KRAFTON Breaks Revenue Records in First Half of 2025 – Second Half More Uncertain
KRAFTON has announced its highest-ever revenue for the first half of a fiscal year, driven by the continued success of PUBG, new IP development, and a broad investment strategy. Under Korean International Financial Reporting Standards, the company recorded KRW 1.5362 trillion ($1.1 billion) in revenue and KRW 703.3 billion in operating profit from January to June 2025.
Compared to the same period in 2024, KRAFTON’s revenue rose 11.9% while operating profit increased by 9.5%. In the second quarter alone, KRAFTON earned KRW 662 billion in revenue and KRW 246 billion in operating profit. This performance positions KRAFTON as one of the most financially stable game publishers entering the second half of 2025.
“KRAFTON is ramping up efforts to discover and grow new franchise IPs. As part of its 5-year plan to build major global IP, the company has launched a pipeline of 13 new game projects, supported by top-tier talent and development resources,” the company said in a press release.
The company’s earnings breakdown highlights consistent performance across PC, mobile, and console platforms. PC revenue reached KRW 543.2 billion, mobile brought in KRW 960 billion, and console and other categories contributed KRW 33 billion.
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PUBG Powers Steady Growth Across Platforms
PUBG: Battlegrounds continued to anchor KRAFTON’s performance on PC. A key factor in its growth was the April introduction of the “Contender” character upgrade system, which received strong player engagement. Live service updates further sustained momentum throughout the first half of the year.
“Looking ahead to the second half of 2025, KRAFTON plans to deepen player engagement with high-profile collaborations, including France’s luxury carmaker Bugatti and global K-pop sensation aespa,” the company said – both scheduled for the second half of 2025.
Mobile revenue remained strong as well, bolstered by high-engagement content such as progressive skins, including X-Suits. In India, Battlegrounds Mobile India benefited from targeted marketing and partnerships with major Indian brands, which helped solidify its position in a highly competitive market.
Expansion Through New Games and Publishing Models
KRAFTON is actively expanding the PUBG universe through new titles. One of the most anticipated is PUBG: Blindspot, a top-down tactical shooter set to make its global debut at Gamescom in August. In parallel, Project Black Budget, an extraction shooter, will enter closed alpha testing later this year.
Beyond internal development, KRAFTON is investing heavily in its publishing capabilities. It is launching a flexible Second Party Publishing model, starting with Rivals Hover League, a vehicle-based arena battler developed by EF Games. A demo for the game went live on July 25, and more titles are in the pipeline.
The company also continues to support inZOI as a long-term live service. inZOI has quickly become the fastest-selling Korean premium title to surpass 1 million units, topping sales charts in 27 countries across North America, Europe, and Asia.
Investments in AI and Industry Diversification
KRAFTON is investing in artificial intelligence to shape future gameplay experiences. The company recently introduced “Orak,” an AI agent evaluation benchmark based on large language models. KRAFTON also partnered with SK Telecom to apply post-training techniques to three 7-billion-parameter open-source models, improving inference performance in game contexts.
These AI initiatives are aimed at powering future games that require complex reasoning and dynamic decision-making. KRAFTON intends to refine these models further as part of its mid- to long-term technology roadmap.
Outside gaming, KRAFTON expanded into adjacent industries. In April, it acquired adtech firm Neptune, and in July, it made a strategic investment in Japan’s ADK Group, a major force in advertising and anime production. KRAFTON also acquired Eleventh Hour Games, the studio behind action RPG Last Epoch.
Eleventh Hour Games was secured on July 25 in a deal that included an initial payment of $96 million. Last Epoch has sold over 3 million copies since its release in 2024 and is currently gearing up for its third season set to launch on Aug. 25.
Subnautica 2 Dispute Casts Shadow Over Second Half of 2025
As KRAFTON reports record earnings in the first half of 2025, it is also facing a legal dispute with former Unknown Worlds executives Charlie Cleveland, Max McGuire, and Ted Gill over the early access over the early access delay of Subnautica 2 and a $250 million earn-out bonus.
KRAFTON has accused the trio of abandoning the project after Moonbreaker’s failure, causing delays and internal disruption. Cleveland denies the claims, asserting that the game was ready for release and that he and his colleagues have filed a playsuit to defend their actions and uphold team-wide profit sharing.
