summary
South Korean holding company and video game publisherKraftonrecorded record-breaking earnings for 2024, with all-time highs in both its sales and operating profits.Kraftonis perhaps best known as the publisher behind the highly successfulPUBG: Battlegrounds, as well as being the parent company of subsidiaries likeTERA’s Bluehole Studios andSubnautica’s Unknown Worlds Entertainment, all of which have contributed to the Korean company reporting massive earnings increases in 2024.
Founded in 2018 as a parent company to Bluehole, Krafton began as a holding company for its internal video game properties before expanding to acquire other studios as subsidiaries. Krafton has since grown to be one of the largest video game companies in South Korea and has expanded its IP ownership to include hitvideo games likeSubnauticaandHi-Fi Rush. With a number of big projects planned for 2025, Krafton has revealed the impressive growth it experienced in 2024 and how these trends may shape its future endeavors.
According to consolidated financial statements under Korean International Financial Reporting Standards, Krafton recorded over $2.7 trillion KRW ($1.4 billion USD) in earnings and $1.2 trillion KRW ($826 million USD) in 2024. These earnings mark new all-time highs for Krafton and represent a year-over-year growth of 42% in sales and 52% in operating profits. Krafton credits the milestone increases to the sustainability of thePUBGIP, especially withPUBG: Battlegroundsmoving to a free-to-play model and driving growth in concurrent player counts. The continued success ofPUBG, along with IP collaborations with various brands, was noted as contributing to almost $1 trillion KRW ($688 million USD) in PC and console sales for Krafton in 2024. Positive investor response to the record-breaking earnings and player interest innew changes toPUBGhave encouraged Krafton to keep driving growth while planning for 2025.
Looking to build upon its financial success from 2024, Krafton has a number of projects already lined up for 2025. The company currently has several titles scheduled to release in 2025, includinginZOI,Dark and Darker Mobile,Subnautica 2, andDinkum Together. There are also plans in place for diverse content and services related toPUBG, including new games based on the IP. Krafton also intends to significantly invest in a “Big Franchise IP” while expanding itsPUBGIP franchise strategy. Beyond its gaming focus, Krafton is also working to boost and leverage the implementation of Artificial Intelligence within the industry with its own AI capabilities, such as Co-Playable Characters. The company has asserted a dedication to its “competitive edge in the global gaming market” and aims to use its earnings to bring new experiences to players around the world.
In spite ofdifficult financial times for the video game industry, Krafton found monumental success in 2024 and hopes to keep the momentum rolling through 2025. It remains to be seen if the South Korean company will see continued growth in its earnings, butKraftonseems keen on utilizing its existing strategies to remain competitive and successful.
