Seoul: Kakao Games Corp., the game publishing unit of South Korean internet tech giant Kakao Corp., said Wednesday it swung to an operating loss in the second quarter on weak sales. The company posted an operating loss of 8.6 billion won (US$6.2 million) in the April-June period, compared with an operating profit of 1.07 billion won a year ago, according to its regulatory filing.
According to Yonhap News Agency, its sales slumped 24 percent on-year to 115.8 billion won, while its net loss widened to 33.6 billion won. The company attributed the weak bottom line to sluggish sales in both mobile and PC games. Its sales from mobile games decreased 26 percent on-year to 101 billion won due to a lack of new titles. Sales from PC games dropped 9 percent to 14.8 billion won.
Kakao Games said it plans to publish new game titles in various genres starting in the coming quarter, including the global launch of its new mobile action role-playing game Goddess Order.