SM Entertainment's fourth-quarter performance in 2024 showed remarkable growth, propelling the company forward. Announcing the preliminary financial results on February 10, SM Entertainment disclosed consolidated revenue of 273.8 billion KRW (~188.6 million USD) and an operating profit of 33.9 billion KRW (~23.4 million USD). Compared to the previous year, revenue jumped by 9%, and operating profit soared by 275.6%. The net loss also saw a significant reduction, dropping from 58 billion KRW (~39.9 million USD) in Q4 2023 to 24.1 billion KRW (~16.6 million USD) in Q4 2024.
On a standalone basis, the fourth-quarter revenues reached 181.8 billion KRW (~125.3 million USD), with operating profit rising to 35.8 billion KRW (~24.7 million USD). These figures reflect an increase of 11% and 83.2% year-on-year, respectively. Notably, SM Entertainment saw a positive net income of 8.3 billion KRW (~5.72 million USD).
The growth in SM's consolidated revenue during Q4 was primarily driven by rises in merchandise, licensing, and concert revenue. Merchandise sales at concerts, licensing revenue from content copyright rentals, increased artist activities in Japan, and expanded drama production at key subsidiaries all contributed to the impressive performance. The surge in consolidated operating profit can be attributed to enhanced sales at both headquarters and affiliates, changes in sales composition, and performance bonus recognition.
Celebrating its 30th anniversary with the new slogan 'THE CULTURE, THE FUTURE' and a brand film, SM Entertainment is gearing up for exciting releases and events. The successful SMTOWN LIVE Seoul concert in January paved the way for the upcoming SMTOWN album set to release on February 14, marking SM's founding anniversary. Additionally, plans to engage with global fans through events like the 'SM Classics Live 2025 with Seoul Metropolitan Symphony Orchestra' and a global SMTOWN LIVE tour in Q2 are in motion.
Hearts2Hearts, a new girl group under SM Entertainment, is set to debut on February 24 with their first single 'The Chase,' marking SM's first girl group launch in five years. Following this, solo mini-albums from Red Velvet's Seulgi and NCT's TEN, along with singles from Naevis, are lined up for a March release.
Looking ahead to the second quarter of 2025, fans can anticipate new music from aespa, RIIZE, NCT members Doyoung and Mark, Kai, Red Velvet's Irene and Seulgi, WayV, and NCT WISH. The buzzing momentum continues with aespa's world tour, NCT 127's ongoing global journey, and upcoming tours from TVXQ, Super Junior, SHINee's Minho, Taeyeon, and NCT WISH, promising an exciting musical landscape.
The 'SM Entertainment Rookies,' a group of 25 male trainees showcased at the recent SMTOWN LIVE performance in January, have already garnered significant attention. These budding talents, set to join the global SMTOWN LIVE tour, are expected to heighten anticipation for new intellectual property (IP) from SM Entertainment.
Co-CEO Jang Chul Hyuk expressed, “SM will forge ahead by staying true to our cultural legacy and continually evolving. We are committed to nurturing a robust lineup of artists, expanding creative content, and innovating to enhance the intellectual property of our talented individuals.”