Shift Up, the Korean game development studio, has achieved remarkable success with its latest release, Stellar Blade. This success is clearly reflected in the company’s financial performance during the second quarter of 2024, covering the months of April, May, and June.
According to the Q2 earnings report, Shift Up generated an impressive $48 million in revenue during this quarter, marking a significant 65.4% increase compared to the same period last year. In addition to this revenue growth, the company experienced a substantial 49% year-over-year increase in operating profit, reaching $33.1 million. Meanwhile, net profit grew by 5.1%, totaling $29.7 million.
Financial Highlights:
- Total revenue: $48 million (65.4% increase year-over-year)
- Operating profit: $33.1 million (49% increase year-over-year)
- Net profit: $29.7 million (5.1% increase year-over-year)
Stellar Blade’s Impact on Shift Up’s Revenue and Profit
Stellar Blade has been a major factor in this financial achievement. Released in April 2024 as a PlayStation 5 exclusive, the game sold over 1 million copies within the first two months of its release, generating $19 million in revenue.
While the company doesn’t provide us with month-by-month sales, the company’s IPO stock report released in June, detailed that Stellar Blade earned $4.5 million in April and $11.3 million in May, totaling $15.8 million. With the game earning $19 million by the end of the quarter, we can safely assume that Stellar Blade generated around $3.2 million in June.
Despite a slowdown, which is common for any game, the company stated that its sales still going strong. With plans to release additional content and expand into the PC gaming market, the company anticipates these efforts will continue to drive revenue in the near future.
Goddess of Victory: Nikke – Still the Major Contributor to the Company’s Revenue
Although Stellar Blade played a crucial role in these amazing results, Shift Up’s other major title, Goddess of Victory: Nikke, continued to be a dominant revenue driver.
Until now the game used to contribute 90 to 95% of the company’s revenue. For example, in the last quarter, it accounted for nearly 97% of the company’s total revenue, bringing in $28 million.
However, in this quarter, while the game still generated around $29 million, its share of the company’s total revenue now dropped to almost 60%.
What’s Next for Shift Up?
Riding high on their recent success, Shift Up has ambitious plans for the future:
- Stellar Blade Expansion: The company is working on additional content updates and developing a PC version to reach a wider audience.
- Project Witches: A new AAA action RPG is in development, slated for cross-platform release with more details expected in 2025.
- Team Growth: Shift Up plans to increase its workforce to about 420 employees by the end of 2025, with specific hiring targets for various projects.
- Potential Stellar Blade DLC and Sequel: There are also plans for a sequel to Stellar Blade along with the release of DLCs.
- Nikke Collaborations: The second half of 2024 will see major events and collaborations for Goddess of Victory: Nikke, as the company approaches the game’s second anniversary. This includes partnerships with major IPs, anniversary celebrations, and seasonal events for winter and New Year.
How Did Shift Up Perform in the Stock Market?
In financial markets, Shift Up made headlines with its initial public offering (IPO) last month, which was the largest for a game company in South Korea in nearly three years.
The IPO raised $319.7 million, reflecting strong investor confidence in the company’s future prospects and its ability to continue delivering successful games.
For more information, visit the official Shift Up website. And remember to subscribe to Gaming Foodle for more news!
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