International publisher PUBG Mobile announced the acquisition of Neon Giant, the developer of The Ascent, and plans to open a new studio in Canada.
Krafton, the Korean-based publisher of PUBG Mobile internationally has announced its Q3 financial results along with the news that they are preparing to inaugurate a remarkable new game studio.
The company reported that it posted revenue of $328.5 million and net profit of $171.5 million, then marking a year-over-year improvement of 27%. Krafton also announced it was acquiring Neon Giant, the developer of The Ascent game, and opening a new studio in Canada.
Its revenue was announced at 433.8 billion KRW ($328.5 million, down 17% year-on-year). Net profit reached 226.4 billion KRW (171.5 million USD, 27%). This is the lowest quarterly revenue since Q4 2020 but still has a profit of more than $175 million. That’s also a significant drop from the record revenue the Korean company reported in Q1 2022, which hit $405.7 million at the time. However, falling sales did not stop net profit from increasing markedly.
PUBG: Battlegrounds has been a major factor in Krafton’s revenue growth, with sales increasing in the third quarter thanks to retention of new users joining the free version. Meanwhile PUGB Mobile generated 282.4 billion KRW (214.1 million USD, up 26%), accounting for 65% of the company’s own total revenue. Krafton plans to build and release a lighter version for gamers using low-end smartphones.
The publisher also said that it is “continuing efforts to resume services for Battlegrounds Mobile India, which was banned in the past, and will continue to invest in the Indian game market”. Battlegrounds Mobile India is the India-specific version of PUBG Mobile after it was banned by the government for the same reason in 2020.
Finally, Krafton spoke about the studio in its financial statements. The company said it plans to acquire Swedish gaming studio Neon Giant, though no numbers or details were given. The studio was founded by the former developers of Wolfenstein and Bulletstorm in 2018. Krafton also plans to set up a major studio in Canada for the development of The Bird That Drinks Tears, a game based on the fake novel. The idea is inspired by Korean mythology written by Korean author Lee Yeongdo.