❝'Kakao Games has both sales and operating profit consensus for the first quarter of 2026 (sales of KRW 96.7 billion, operating profit -15.8 billion won). Consolidated sales recorded 82.9 billion won (-32.5% YoY, -16.1% QoQ) and operating profit -25.5 billion won (-104.7% YoY, continued deficit QoQ). The main causes of poor performance are the downward stabilization of sales of existing flagship live games and the gap in the release of large-scale new games. Reflecting the gap in updates for existing titles and the natural decline, mobile game sales recorded KRW 55 billion (-43% YoY), a significant decrease compared to the same period last year. On the other hand, PC game sales showed relatively solid performance, recording KRW 27.9 billion (+4% YoY). Operating expenses were KRW 108.4 billion, down about 20% from the same period last year, demonstrating efforts to improve cost efficiency, but it was judged to be insufficient to offset the sharp decline in sales. ❞