Webzen Q3 Profit Drops 29% Amid Game Launch Delays

South Korean game publisher Webzen reported a significant decline in third-quarter earnings, with operating profit falling to 5.3 billion won as the company awaits new title releases to revive its portfolio.

The company disclosed financial results on November 6 showing total revenue of 36 billion won for the quarter, alongside a net profit of 5.2 billion won. Year-over-year comparisons revealed a steeper downturn, with revenue declining 17.8%, operating profit dropping 29.3%, and net profit falling 40.1%. Sequential performance also weakened relative to the second quarter, with revenue down 5.2%, operating profit declining 4.7%, and net profit sliding 16.9%. Webzen attributed the contraction to prolonged gaps in releasing new games across both domestic and international markets.

The publisher is banking on several upcoming titles to reverse this trend. At G-STAR 2026 in November, Webzen will debut a playable demo of TDG: LAST STAGE, a command strategy RPG adapted from the Naver Webtoon series "I Became the Tyrant of a Defense Game." The game leverages Unreal Engine 5 technology combined with hand-animated pixel art characters, merging 2D aesthetic sensibilities with 3D spatial environments. The company targets a launch window in the first half of 2027.

Alongside this reveal, Webzen will present a teaser for MU Theos, an MMORPG built on the established MU franchise. The title emphasizes rapid character progression while introducing enhanced growth systems and competitive features compared to previous entries in the series. Internal benchmark testing has concluded, with a 2027 launch targeted.

Webzen's development subsidiaries are also advancing new projects to strengthen intellectual property presence and market positioning. Webzen Redstar is creating PROJECT G, an Unreal Engine 5-based MU game designed specifically for Western audiences. The publisher plans to share detailed business strategies as each project reaches completion milestones.

CEO Taeyoung Kim acknowledged the current performance challenges, stating the company is implementing comprehensive measures to address sluggish results stemming from delayed game launches. He emphasized the organization's commitment to supporting its development subsidiaries while establishing strategies for sustained growth, including diversified overseas business approaches.