Korean developer attributes drastic dip in operating income and profits to a "one-off write off" on Auto Assault.
Seoul-based online game developer and publisher NCsoft has posted a 43 percent drop in net profits for 2006. Pre-tax profit was 50 billion won (approx $53.3 million), 41 percent down from the previous year, while operating profit was at 43.3 billion won ($46.1 million), down 44 percent.
Although profits were down, the company's sales have been "constant" year on year, which it puts down to existing games such as Lineage and Lineage II performing strongly. Consolidated sales for the fourth quarter were 90.2 billion won (approx $96.1 million).
Overseas sales made up 46 percent of the total, breaking down to 20 percent from North America, 12 percent from Europe, and nine percent from Japan. NCsoft believes that the launch of Guild Wars Nightfall and an increase in the number of players of Lineage II boosted sales in the US and Europe.