UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549

Form 6-K

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of November 2022

Commission File Number 000-51138

GRAVITY CO., LTD. ———————————————————————————————————————

(Translation of registrant’s name into English)

15F, 396 World Cup buk-ro, Mapo-gu, Seoul 121-795, Korea

——————————————————————————————————————— (Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F. Form 20-F þ Form 40-F o

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): o

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): o

GRAVITY REPORTS THIRD QUARTER OF 2022 RESULTS AND BUSINESS UPDATES

Seoul, South Korea – November 14, 2022 – GRAVITY Co., Ltd. (NasdaqGM: GRVY) (“Gravity” or “Company”), a developer and publisher of online and mobile games based in South Korea, today announced its unaudited financial results for the third quarter ended September 30, 2022, prepared in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board and business updates.

THIRD QUARTER 2022 HIGHLIGHTS

•Total revenues were KRW 102,377 million (US$ 71,509 thousand), representing an 6.1% increase from the second quarter ended June 30, 2022 (“QoQ”) and a 20.4% decrease from the third quarter ended September 30, 2021 (“YoY”).

•Operating profit was KRW 21,271 million (US$ 14,857 thousand), representing a 3.8% decrease QoQ and a 47.1% decrease YoY.

•Profit before income tax expenses was KRW 24,410 million (US$ 17,050 thousand), representing a 2.2% increase QoQ and a 41.1% decrease YoY.

•Net profit attributable to parent company was KRW 16,076 million (US$ 11,229 thousand), representing a 8.0% decrease QoQ and a 39.0% decrease YoY.

REVIEW OF THIRD QUARTER 2022 FINANCIAL RESULTS

Revenues

Online game revenues for the third quarter of 2022 were KRW 19,271 million (US$ 13,460 thousand), representing a 22.4% decrease QoQ from KRW 24,827 million and a 5.3% increase YoY from KRW 18,295 million. The decrease QoQ was mainly attributable to decreased revenues from Ragnarok Online in Taiwan and Thailand. The increase YoY was largely due to increased revenues from Ragnarok Online in Thailand and Korea. Such increase was partially offset by decreased revenue from Ragnarok Online in Japan.

Mobile game revenues were KRW 79,443 million (US$ 55,490 thousand) for the third quarter of 2022, representing a 16.8% increase QoQ from KRW 68,042 million and a 25.2% decrease YoY from KRW 106,218 million. The increase QoQ resulted primarily increased revenues from Ragnarok Origin, which was launched on September 15, 2022, in Taiwan, Hong Kong and Macau. Such increase was partially offset by decreased revenues from Ragnarok Labyrinth NFT in Southeast Asia, Ragnarok X: Next Generation in Southeast Asia and Taiwan, Ragnarok Origin in North America and Korea. The decrease YoY was due to decrease revenues from Ragnarok X: Next Generation in Southeast Asia and Ragnarok Origin in Japan and Korea. This decrease was partially offset by increased revenues from Ragnarok Origin in Taiwan, Hong Kong and Macau.

Other revenues were KRW 3,663 million (US$ 2,559 thousand) for the third quarter of 2022, representing a 0.4% increase QoQ from KRW 3,650 million and a 11.9% decrease YoY from KRW 4,157 million.

Cost of Revenue

Cost of revenue was KRW 59,829 million (US$ 41,790 thousand) for the third quarter of 2022, representing a 18.3% increase QoQ from KRW 50,575 million and a 9.6% decrease YoY from KRW 66,146 million. The increase QoQ was mainly due to increased commission paid for mobile game services related to Ragnarok Origin in Taiwan, Hong Kong and Macau. The decrease YoY was primarily due to commission paid for mobile game services related to Ragnarok X: Next Generation in Southeast Asia. Such decrease was partially offset by increased commission paid for mobile game service related to Ragnarok Origin in Taiwan, Hong Kong and Macau.

Operating Expenses

Operating expenses were KRW 21,277 million (US$ 14,862 thousand) for the third quarter of 2022, representing a 10.7% decrease QoQ from KRW 23,829 million and a 4.5% decrease YoY from KRW 22,282 million. The decrease QoQ was mainly due to decreased advertising expenses for Ragnarok Labyrinth NFT in global and commission paid for payment gateway fees related to Ragnarok Online in Taiwan and Thailand. The decrease YoY was mainly due to decreased salaries and advertising expenses for Ragnarok: The Lost Memories in Thailand.

Profit Before Income Tax Expenses

Profit before income tax expenses was KRW 24,410 million (US$ 17,050 thousand) for the third quarter of 2022 compared with profit before income tax expense of KRW 23,874 million for the second quarter of 2022 and profit before income tax expenses of KRW 41,435 million for the third quarter of 2021.

Net Profit

As a result of the foregoing factors, Gravity recorded a net profit attributable to parent company of KRW 16,076 million (US$ 11,229 thousand) for the third quarter of 2022 compared with net profit attributable to parent company of KRW 17,465 million for the second quarter of 2022 and a net profit attributable to parent company of KRW 26,351 million for the third quarter of 2021.

Liquidity

The balance of cash and cash equivalents and short-term financial instruments was KRW 293,684 million (US$ 205,134 thousand) as of September 30, 2022.

Note: For convenience purposes only, the KRW amounts have been expressed in U.S. dollars at the exchange rate of KRW 1,431.67 to US$ 1.00, the noon buying rate in effect on September 30, 2022 as quoted by the Federal Reserve Bank of New York.

GRAVITY BUSINESS UPDATE

Ragnarok Online

Ragnarok Online has celebrated its 20th anniversary in Korea in the second half of 2022 since the game was initially launched in Korea on August 1, 2002. As celebrating its 20th anniversary, various kinds of online and offline events and promotions were placed in the third quarter of 2022.

Ragnarok Online IP-based Games

•Ragnarok Origin, a MMORPG mobile and PC game

Ragnarok Origin was launched in multi-platform including mobile and PC in Taiwan, Hong Kong and Macau in September 15, 2022. The game is scheduled to be launched in Southeast Asia in the first half of 2023.

•Ragnarok X: Next Generation, a MMORPG mobile game

Ragnarok X: Next Generation has run the CBT in Korea on October 11, 2022 and has started its pre-registration in Korea on November 3, 2022. Ragnarok X: Next Generation is scheduled to be launched in Korea in the first quarter of 2023.

•Ragnarok M: Eternal Love, a MMORPG mobile game

Ragnarok M: Eternal Love is planned to be launched in Vietnam in the first half of 2023.

•Ragnarok Labyrinth NFT, a blockchain mobile game

Ragnarok Labyrinth NFT was launched in global on September 22, 2022.

•Ragnarok Poring Merge, a blockchain mobile game

Ragnarok Poring Merge was designed as a blockchain game based on P2E systems. The game is prepared to be launched in Southeast Asia in the third quarter of 2023.

•Other Ragnarok Online IP-based games

Ragnarok: The Lost Memories, a Cinematic Newtro Story RPG mobile and PC game, has launched in Korea on August 10, 2022. The game is planned to be launched in Taiwan, Hong Kong and Macau in the first half of 2023.

Ragnarok Monster’s Arena, a Card SRPG mobile game, was launched in Thailand on September 1, 2022. The game also was launched in Korea on September 27, 2022. Ragnarok Monster’s Arena is named differently in Thailand and Korea. The game is as known as Ragnarok Tactics II in Thailand, and it is as known as Ragnarok Arena in Korea. Ragnarok Monster’s Arena is scheduled to be launched in Southeast Asia (except for Thailand), South Asia, Middle East and Oceania in the fourth quarter of 2022.

Ragnarok Begins, a MMORPG mobile and PC game, has run the second CBT for mobile and PC game version in North America on October 14, 2022. The game is scheduled to be launched in North America in November 15, 2022. The game has been developed by Gravity.

Ragnarok IP Game Jam with The Sandbox

Gravity initially signed a Ragnarok IP partnership agreement with The Sandbox, a metaverse gaming platform, on April 1, 2022. Gravity held the Ragnarok Game Jam with The Sandbox on September 7, 2022.

Business Agreement with Me2On

Gravity Neocyon Inc., a subsidiary of Gravity, has signed a business agreement with a mobile social casino game company, Me2On, on October 14, 2022 and is planned to launch a blockchain NFT game in the first half of 2023.

Investor Presentation

Gravity issued an investor presentation. The presentation contains the Company’s recent business updates, results of the third quarter in 2022 and Gravity’s business plan. The presentation can be found on the Company’s website under the IR Archives section at http://www.gravity.co.kr/en/ir/pds/list.asp. Korean and Japanese versions of the presentation are also provided on the website.

About GRAVITY Co., Ltd. ---------------------------------------------------

Gravity is a developer and publisher of online and mobile games. Gravity's principal product, Ragnarok Online, is a popular online game in many markets, including Japan and Taiwan, and is currently commercially offered in 91 markets and regions. For more information about Gravity, please visit http://www.gravity.co.kr.

Forward-Looking Statements:

Certain statements in this press release may include, in addition to historical information, “forward-looking statements” within the meaning of the “safe-harbor” provisions of the U.S. Private Securities Litigation Reform Act 1995. Forward-looking statements can generally be identified by the use of forward-looking terminology, such as “may,” “will,” “expect,” “intend,” “estimate,” “anticipate,” “believe”, “project,” or “continue” or the negative thereof or other similar words, although not all forward-looking statements contain these words. Investors should consider the information contained in our submissions and filings with the United States Securities and Exchange Commission (the “SEC”), including our annual report for the fiscal year ended December 31, 2021 on Form 20-F, together with such other documents that we may submit to or file with the SEC from time to time, on Form 6-K. The forward-looking statements speak only as of this press release and we assume no duty to update them to reflect new, changing or unanticipated events or circumstances.

Contact:

Mr. Heung Gon Kim Chief Financial Officer Gravity Co., Ltd. Email: kheung@gravity.co.kr

Ms. Somin Kim

Ms. Jeesun Lim IR Unit Gravity Co., Ltd. Email: ir@gravity.co.kr Telephone: +82-2-2132-7800

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GRAVITY Co., Ltd.

Consolidated Statements of Financial Position

(In millions of KRW and thousands of US$)

	As of
	31-Dec-21			30-Sep-22
	KRW		US	KRW		US
	(audited)		(unaudited)	(unaudited)		(unaudited)
Assets
Current assets:
Cash and cash equivalents		99,105			107,684
Short-term financial instruments		148,000			186,000
Accounts receivable, net		52,615			78,855
Other receivables, net		1,080			227
Prepaid expenses		3,164			2,866
Other current assets		2,171			2,448
Total current assets		306,135			378,080
Property and equipment, net		11,338			9,879
Intangible assets, net		3,342			3,468
Deferred tax assets		1,719			1,494
Other non-current financial assets		3,019			3,366
Other non-current assets		1,973			1,599
Total assets		327,526			397,886
Liabilities and Equity
Current liabilities:
Accounts payable		41,199			61,640
Deferred revenue		13,481			15,512
Withholdings		3,596			2,712
Accrued expense		1,484			1,367
Income tax payable		10,629			4,272
Other current liabilities		3,608			3,587
Total current liabilities		73,997			89,090
Long-term deferred revenue		98			79
Other non-current liabilities		6,590			5,685
Total liabilities		80,685			94,854
Share capital		3,474			3,474
Capital surplus		27,098			27,098
Other components of equity		2,180			8,440
Retained earnings		213,318			263,290
Equity attributable to owners of the Parent Company		246,070			302,302
Non-controlling interest		771			730
Total equity		246,841			303,032
Total liabilities and equity		327,526			397,886

All values are in US Dollars.

* For convenience purposes only, the KRW amounts are expressed in U.S. dollars at the rate of KRW 1,431.67 to US$ 1.00, the noon buying rate in effect on September 30, 2022 as quoted by the Federal Reserve Bank of New York.

GRAVITY Co., Ltd.

Consolidated Statements of Comprehensive Income

(In millions of KRW and thousands of US$ except for share and ADS data)

	Three months ended							Nine months ended
	30-Jun-22		30-Sep-21		30-Sep-22			30-Sep-21		30-Sep-22
	(KRW)		(KRW)		(KRW)		(US)	(KRW)		(KRW)		(US)
	(unaudited)		(unaudited)		(unaudited)		(unaudited)	(unaudited)		(unaudited)		(unaudited)
Revenues:
Online games		24,827		18,295		19,271			60,133		65,545
Mobile games		68,042		106,218		79,443			243,796		210,726
Other revenue		3,650		4,157		3,663			13,411		11,232
Total net revenue		96,519		128,670		102,377			317,340		287,503
Cost of revenue		50,575		66,146		59,829			169,541		155,658
Gross profit		45,944		62,524		42,548			147,799		131,845
Operating expenses:
Selling, general and administrative expenses		21,207		18,091		17,624			47,613		56,473
Research and development		2,956		4,143		3,745			12,299		9,933
Others, net		-334		48		-92			535		-263
Total operating expenses		23,829		22,282		21,277			60,447		66,143
Operating profit		22,115		40,242		21,271			87,352		65,702
Finance income(costs):
Finance income		4,100		2,128		5,343			4,325		11,051
Finance costs		(2,341)		(935)		(2,204)			(2,235)		(5,249)
Profit before income tax		23,874		41,435		24,410			89,442		71,504
Income tax expense		6,462		15,151		8,312			24,779		21,663
Profit for the year		17,412		26,284		16,098			64,663		49,841
Profit attributable to:
Non-controlling interest		(53)		(67)		22			(19)		(131)
Owners of Parent company		17,465		26,351		16,076			64,682		49,972
Earning per share
- Basic and diluted		2,513		3,792		2,313			9,308		7,191
Weighted average number of shares outstanding
- Basic and diluted		6,948,900		6,948,900		6,948,900			6,948,900		6,948,900
Earning per ADS
- Basic and diluted		2,513		3,792		2,313			9,308		7,191

All values are in US Dollars.

* For convenience, the KRW amounts are expressed in U.S. dollars at the rate of KRW 1,431.67 to US$ 1.00, the noon buying rate in effect on September 30, 2022 as quoted by the Federal Reserve Bank of New York.

(1) Each ADS represents one common share.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

GRAVITY CO., LTD.
By:	/s/ Heung Gon Kim
Name:	Heung Gon Kim
Title:	Chief Financial Officer

Date: November 14, 2022