KRAFTON, Inc., the South Korean gaming giant behind popular titles like PUBG: BATTLEGROUNDS and BATTLEGROUNDS MOBILE INDIA (BGMI), announced robust financial results for the third quarter of 2025, achieving quarterly revenue of $635 million (equivalent to KRW 870.6 billion) and operating profit of $254 million (KRW 348.6 billion) . This marks a significant year-over-year increase, with revenue up by $110 million (KRW 151.3 billion, or +21%) and operating profit rising by $18 million (KRW 24.2 billion, or +7.5%) compared to the same period in 2024 .
The company’s cumulative performance for the first three quarters of 2025 set new records, with total revenue reaching $1.75 billion (KRW 2.4069 trillion) and operating profit surpassing $767 million (KRW 1.0519 trillion) for the first time in this period . These figures highlight KRAFTON’s strong momentum across its gaming portfolio, particularly in PC and mobile segments, amid strategic expansions in key markets like India and investments in AI technologies .
Segment-Wise Performance and Key Drivers
KRAFTON’s Q3 revenue was distributed across platforms, with PC contributing $258 million (KRW 353.9 billion), marking a 29% year-over-year growth fueled by the enduring popularity of PUBG: BATTLEGROUNDS . High-profile collaborations, including tie-ups with K-pop stars aespa and G-DRAGON, as well as luxury brand Bugatti, helped drive user engagement and set new quarterly records for the PC segment .
The mobile segment, a cornerstone of KRAFTON’s business, generated $356 million (KRW 488.5 billion) in revenue, supported by global content updates like the “Transformers”-themed mode and X-Suit progressive skins . In India, BGMI achieved its highest quarterly revenue through localized strategies, such as exclusive skins and expanded services, solidifying its status as the country’s “national game” with over 240 million downloads .
Console revenue stood at $7 million (KRW 10.2 billion), while the “others” segment surged 131% year-over-year to $13 million (KRW 18 billion), boosted by ad tech contributions from subsidiary Neptune .
Strategic Initiatives for Future Growth
Looking ahead, KRAFTON is focusing on enhancing its core PUBG IP while developing new franchises . The company plans to evolve PUBG: BATTLEGROUNDS into a “PUBG 2.0” platform with upgrades to Unreal Engine 5, expanded gameplay modes, and user-generated content (UGC) features . On mobile, sustained growth is expected through diversified content and stable operations .
KRAFTON is also investing in 11 new projects to build a “Big Franchise IP,” including the upcoming open-world survival game Palworld Mobile, which will be showcased at G-STAR 2025 in Busan, Korea, on November 13 .
In India, KRAFTON aims to deepen its market leadership through local partnerships, region-specific content, optimized infrastructure, and UGC updates . The company has committed approximately $219 million (KRW 300 billion) in cumulative investments for co-growth initiatives, focusing on new IPs in gaming and digital entertainment . This aligns with its acquisition of a controlling stake in Nautilus Mobile in March 2025, enabling direct publishing of Real Cricket 24 and pursuits in sports licensing . Since 2021, KRAFTON has invested over $200 million in Indian startups across gaming, esports, and technology, supporting the local ecosystem via the KRAFTON India Gaming Incubator .
AI-Driven Transformation
KRAFTON is accelerating its shift to an “AI First” company to innovate user experiences . It has established a GPU cluster worth approximately $73 million (KRW 100 billion) for large-scale AI experimentation . In collaboration with SK Telecom, the company is developing a proprietary foundation model with five billion parameters and an integrated AI system for game implementation . A key milestone includes the planned launch of its first Co-Playable Character (CPC), PUBG Ally, in PUBG: BATTLEGROUNDS Arcade Mode in the first half of 2026, promising strategic AI companions for players .
These efforts underscore KRAFTON’s commitment to esports ecosystem building and technological advancement, positioning it for sustainable global growth .
Note: All KRW to USD conversions are based on an approximate exchange rate of 1 USD = 1,370 KRW as of November 4, 2025. Figures are rounded for readability.
