Korean developer Vespa, well-known for its mobile RPG King’s Raid, yesterday (7 Feb) was forced to suspend trading of its stock after the latest financial results announcement. According to local news, Vespa’s 2021 total sales saw a drop of 36.5% compared to 2020, and its operating profit saw a drop of 75.3% compared to 2020. In fact, Vespa made an operating loss in 2021 which amounted to around USD 29 million. A main reason is also attributed to “capital erosion” of over 50% for the past 2 years.
Vespa said that the results came from increasing fixed costs and decrease in sales for King’s Raid, its main revenue source. Other factors include new mobile games performing poorly and staffing costs due to several projects being in development. One of the new games which failed to produce results is Time Defenders, which launched in Japan last year. Vespa is now working on Shining Force: Heroes of Light and Darkness.
