HYBE (352820) Q4 2024 earnings summary

Executive summary

• FY2024 revenue reached 2.25 trillion KRW, up 3.5–4% year-over-year, with a 3-year CAGR of 12.7%.

• Operating profit for FY2024 was 184.8 billion KRW, down 37.5–38% year-over-year, with an 8.2% margin.

• Q4 2024 revenue was 725.3 billion KRW, up 19% year-over-year and 37.4% sequentially.

• Q4 2024 operating profit was 65.3 billion KRW, down 26.7% year-over-year but up 20.6% sequentially, with a 9% margin.

• Net profit for FY2024 turned negative at -3.4 billion KRW, with Q4 2024 net loss of -26.0 billion KRW, mainly due to goodwill impairment at Issaca Holdings.

Financial highlights

• Concert revenue surged 25.6% year-over-year to 450.9 billion KRW in FY2024; Q4 concert revenue up 111% year-over-year to 188.9 billion KRW.

• Recorded music revenue declined 11.3% year-over-year to 861.0 billion KRW.

• Merchandising and licensing revenue grew 29.1% year-over-year to 420.2 billion KRW; Q4 merchandise revenue up 156% to 151.2 billion KRW.

• EBITDA for FY2024 was 291.4 billion KRW, down 25.3% year-over-year.

• Dividend payout for 2024 totals 8.3 billion KRW, with a DPS of 2.01 KRW, including a special dividend.

Outlook and guidance

• Expansion into Latin America with new label launches and artist signings.

• U.S. and Japan market focus with new debuts, tours, and artist groups planned for 2025.

• Margin improvement expected in 2025 with BTS comeback, economies of scale, and new business contributions.

• 2025 anticipated as a year of tangible results from investments in music, platform, game, and AI businesses.

• Continued growth in emerging artists and multi-genre strategies.