Activity Blizzard recorded lower sales and operating profit in the third quarter of this year. Blizzard sales increased due to the launch of Diablo Immortal China, but active sales decreased due to the sluggish Call of Duty: Vanguard. Diablo Immortal was promoted, but he could not fill the gap with Call of Duty: Vanguard.
Activity Blizzard announced on the 7th (based on local) and its 3rd quarter of its 2022. In this quarter, Activity Blizzard recorded sales of $1.78 billion (about 2.47 trillion won) and operating profit of $485 million (about 672.3 billion won). This is a 13.9% decrease in sales and 41.1% of operating profit from the same period last year.
In terms of company results, Activision was lower than the same period last year, while Blizzard and King’s sales increased slightly. First, active sales decreased by 25.1% and operating profit by 37.3%, while MAU (monthly active user) decreased 18.5% from the same period last year. In response, Active’s former Blizzard cited Call of Duty: Vanguard, and the new film ‘Call of Duty: Modern Warfare 2 2022’, which was released on October 28, recorded the highest sales of $1 billion in the series. It is expected that rebound will be possible in the fourth quarter.
Blizzard then sales increased 10.1% from the same period last year, and MAU also increased 19.2% to 31 million. In the case of sales, Diablo Immortal has led sales. Activision Blizzard also explained that Diablo Immortal, which was released in China in July, is the main factor in sales. In addition, since the title was released in June, it is also a time when sales are reflected in the third quarter of this year.
Specifically, sales by game were not disclosed, but Blizzard’s third-quarter sales increased $50 million from the same period last year. In addition, Overwatch 2 is released in the fourth quarter, and in the third quarter, there was no major new work that could increase sales in addition to Diablo Immortal.
However, Blizzard operating profit fell 11.7% from the same period last year. In response, the Active Former Blizzard explained that the increase in marketing costs was affected. On September 28 and October 5, World of Warcraft: Rich King’s Rage Classic and Overwatch 2 were released, reflecting the relevant costs.
Blizzard will launch World of Warcraft’s new expansion packs on the 29th, and Warcraft-based mobile ‘Warcraft: Alight Rumble’ is undergoing a local test. In addition, it is focusing on the development of Diablo 4, which will be released next year.
In addition, Blizzard said in January next year that a local publishing license agreement with a Chinese partner will be terminated. Although it was not announced what the game was, it was not a Diablo Immortal, and the contract size was 3% of the sales of Blizzard connections last year. In response to this, the active Blizzard explained that it is discussing the contract renewal, but it may not be a satisfactory deal with each other, and that the company’s business will grow significantly in the long term in the Chinese market.
Finally, King’s sales increased 6.1% and operating profit decreased by 2%. MAU also decreased by 2% to 240 million. King explained that his masterpiece, Candy Crush, is still a good advantage, and is making a name for a game that has achieved the highest sales in the Apple App Store for the first time in a row. In addition, he added that it has achieved advertising revenue in the game similar to the same period last year.