Curse

Inde · May 04, 2006, 01:39 PM // 13:39

Just an FYI, I know a lot like to keep tabs on this

Quote:

NCsoft Announces 2006 First Quarter Financial Results
Wednesday May 3, 9:56 pm ET

Company Records Quarterly Sales of KRW 78 Billion, Operating Income of KRW 8.7 Billion and Pre-Tax Income of KRW 10.1 Billion

SEOUL, South Korea--(BUSINESS WIRE)--May 3, 2006--Note: 1USD = 939.2 Korean Won (KRW)
NCsoft® Corporation (KSE:036570.KS), the world's leading developer and publisher of online computer games, today reported first quarter 2006 sales of KRW (Korean Won) 78 billion (US$83 million), operating income of KRW 8.7 billion (US$9.2 million), pre-tax income of KRW 10.1 billion (US$10.7 million) and net income of KRW 6.8 billion (US$7.2 million).

By region, domestic sales amounted to KRW 54.9 billion (US$58.4 million), KRW 11.3 billion (US$12 million) for North America, KRW 3.8 billion (US$4 million) for Europe, while Japan saw sales of KRW 8 billion (US$8.5 million). Both Korea and Japan showed an increase in sales from KRW 54.8 billion (US$58.3 million) and KRW 7.9 billion (US$8.4 million) respectively. Sales in North America and Europe decreased to approximately half the levels seen in the previous quarter of KRW 26.2 billion (US$27.9 million) and KRW 7.7 billion (US$8.2 million), following a decline in sales of City of Heroes®/City of Villains(TM) subsequent to the Q405 launch of City of Villains and a slow down of Guild Wars® due to the Q206 anticipated launch of Guild Wars Factions(TM). The percentage breakdown of regional sales shows Korea with 63% of total sales, North America with 15%, Europe with 5% and Japan with 10%. Overseas royalties amounted to 7%.

By game, Lineage® posted sales of KRW 30 billion (US$32 million), up 1% from the previous quarter. Lineage II saw its contribution dip 4% to KRW 29.1 billion (US$31 million) from the previous quarter. Sales of City of Heroes/City of Villains and Guild Wars decreased by 58% and 57% respectively to KRW 6.5 billion (US$6.9 million) and KRW 6.3 billion (US$6.7 million).

The first quarter results marked a downturn from the previous quarter and NCsoft attributed this to a lack of new product launches. The company explained the results were generally in line with forecasts made at the beginning of the year. NCsoft anticipated that sales will resume growing in the second quarter with the launch of new products. The company also revised its earnings guidance to KW 353 billion (US$375.8 million) in sales and to KW 50 billion (US$53.2 million) in operating profit based on product launch plans and market circumstances.

Rather than being bound by short term results, NCsoft will continue to focus on executing its strategy of creating a network of best-of-breed local development talent around the world that outputs a steady pipeline of content onto a global publishing infrastructure. The company plans to integrate all of its services including account management, billing, and authentication into one unified platform by the end of this year and implement this platform across the globe. NCsoft will provide its games through this platform in 2007, the year the company celebrates its 10th anniversary, and expects that this platform will strengthen the competitiveness of NCsoft.

On April 13th, NCsoft unveiled its car combat massively multiplayer online role-playing game (MMORPG), Auto Assault®, in North America and Europe. April 28th marked the global release of Guild Wars Factions. The second installment of the Guild Wars series topped Amazon's bestsellers' lists in Germany and France just two days after its release . Guild Wars Factions is expected to surpass the popularity of the original version. In Korea, the open beta phase of Guild Wars Factions began on April 28th and pay services are expected to begin on May 24th.

2006 marks the fifth year anniversary of NCsoft's entry into the North American market. To commemorate the occasion, the company plans to participate in the world's largest game show, the Electronic Entertainment Expo (E3), held in Los Angeles from May 10-12th. At E3, NCsoft will showcase for the first time, its new MMO project Aion(TM). On display will be other titles in the company's next-generation game portfolio, including Dungeon Runners(TM) and Tabula Rasa(TM).

(Reference) 2006 Q1 Revenues (Unit: KRW mil.)

----------------------------------------------------------------------
Q1, 06 Q4, 05 Q1, 05 QoQ YoY
-------------------- -------- -------- -------- -------- --------
Sales 77,973 96,662 74,605 -19% 5%
-------------------- -------- -------- -------- -------- --------
Operating income 8,693 20,281 15,931 -57% -45%
-------------------- -------- -------- -------- -------- --------
Pre-tax income 10,113 23,243 18,123 -56% -44%
-------------------- -------- -------- -------- -------- --------
Net income 6,823 19,833 13,442 -66% -49%
----------------------------------------------------------------------

About NCsoft Corporation

Headquartered in Seoul, South Korea, NCsoft Corporation is the world's leading developer and publisher of online games. Founded in 1997, NCsoft is home to Lineage, the world's most successful online role playing game and also to Lineage 2, City of Heroes and City of Villains, Guild Wars, Guild Wars Factions and Auto Assault. In coming months, NCsoft is poised to launch other massively multiplayer titles including Tabula Rasa and Aion in addition to various casual games via its game portal, PlayNC(TM). NCsoft has offices in North America, the United Kingdom, Japan, Taiwan, China and Thailand. In fiscal year 2005, NCsoft posted revenues of KRW 338 billion or approximately US$346 million. For more information about NCsoft visit http://www.ncsoft.com or http://www.PlayNC.com.

NCsoft, the interlocking NC logo, Lineage, Guild Wars, Guild Wars Factions, ArenaNet, Auto Assault, Tabula Rasa, Aion, Dungeon Runners, PlayNC, PlayNC.com and all associated logos and designs are trademarks or registered trademarks of NCsoft Corporation. City of Heroes, City of Villains and all associated logos and designs are trademarks or registered trademarks of Cryptic Studios, Inc. and NCsoft Corporation. Cryptic Studios is a trademark of Cryptic Studios, Inc. All other trademarks are the property of their respective owners.

http://biz.yahoo.com/bw/060503/20060503006349.html

KelvinC · May 04, 2006, 01:48 PM // 13:48

lineage II 31 million vs GW 6.9 million... who will get the more love?

Hunter Sharparrow · May 04, 2006, 01:55 PM // 13:55

I don't know why anyone would waste their money to play such a crappy game. I played the 14 day trial of Lineage 2 and it make me feel like I want my money back when I didn't even spend anything in the first place.

Seriously though, I would have to be paid to play that game. I also believe paying a monthly fee in general is a waste of money but hey.

I personally can't wait for NWN2 to come out. GW graphics but with the same indepth play options as the original NWN. PnP DnD as a video game. It even beats DnD Online which seems like nothing better than a more current Diablo.

Oberon Shadowking · May 04, 2006, 02:04 PM // 14:04

Lineage and Lineage II are such massive income gatherers for NCSoft because they are more popular in Korea, where the market is HUGE. Lineage and Lineage II received only lukewarm welcomes here in North America, but in Korea, they are the most played MMO, I believe. GW is a smaller market player in Korea.

Notice also that North America provided what, 12 million of income, and Korea was somewhere around 53 million. Just shows all Koreans are MMO nerds, while Americans are more Counter Strike nerds.

Artisan · May 04, 2006, 02:08 PM // 14:08

Quote:

Originally Posted by Oberon Shadowking

Just shows all Koreans are MMO nerds, while Americans are more Counter Strike nerds.

BOOM! Headshot!

Sorry, couldn't resist.

Inde · May 04, 2006, 02:08 PM // 14:08

Well I found this line interesting...

Quote:

Guild Wars Factions is expected to surpass the popularity of the original version.

I don't consider Factions to be something like an EQ2 or Lineage II that had years of development, it's own seperate development team etc. I know Factions is a stand-alone (not what I'm debating here) but it does have more of the feel of an expansion versus a sequel. I wouldn't think it would do better financially. But maybe I'm defining the word 'popularity' different here then what NCSoft is.

Lasher Dragon · May 04, 2006, 02:12 PM // 14:12

Quote:

Originally Posted by Inde

<snip> I wouldn't think it would do better financially. But maybe I'm defining the word 'popularity' different here then what NCSoft is.

Pirates and Ninjas, Inde. It's all about Pirates and Ninjas.

Kylie Minon · May 04, 2006, 03:33 PM // 15:33

L2 and GW have more things in common than you can imagine. They differ mainly on instanced GW worlds vs. massive L2 realms.

I really realy would like to see L2 style castle sieges on GW but it's impossible under GWs current game structure. Maybe on Ch.3: first 4vs4 then 8vs8 then 12vs12... see a pattern here?

L2 C4 has territorial wars (Orcs vs. Silenos) u can do quests on both sides and gain rewards acordingly... pretty much like Luxon vs. Kurzick.

L2 C4 has noblesse system and C5 will have royal titles, similar to GWs recently added ones. However, in L2 C5 these titles will be functional to a guild hierarchy important on future nation wars... expect a Tyria/Cantha/NewCh.3World war on Ch.3 perhaps?

Just some thoughts...

Tronix · May 04, 2006, 03:46 PM // 15:46

The main difference is that Lineage II is BORING. You only grind grind grind, die, drop armor, grind again.

Count to Potato · May 04, 2006, 03:47 PM // 15:47

GW > Lineage, no competition, too bad Ncsoft isnt an oil company like exxonmobile (15 Billion per quarter)

Manic Smile · May 05, 2006, 06:24 AM // 06:24

Quote:

Originally Posted by Lasher Dragon

Pirates and Ninjas, Inde. It's all about Pirates and Ninjas.

Damnit! Where's MY pirate?

Eclair · May 05, 2006, 06:42 AM // 06:42

Lineage 2 beta actually made me feel like I was working as oppposed to playing a game.

Killing thousands of those stupid mushrooms just so I can buy something better than the starter bow...

BAD MEMORIES!

DIE DIE DIE!

Inde · May 05, 2006, 06:48 AM // 06:48

Quote:

L2 and GW have more things in common than you can imagine. They differ mainly on instanced GW worlds vs. massive L2 realms.

I wasn't talking about the games in specific or similarities between the games. I was speaking more along the lines of development. Lineage 2 has a seperate development team, a seperate website... the same for EQ2. They are true stand alone games. I was speaking more along the company side of things rather then any game content. I know that Ch. 2 has been in development for quite a while, but it's the same devs, community manager, engine, and more.

I was just surprised that they are projecting Factions to become more 'popular' than the original. Now I'm interpreting that to mean they believe it will bring back more profit than Prophecies. But they could mean that the Guild Wars brand will become more well known instead.

Justafyme · May 05, 2006, 08:21 AM // 08:21

I agree with you Inde. I was quite surprised by that line as well.
Maybe they are just working on the assumption that the vast majority of ch1 owners will purchase ch2...like counting the chickens before they hatch. But, only time will tell.

CK0 · May 05, 2006, 08:31 AM // 08:31

Quote:

Originally Posted by Inde

but it does have more of the feel of an expansion versus a sequel. .

I am basking in this snippet right here.

Quote:

Originally Posted by Inde

I was just surprised that they are projecting Factions to become more 'popular' than the original. But they could mean that the Guild Wars brand will become more well known instead.

I am surprised as well. Well we will see in the coming months how much more "popular" GW will get. The real draw of the original GW was that it was the first commerical MMORPG (used as a general term - CORPG if you want), that was without online fees. Yes there are other online MMORPGs alternatives that may be free (some have mentioned another free online MMORPG, I forget the name but I think it had the word "bird" in it), but it isn't on a large scale as GW, meaning advertisements and press, thanks to NCSoft I assume. NCSoft must know something else if they expect popularity to grow more than the original.
I am going out on a limb and tell NCSoft to "expect" a letdown, instead of a growth of popularity, surpassing that of the original GW.

-Loki- · May 05, 2006, 08:45 AM // 08:45

Quote:

Originally Posted by Inde

I don't consider Factions to be something like an EQ2 or Lineage II that had years of development, it's own seperate development team etc.

It did have its own seperate development team. Each of the expansions will.

Justafyme · May 05, 2006, 09:00 AM // 09:00

Quote:

Originally Posted by CK0

I am going out on a limb and tell NCSoft to "expect" a letdown, instead of a growth of popularity, surpassing that of the original GW.

And the only thing stopping me from saying I agree 100% would be the return customer. So many people were very happy with ch1 that they rushed right out and got ch2...multiple copies in some cases. I think it might end up that slightly less copies will be sold (though I can't say a let down)..because I think not eveyone will feel the need to purchase Factions for each copy of Propheices they own. I agree with you on the growth part.
At this point I would be very surprised if Factions did end up selling more.

DJ Josh · May 05, 2006, 09:31 AM // 09:31

more popular ?,would be interesting to find out what the other servers are like.i can tell you that the european cantha is akin to a ghost continent.which isn't surprising given all the people who stated they were holding out for player responses before buying,most of who seem to have decided against factions.my guild is now dead because none of my members are getting factions and were bored with prophecies many moons ago.i my self thought i would take a chance on factions because of my love for the original prophecies(which has dewindled thanks to a lot of the changes,which also promted some of my friends to make an early departure).and i must say i am very upset at the loss of my £30,the game is far to short to be classed as a stand alone imho,can be done in less than a day from birth to the final battle(2 mins and not a monk or heal rit in sight)plus there is no end game content such as fow/uw.you can disagree and say "but there are elite missions" but seriously is this anything more than a farmers/e-bayers wet dream.there are items you can only get from the elite missions and the mass of the games population will never see this content as it stands now.expect to see zodiac skins confined to e-bay sales only myself,but who knows maybe a.net will take head of the complaints this time and make those locked out of content happy again but seriously just look at the changes to favor after a myriad of complaints,oh wait there were none.

i predict a big lose from factions myself unless they stop contradicting themselfs.heres hoping ch3 offers a lot more otherwise cya gw hello the next game(ps3 out round the same time as ch3 might just kill gw off judging from the lack of smiles from ch2).

Snowman · May 05, 2006, 09:32 AM // 09:32

you also have to remember that games like lineage have a monthly subscription for a very good reason!

Their servers and staff and website are VERY expensive to run.

Guildwars has an extremly low 'cost'..so while the figures for lineage look massive its all relative, and on a percentage base, GW makes more in the dollar (or whatever) than lineage does.

Kylie Minon · May 05, 2006, 12:14 PM // 12:14

Quote:

Originally Posted by Eclair

Lineage 2 beta actually made me feel like I was working as oppposed to playing a game.

Killing thousands of those stupid mushrooms just so I can buy something better than the starter bow...

BAD MEMORIES!

DIE DIE DIE!

Lol... that brings some memories... stoopid fungus :S

While noob mobs were a pain on the back, L2 has a very interesting bestiary, specially on lvl 40+ mobs.