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Krafton Inc
KRX:259960

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Krafton Inc
KRX:259960
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Price: 224 000 KRW 1.82% Market Closed
Market Cap: ₩10.6T

ROCE

17.7%
Current
No historical data
Comparison unavailable

Return on Capital Employed (ROCE) measures how efficiently a company uses its capital to generate profit. It shows how much net income is earned for each dollar of capital employed.

ROCE
17.7%
=
EBIT
₩1.3T
/
Avg Capital Employed
₩7.2T

Return on Capital Employed (ROCE) measures how efficiently a company uses its capital to generate profit. It shows how much net income is earned for each dollar of capital employed.

ROCE
17.7%
=
EBIT
₩1.3T
/
Avg Capital Employed
₩7.2T

Peer Comparison

Country Company Market Cap ROCE
KR
Krafton Inc
KRX:259960
10T KRW
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US
Activision Blizzard Inc
LSE:0H8X
74.1B USD
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CN
NetEase Inc
NASDAQ:NTES
73.5B USD
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JP
Nintendo Co Ltd
TSE:7974
10.1T JPY
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SG
Sea Ltd
NYSE:SE
54.6B USD
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US
Electronic Arts Inc
NASDAQ:EA
49.5B USD
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US
Roblox Corp
NYSE:RBLX
44.7B USD
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US
Take-Two Interactive Software Inc
NASDAQ:TTWO
38.8B USD
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CN
Zhejiang Century Huatong Group Co Ltd
SZSE:002602
133.8B CNY
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JP
Konami Holdings Corp
TSE:9766
2.7T JPY
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JP
Nexon Co Ltd
TSE:3659
2.4T JPY
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Market Distribution

Higher than 93% of companies in Korea
Percentile
93nd
Based on 2 731 companies
93nd percentile
17.7%
Low
-829.3% — -1.2%
Typical Range
-1.2% — 7%
High
7% — 23 096.4%
Distribution Statistics
Korea
Min -829.3%
30th Percentile -1.2%
Median 2.7%
70th Percentile 7%
Max 23 096.4%

Krafton Inc
Glance View

Krafton Inc., a South Korean titan in the gaming industry, has risen to prominence largely on the back of its colossal hit, "PlayerUnknown’s Battlegrounds" (PUBG). This battle royale game transformed the landscape of online gaming by introducing a gripping, last-man-standing format that captivated millions of players around the globe. With this winning formula, Krafton successfully diversified its revenue streams beyond initial game sales to include in-game purchases, cosmetic upgrades, and seasonal battle passes, all of which keep players engaged and spending. This model, supported by recurring revenue, offers insights into the company’s strategic mastery at driving user engagement and monetization. Despite the monumental success of PUBG, Krafton Inc. has not rested on its laurels. Recognizing the mercurial nature of the gaming market, the company has embarked on an ambitious journey to broaden its portfolio and future-proof its business against market volatility. To this end, Krafton is investing heavily in new technologies and content, exploring avenues such as narrative-driven games, and showcasing its prowess in developing immersive virtual worlds. By leveraging its expertise in crafting engaging experiences and tapping into emerging trends like artificial intelligence and extended reality, Krafton aims to sustain its growth and secure its place as a mainstay in the highly competitive gaming industry. Through these strategic and innovative endeavors, Krafton continues to craft its story of resilience and adaptability, remaining a formidable player on the global gaming stage.

Intrinsic Value
373 571.77 KRW
Undervaluation 40%
Intrinsic Value
Price
What is Return on Capital Employed?
Return on Capital Employed (ROCE) measures how efficiently a company uses its capital to generate profit. It shows how much net income is earned for each dollar of capital employed.
How is ROCE calculated?

ROCE is calculated by dividing the EBIT by the Avg Capital Employed.

ROCE
17.7%
=
EBIT
₩1.3T
/
Avg Capital Employed
₩7.2T
What is Krafton Inc's current ROCE?

The current ROCE for Krafton Inc is 17.7%, which is in line with its 3-year median of 17.8%.

How has ROCE changed over time?

Over the last 3 years, Krafton Inc’s ROCE has increased from 12.5% to 17.7%. During this period, it reached a low of 12.5% on Sep 30, 2022 and a high of 21.3% on Mar 31, 2023.

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