Gravity Co. Reports Strong Revenue Growth in Q2 2025

Gravity Co ( (GRVY) ) has released its Q2 earnings. Here is a breakdown of the information Gravity Co presented to its investors.

Gravity Co., Ltd., a South Korean developer and publisher of online and mobile games, is well-known for its popular game, Ragnarok Online, which is commercially available in 91 markets globally. The company recently released its unaudited financial results for the second quarter of 2025, showcasing significant growth in revenue despite a decline in quarterly profits.

In the second quarter of 2025, Gravity reported total revenues of KRW 170,740 million (US$ 126,147 thousand), marking a 24.2% increase from the previous quarter and a 38.9% increase from the same period last year. However, the operating profit saw a quarterly decline of 20.5% to KRW 19,670 million (US$ 14,533 thousand), although it increased by 31.2% compared to the previous year. The net profit attributable to the parent company was KRW 13,245 million (US$ 9,786 thousand), reflecting a 39.9% decrease from the first quarter but a 5.4% increase year-over-year.

The company’s online game revenues rose by 16.8% quarter-over-quarter and 13.0% year-over-year, primarily driven by the launch of Ragnarok Online America Latina. Mobile game revenues also surged by 24.7% from the previous quarter and 45.4% from the previous year, thanks to the successful launches of Ragnarok M: Classic and Ragnarok X: Next Generation in various regions. Despite these gains, the cost of revenue increased significantly due to commissions for mobile game services, impacting the overall profit margins.

Looking ahead, Gravity continues to expand its portfolio with several new game launches planned across different regions, including the anticipated release of Ragnarok: The Promised Adventure in China and Ragnarok X: Next Generation in Europe, the Middle East, Africa, and South Asia in the coming months. The company’s management remains focused on leveraging its popular Ragnarok IP to drive future growth and maintain its competitive position in the global gaming market.