Snail, Inc.

Snail, Inc., a global developer and publisher of interactive digital entertainment, announced that the Nasdaq Hearings Panel has conditionally granted its request to continue listing its Class A Common Stock on The Nasdaq Capital Market. The decision requires the company to demonstrate compliance with Nasdaq Listing Rule 5550(b) by achieving a minimum stockholders' equity of at least $2,500,000 within a prescribed time period, and to file timely public disclosures about the transactions undertaken to achieve compliance and its equity position afterward. The company must also promptly notify Nasdaq of any significant events that could affect its compliance, and the Panel reserves the right to reconsider its decision if circumstances warrant. Snail's Class A Common Stock will remain listed and traded under the symbol "SNAL" during this period, but there is no assurance the company will satisfy the conditions, and failure to do so would result in delisting.

Snail, Inc. expects to recognize approximately $11 million from its deferred revenue balance in the third quarter of 2026, tied to the launch of the Genesis Part 1 Ascended DLC for ARK: Survival Ascended. CFO Heidy Kingwan Chow said the company's second-quarter net revenue of $19.7 million was affected by a timing shift, as the ARK: Tides of Fortune and Genesis Part 1 Ascended content launched in early July rather than June, moving the related contribution into the third quarter. Chow also noted that the net loss improved to $3 million from $16.6 million a year earlier, primarily due to the absence of a $14 million income tax provision, while bookings were $21.8 million compared to $27.1 million. Senior VP Peter Kang highlighted that ARK: Survival Ascended sold approximately 1.2 million units and Bellwright reached the top five paid games on Xbox, and introduced a new AI initiative called Non-Human Player under subsidiary Egofold.

Snail, Inc. subsidiary Egofold will debut its AI Ranch platform and Non-Human Players, or NHPs, at the Ai4 2026 conference in Las Vegas from August 4 to 6. AI Ranch is designed to create NHPs, a new generation of AI companions for video games that learn and adapt like real human teammates rather than following static scripts. Each NHP evolves through shared gameplay experiences to deliver increasingly personalized interactions, functioning as evolving squadmates, opponents, and long-term partners. The initiative reflects Snail Games' ongoing investment in emerging technologies aimed at boosting player engagement and shaping the future of interactive entertainment. Attendees can experience live NHPs demonstrations at booth #1007, meet the development team, and explore how adaptive AI personalization can create more immersive, tailored game experiences.

Snail Games will debut its internally developed AAA open-world sandbox cultivation game, Age of Wushu: Cultivation, at ChinaJoy 2026. The company will also showcase a lineup of released and upcoming titles at booth N1 G306, including the first hands-on demo of the PixARK: Terracrypt paid DLC and a redesigned standalone competitive mode for ARK: Survival Ascended called The Survival of The Fittest. A new trailer and the game's Steam page are now live, allowing players worldwide to add Age of Wushu: Cultivation to their wishlists. Snail Games will also highlight several highly anticipated titles expected to launch later this year, such as Honeycomb: The World Beyond, Dead Party, and Veil of Madness.

Snail Games will participate in Gamescom 2026 in Cologne, Germany, from August 26 to 30, presenting an expanded product portfolio that includes franchise extensions, new intellectual property, and a previously unannounced AAA title. The company will feature flagship survival game ARK: Survival Ascended, the open-universe survival MMO For The Stars, the medieval open-world survival RPG Bellwright which has surpassed one million players on Steam and recently launched on PlayStation and Xbox, and the upcoming bioengineering survival adventure Honeycomb: The World Beyond. Media and attendees will get a first look at the new unannounced game at the event. Gamescom 2026 serves as a global platform for Snail Games to showcase its pipeline and introduce upcoming titles ahead of launch.

Snail Games has announced the upcoming PixARK: Terracrypt DLC, the first paid downloadable expansion for PixARK, alongside its participation in the 2026 Steam Summer Sale. The Terracrypt DLC will offer over 200 hours of gameplay, 80 new creatures, and a vast new world, aiming to re-engage the community for a title that has surpassed one million downloads. During the Steam Summer Sale, PixARK is discounted by 57 percent, ARK: Survival Ascended is available at a 75 percent discount ahead of the July 2 release of Genesis Ascended Part I and Tides of Fortune, and Bellwright is offered at 34 percent off. Bellwright continues to gain momentum following its console launch, maintaining a Mostly Positive rating on Steam and earning 3.7 and 3.8 stars on PlayStation and Xbox respectively, while also ranking among the top five paid games on Xbox. The company reaffirmed its commitment to supporting its portfolio through regular updates, platform expansions, seasonal discounts, and new releases including ARK: Genesis Ascended Part 1 and ARK Tides of Fortune, both scheduled for July 2, 2026.