Neowiz announced a mid- to long-term shareholder return policy to return 20% of operating profit to shareholders every year.
Neowiz disclosed on the 23rd that it will return 20% of the prior year's operating profit on a consolidation basis to shareholders every year. In addition, to ensure stable execution of the policy, the company said it will guarantee at least 10 billion won in annual shareholder returns over the next three years (FY 2025–2027), regardless of earnings volatility.
Specifically, of the minimum return of 10 billion won, 5 billion won will be used to buy back and cancel treasury shares, and the remaining 5 billion won will be paid as cash dividends. If 20% of operating profit exceeds 10 billion won, the company plans to flexibly allocate the entire excess between cancellations and dividends in a way that maximizes shareholder benefit.
The first dividend payment under the policy will follow the shareholders meeting in March.
The company also detailed plans to enhance shareholder value using treasury shares. Treasury shares will be used as resources for employee compensation, cancellation, and investment, and if shares are forfeited due to failure to meet targets under performance-linked employee stock compensation, 50% of the forfeited amount will be canceled in tandem with this policy.
Meanwhile, Neowiz decided to operate the entire 50 billion won reduction in capital surplus secured at an extraordinary shareholders meeting in Dec. last year as mid- to long-term dividends funding to strengthen the policy's executability. Through this, the company aims to provide practical benefits to shareholders by implementing a "reduction dividend," which is exempt from dividend income tax.
A Neowiz official said, "This policy is not simply about expanding the scale of returns; it is meaningful in that it clearly sets mid- to long-term principles and builds trust with the market," adding, "We will continue to pursue growth strategies and shareholder return policies in balance to enhance shareholder value."