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Nexon revenue grows in Q4 and full year 2013, new CEO appointed

Nexon, the Korean publisher of free-to play online games, recorded strong revenue growth during its most recent fiscal year and fiscal quarter, and is promoting Owen Mahoney to CEO, the company announced today.

During the fiscal quarter ending Dec. 31, 2013, the fourth and final quarter of Nexon's 2013 fiscal year, the company recorded revenue of 34.47 billion yen ($337.79 million), a 12 percent increase over the fourth quarter of 2012. That included a 17 percent improvement in revenue from PC games, but a 5 percent decrease in revenue from mobile games. The performance was led by a 65 percent jump in revenue from Korea, including the "continued strong performance" of FIFA Online 3 (screenshot above), according to a press release.

Nexon's fourth-quarter operating income plummeted 96 percent year-over-year to 327 million yen, a drop that the company attributed primarily to an "impairment loss" of 9.5 billion yen from its Ndoors Corp. subsidiary. Because of that, Nexon suffered a net loss during the fourth quarter of 4.44 billion yen.

Total revenue for 2013 went up 43 percent to 155.3 billion yen, while operating income was up 7 percent to 50.7 billion yen and net income came in 30.1 billion yen, also up 7 percent. Nexon officials noted that the company is "still underperforming in Japan and the West," and they hope to improve that situation with the announcement of the company's new CEO, Owen Mahoney.

Mahoney is taking over for Seungwoo Choi as president and CEO; Choi is retiring and will take the title of honorary chairman. Mahoney joined Nexon as chief financial officer and chief administrative officer in 2010. Prior to his time at Nexon, he was senior vice president of corporate development at Electronic Arts from 2000 to 2009.

"I am delighted and honored to have the opportunity to lead this outstanding company," said Mahoney. "We will continue to build on our success by focusing even more sharply on a smaller number of high-quality titles and development efforts; attracting and supporting leading industry talent; and leveraging our accumulated expertise and track record of successful partnerships with leading talent around the world looking to transition to free-to-play."