슬라이드 1

INVESTOR RELATIONS 2012
Content
Ⅰ. OVERVIEW

Company Overview

Business Overview

Strategic Goals
Ⅱ. SNG & Mobile Game

R&D Superiority

Global Expansion

Strategy - Domestic

Strategy - Japan
Ⅲ. Online Game

Strategy

New Games
Ⅳ. Appendix
Ⅰ. Overview
 Company Overview
 Business Overview
 Strategic Goals
Ⅰ. Overview
Company Overview
Company Profile
Est. Date
Business Area
• Outstanding Shares : 16,800,000
Feb. 10. 2000
National Pension Service
5.6%
Online / Mobile Game
Development & Publishing
Key
Shareholders
CEO and Management (57.6%)
Listed Market
KOSDAQ (Dec. 18. 2009) (Quote : 112040)
Employees
- WeMade: 703 employees
(Sept. 2012)
Capital Structure
- WeMade (incl. 11 subsidiaries): 1,371 employees
KB Asset
9.9%
As of
October
2012
Others
26.9%
CEO &
Management
57.6%
Home Page
www.wemade.com
4
Ⅰ. Overview
Business Overview
 Shifted main developmental focus to the mobile sector in early 2010 : Evolution into a mobile gaming company
 Developmental roots - MMORPG : Strong brand equity in China („Legend of Mir‟ franchise)
Mobile & SNG
Online Game
g
• Mobile/SNG
R&D Personnel: 600+
Joymax Philippines
Marketing & Operations
5
Ⅰ. Overview
Strategic Goals
 World - class mobile content provider with a global reach
 Strong, diverse pipeline of mobile games covering a wide genre of gameplay.
 MMO‟s optimized for China market providing strong steady cash flow.
Growth Driver = Mobile Game
Sales Breakdown
• Expanding R&D : 600+ dedicated mobile developers
• Continual launch of 10~15 games each year
• Global expansion (Japan, US, ... )
Mobile Sales
15%
Mobile Sales
Over 50%
Online Sales
85%
Online Sales
Under 50 %
Cash Cow = Online Game
• New games : „Heavenly Dragon‟, „NED‟
• „Heavenly Dragon‟, „Lost Saga‟ - China launch
2012(E)
2014(E)
• Maintain stable earnings from China : „Mir2‟, „Mir3‟
6
Ⅱ. SNG & Mobile Game
 R&D Superiority
 Global Expansion
 Strategy - Domestic
 Strategy - Japan
Ⅱ. SNG & Mobile Game
R&D Superiority
 Leverage 10+ years of experience as MMO developer to create a new, exciting mobile content.
 Network, community based mobile content to increase lifecycle and replayability.
 IAP Revenue model
Next Generation Mobile Content
Graphic
Artistry
Technical
Expertise
Planning
Expertise
Server/Client
Programming
600+ Dedicated Mobile R&D Personnel – Largest in Korea
8
Ⅱ. SNG & Mobile Game
Global expansion
 Expand into key strategic areas starting with Japan
 Partnership with strong local mobile platform players
 Increase firm‟s brand equity (E3, TGS, G-Star)
To be a Global Mobile & SNG Content Provider
Country
Smartphone
Penetration
(F)20131)
Mobile Game
Market
(F)20133)
Korea-2012
over 53%2)
580 mil USD
Japan-2012
48%
1,431 mil USD
US-2013
68%
1,823 mil USD4)
China-2013
38%
1,910 mil USD
Source : Gartner, IDS, UBS estimates
Source : Korea Communications Commission (Jun. 2012)
3) Source : White Paper on Korean Games 2011
4) North America mobile game market
WeMade’s Business
- Launched 3 games for AOS version on 30th July 2012
through “Kakao Talk Game Center”
- Launched 2 games in April 2012 for the iOS market
- Establish partnership with a strong local platform player
- Participate in „TGS‟ in Q3 2012
- Participated in „E3 game show‟ in Q2 2012
- Establish partnership with a strong local platform player
1)
2)
9
Ⅱ. SNG & Mobile Game
Strategy - Domestic
 Customer Acquisition strategy - “KaKao Talk”
 Increase brand equity and build “WeSocial” portal into a global mobile gaming platform
 Continual launch of 10~15 games each year
 Diverse pipeline with flexibility considering the market situation.
To be launched
In Service
App
Store
Apple App Store (in April)
Google Play Store (on 30th July)
T-store (SKT) +
...
„WeSocial‟ Platform
....
Goblin
Line
up
Ark Sphere
P
Viking Island
Chaos &
Defense
~ Q3 of 2012
Candy Pang
Every Farm2
Rhythm
Scandal
Silkroad War
Caffe Storia
Friend Fighter
Mini Games
Q4 of 2012
Hero Square
Project L
Pet Island
Epic Kingdom
2013
Star City
Project Pang
10
Ⅱ. SNG & Mobile Game
Strategy – Domestic (Kakao Synergy)
 Android ver. of “KaKao Talk Game Center” opened on July 30th, 2012
 “Candy Pang” launched on Sept. 25th, 2012
 Top 2 ranking within 2 weeks of launch based on gross sales for “Candy Pang”
Channeling Service
(Kakao Talk Game Center)
Game Download
(Google play store)
- Top 2 ranking in Google Store
based on gross sales
Play Game
(Integration with Kakao‟s friend list)
[ Candy Pang ]
[ Viking Island ]
• Download: 8,000,000+ • Download: 1,500,000+
• DAU: 200,000+
• DAU: 4,000,000+
11
Ⅱ. SNG & Mobile Game
Strategy - Japan
 Participate in TGS to increase brand awareness in Japanese market
 Establish a strategic alliance with strong local mobile platform player “LINE”
Tokyo Game Show
• Introduce next generation SNG
Viking Island
Pet Island
- SNG
- WeMade‟s 1st SNG
- SNG
- AAA Title
EveryFarm2
Hero Square
- SN-RPG
- AAA Title
- Fantasy SN-RPG
- Social Farming &
Crafting sim.
CaffeStoria
- SNG
- Café business sim.
Ark Sphere
- Mobile MMORPG
Japanese Line up
• 1 or 2 games to be opened in 2012
Chaos&Defense Viking Island
Pet Island
Hero Square
EveryFarm2
CaffeStoria
Q4 2012 and Beyond
Minigame
Ark Sphere
12
Ⅱ. SNG & Mobile Game
Strategy – Japan (Partnership Synergy)
 Strategic partnership with “LINE” to localize and service content
 Customer Acquisition : Leverage “LINE”‟s strong brand equity and publishing know-how
 Optimal localization of content
Content Provider
Publishing Service
Game Download
(Japanese Application Store)
Localization, Marketing, Operations
Platform
Apple App Store
Strong local platform player
Google Play Store
D Market (DoCoMo)
Local Subsidiary
AU Market (KDDI)
Yahoo! Market (SoftBank)
13
Ⅲ. Online Game
 Strategy
 New Game
‘Heavenly Dragon’
‘NED’
Ⅲ. Online Game
Strategy
 Stabilize „Legend of Mir 2‟ in China with Shanda
 „Heavenly Dragon‟ – The successor to the „Legend of Mir‟ franchise
Domestic
New Game
• Continued growth from „Lost Saga‟
• New Games
Mir2
Mir2
Mir2
- „NED‟ 2014
Mir2
Mir2
Mir3
Mir3
Changchun
SilkRoad
Mir3
Changchun
SilkRoad
Lost saga
Changchun
Others
Others
2009
2010
Others
2011
Mir3
Changchun
Digimon
SilkRoad
Mir3
China
SilkRoad
• „Lost Saga‟ , „Heavenly Dragon‟ launch
Changchun
Digimon
Lost saga
Lost saga
Others
Others
2012(E)
- „Heavenly Dragon‟ 2013
2013(E)
expected in 2013
• Strong brand equity & relationships with
local publishers
15
Ⅲ. Online Game
New Online Game - Heavenly Dragon(3D MMORPG)
Developed for China Market
Heir to the „Legend of MIR‟ Franchise
Legend
of MIR
3D
Version
Multiple Characters & Skills
Intuitive Control & Gameplay
2013
Korea
Service
&
China
Service
16
Ⅲ. Online Game
New Online Game – NED (3D MMORPG)
Next Generation MMO - CryEngine3
Deep, Expansive Environment
WeMade’s
Signature
Fantasy
MMORPG
Fellow System
Air, Land Battle System
2014
Korea
Service
17
Ⅳ. Appendix
 Games
 Condensed Financial
(Consolidated)
 Condensed Financial (WeMade)
Ⅳ. Appendix
Games
Mobile & SNG Games
Viking Island
SNRPG
Every Farm2
(New)
SNG
Chaos&Defense Rhythm Scandal
RTS
Star City Mobile
(New)
SNG
3D Dance
Candy Pang
Pet Island
(New)
Hero Square
(New)
Puzzle
3D SNG
SNRPG
NED SNG
(New)
Project L
(New)
Epic Kingdom Heavenly Dragon SNG
(New)
(New)
RPG
MMORPG
SNG
AOS
Silkroad War
(New)
Strategy Simulation
Caffe Storia
(New)
Friend Fighter
(New)
SNG
Action
Ark Sphere
(New)
Project Pang
(New)
Braves
(New)
MMORPG
Slingshot Battle
RPG
Goblin Mobile
(New)
Action RPG
RPG & Casual Games
Legend of Mir2 Legend of Mir3
2D MMORPG
2D MMORPG
Tartaros
3D MORPG
Heavenly Dragon
(New)
3D MMORPG
NED
(New)
3D MMORPG
Goblin
(New)
3D MMORPG
Project Q
(New)
Silkroad
Lost Saga
Digimon Masters
3D MMORPG
3D MMORPG
Action
3D MMORPG
19
Ⅳ. Appendix
Condensed Financials (Consolidated)
• Balance Sheet
(Billion KRW)
• Income Statement
2010
2011
H1 2012
(Billion KRW)
2011
H1 2012
109
116
57
COGS
14
15
7
392
Gross Profit
95
101
50
29
28
Op Expense
67
81
45
321
331
364
Op Profit
28
19
5
362
359
392
Non Op Ex
5
7
2
33
27
8
9
-4
0
Discontinued Ops
-2
-4
0
Net Income
22
26
8
Attributable to Wemade
20
23
7
2
3
0.4
Current Assets
252
216
205
Revenues
Non Current Assets
110
143
188
Total Assets
362
359
41
Equity
Liabilities & Equity
Liabilities
2010
Inc before Taxes
Taxes
Minority Interest
20
Ⅳ. Appendix
Condensed Financials (WeMade)
• Balance Sheet
(Billion KRW)
• Income Statement
2010
2011
H1 2012
(Billion KRW)
2011
H1 2012
88
82
41
4
5
2
Gross Profit
83
77
39
Op Expense
55
54
29
310
Op Profit
29
24
10
329
Non Op Exp
5
-1
1
34
23
12
9
-4
1
26
27
11
Current Assets
157
130
133
Revenues
Non Current Assets
141
167
196
COGS
Total Assets
297
297
329
32
19
19
Equity
265
278
Liabilities & Equity
297
297
Liabilities
2010
Inc before Taxes
Taxes
Net Income
21