1. 2005.07.26 2Q 2005 Earning Release Company Logo Copyright © by ARTCOM PT All rights reserved. www.neowiz.com

2. Copyright © by Neowiz All rights reserved. 2 The financial results for 2Q 2005 have been prepared on un-audited basis, and may be subject to change during independent auditing process. Some of the information and data in this material have been prepared based on assumption. There can be no assurance that the assumptions used by Neowiz are correct and even if they are that the effect of such assumption on Neowiz’s business and results of operation will be as projected. Therefore, Neowiz will not be responsible for individual investment decision based on solely on this material.

3. www.neowiz.com Copyright © by Neowiz All rights reserved. 3 I. 2Q 2005 Earning 1. Earning Summary 2. Sales 3. Costs 4. Major Business Index II. 2H 2005 Business Outlook  Content

4. www.neowiz.com Copyright © by Neowiz All rights reserved. 4  2Q Earning Summary 1) Sales: KRW 20.7bn, 2% ↑ Q-Q 2) Operating Income: KRW 1.9bn 3) Recurring Income: KRW 1.5bn 4) Net Income: KRW 0.3bn 2Q 051Q 042Q 04Q-QY-Y Sales20,72320,35419,0732% ↑ 9% ↑ CGS10,70810,13010,4146% ↑ 3% ↑ Gross Inc10,01510,2238,6592% ↓ 16% ↑ S&AE8,1357,7426,0405% ↑ 35% ↑ Operating Inc 1,8802,4812,61924% ↓ 28% ↓ Recurring Inc 1,5586881,762126% ↑ 12% ↓ Net Income2581321,01395% ↑ 75% ↓ OP Margin9%12%N/A3% ↓ - Unit: KRW mn

5. www.neowiz.com Copyright © by Neowiz All rights reserved. 5 2Q Sales: KRW 20.7bn, 2% ↑ Q-Q Ads Sayclub Pmang 25,000 20,000 15,000 10,000 2Q 04 1Q 04 20,354 16,088 3,391 2Q 05 12,783 5,255 1,035 19,073 Sales ※ Pmang: KRW 16.2Bn Sayclub: KRW 3.4Bn Ads: KRW 1.1bn 20,723 16,249 3,423 1,051 875 Unit: KRW Mn  2Q Sales & Sales Breakdown

6. www.neowiz.com Copyright © by Neowiz All rights reserved. 6  2Q Cost Breakdown 2Q Total Cost: KRW 18.8bn, 5% ↑ Q-Q Other Payroll Commission Marketing Depreciation Costs ※ Payroll: KRW 8.2bn (2Q: 435 staffs) Commission: KRW 3.3bn Marketing: KRW 2.1bn Depreciation: KRW 1.5bn 2Q 04 1Q 04 2Q 05 2,347 1,522 2,516 6,607 3,462 1,504 2,403 2,654 7,944 3,728 1,481 2,114 3,251 8,156 3,841 16,455 17,872 Unit: KRW Mn 18,843

7. www.neowiz.com Copyright © by Neowiz All rights reserved. 7  2Q Business Index – Sayclub + Pmang 980 million Unique Visitors & 70 million Buying Users ARPU: KRW 9,394 Unique Visitors & Paying Rate Buying Users & ARPU

8. www.neowiz.com Copyright © by Neowiz All rights reserved. 8  2Q Business Index - Pmang 592 million Unique Visitors & 45 million Buying Users ARPU: KRW 12,068 Unique Visitors & Paying Rate Buying Users & ARPU

9. www.neowiz.com Copyright © by Neowiz All rights reserved. 9  Attach: 2Q Sales & Cost Breakdown 2Q Sales Breakdown 2Q 051Q 042Q 04Q-QY-Y Sales20,72320,35419,0732%↑9%↑ Pmang16,24916,08812,7831%↑27%↑ Sayclub3,4233,3915,2551%↑35%↓ Ads1,0518751,03520%↑2%↑ 2Q Cost Breakdown 2Q 05 1Q 04 2Q 04Q-QY-Y Payroll8,156 7,944 6,6073%↑23%↑ Commission3,251 2,653 2,51623%↑29%↑ Marketing2,114 2,403 1,52212%↓39%↑ Depreciation1,481 1,504 2,3472%↓37%↓ Total Cost18,843 17,872 16,4555%↑15%↑ Unit: KRW Mn

10. www.neowiz.com Copyright © by Neowiz All rights reserved. 10 I. 2Q 2005 Earning 1. Earning Summary 2. Sales 3. Costs 4. Major Business Index II. 2H 2005 Business Outlook

11. www.neowiz.com Copyright © by Neowiz All rights reserved. 11  Sales & OP margin & # of staff for 2005 2003 2004 2005 Operating Margin Total Sales 110,900 31% 81,290 450 300 77,485 9% 11% Target Sales for 2005: KRW 94bn (21% ↑ Y-Y) Operating Margin for 2005: 11% (2% P ↑ Y-Y ) 450

12. www.neowiz.com Copyright © by Neowiz All rights reserved. 12  Sales & Sales Breakdown for 2005 Target Sales for 2005 (E): KRW 94bn (21% ↑, Y-Y ) 20032004 2005 Sales ※ Pmang: KRW 76.7Bn Sayclub: KRW 12.2bn Ads: KRW 4.1bn Ads Sayclub Pmang Others Publishing 81,289 42,087 32,903 4,737 1,552 77,485 53,017 20,373 4,095 55,696 12,154 4,075 20,963 93,699 811 Unit: KRW Mn

13. www.neowiz.com Copyright © by Neowiz All rights reserved. 13  Cost Breakdown for 2005 Target cost for 2005: 억원 ( 전년 동 Target Cost for 2005 (E): KRW 83.7bn (19% ↑ Y-Y ) Costs 2003 7,413 9,434 8,482 20,274 10,587 56,190 9,302 7,725 11,016 27,833 14,323 70,199 6,154 6,930 20,301 32,575 17,739 ※ Payroll: KRW 32.6bn (# of staff: 450  450) Commission: KRW 20.3bn Marketing: KRW 6.9bn Depreciation: KRW 6.2bn 2004 2005 83,699 Other Payroll Commission Marketing Depreciation Unit: KRW Mn

14. www.neowiz.com Copyright © by Neowiz All rights reserved. 14  Yogurting - Oversea Oversea Licensing fee for 2005: KRW 3.5bn Japan China Taiwan Yogruting Plan to Make Additional Licensing Contracts During Y2005 Making Contract Worth $3.4 Million

15. www.neowiz.com Copyright © by Neowiz All rights reserved. 15  Yogurting – Domestic Commercializatio n Open beta 3 rd Closed beta 1 st ~ 2 nd Closed beata Target Sales for 2005: KRW 2.5bn Commercialize in 3Q Marketing promotion plan Start open beta in 2Q 2005 Launching marketing plan Completed 3 rd closed beta in Jan Finished 4 th closed beta in Apr Successful closed beta service during Sept ~ Oct 2004

16. www.neowiz.com Copyright © by Neowiz All rights reserved. 16  Special Force  Significant increase in Internet Café game traffic: 1 st Position  More than 9 million concurrent users  Currently generate monthly revenue of W1.0bn  Significant increase in Internet Café game traffic: 1 st Position  More than 9 million concurrent users  Currently generate monthly revenue of W1.0bn WOW Target Sales for 2005: KRW 12Bn Internet Café Game Traffic Ranking Unit:: % JanFebMarAprJuneMay SF CartRider StarCraft Lineage Lineage2 WOW Mu

17. www.neowiz.com Copyright © by Neowiz All rights reserved. 17 Yogurting No1. PC Café M/S Commercialize 1Q05 Revenue expanding Card Games No1. Traffic No1. Customer Satisfaction Index No2. Market Share ThingSoft (ex-CEO+Developers from Nexon Corporation) Publish XL Race (from producer of Lineage series) Special ForceUp & Coming No1. Casual Game Operator. No2. Card Game Operator Strong Partnerships with major online game developers & publishers. Open Beta from May Yogurting Service in Japan opens in 3Q05 Additional Oversea contracts  Online Game Business Online Game Business Structure

18. www.neowiz.com Copyright © by Neowiz All rights reserved. 18  Game Line Up Neowiz Online Game Publishing Infrastructure Core Game Developer NTIX Soft Thing Soft Yogurting (3Q 2005) R2Beat (4Q 2005) GoGo Treasure (4Q 2005) Psi-Fi (Y2006) Project GG (Y2007) XL Racing (Y2006) Casual Game MMORPG Online Game Publishing Secure excellent publishing game products Ntix’s development capability + Partnership with core developers

19. www.neowiz.com Copyright © by Neowiz All rights reserved. 19  Y2005 Business Outlook Expand Online Game Business Entering Web-board to Stable Stage Business Expansion 1 2 3 Online Game Publisher - Enlarge our game business area form mid size game like SF, XL Racing, Psi-Fi) to MMORPG game such as Yogurting and Project GG Maintain Cash cow Business - Poised to broaden our customer base Strategic Partners with Game Developer - Acquisition of M-Cube, Ntix Softm and Thing Soft serve as stepping stone for our game business - Expand game portfolio through strategic partner with Jaekyong Song, Sangwon Jeong, Sunghee Cha, etc.

20. www.neowiz.com Copyright © by Neowiz All rights reserved. 20 Jason Lee (Head of IR) jasonlee@neowiz.com +82.2.6001.1605 Katie Park (IR) katie@neowiz.com +82.2.6001.1603  Contact www.neowiz.com/eng/