SM Entertainment’s Profit Surges 261% in Q3 2025
South Korea’s SM Entertainment, home to K-pop groups like NCT 127, EXO, Riize, and aespa, reported a remarkable rise in revenue and operating profit driven by hit albums, concerts, and fan platform growth.
Financial Highlights
- Operating profit soared 261.6% year-over-year to 48.2 billion won (USD $34.8 million) in Q3 2025.
- Revenue increased 32.8% year-over-year to KRW 321.6 billion (USD $232 million).
- Net income jumped 1,107.0% year-over-year to KRW 44.7 billion (USD $32.3 million), supported by higher revenue, non-operating income gains, and lower corporate taxes.
Music Sales and Concerts Performance
- Parent company digital and physical music sales climbed 32.7% year-over-year to 96.7 billion won ($69.8 million).
- Top-selling albums included NCT WISH’s Color (1.48 million units), aespa’s Rich Man (1.13 million), and NCT DREAM’s Go Back to the Future (1 million).
- Concert revenue grew 37.5% year-over-year to KRW 52.5 billion ($37.9 million), despite fewer shows overall.
“Revenue grew thanks to an expansion in scale of SM artists’ performances,” CFO Jeongmin Jang said during the earnings call on November 5.
SM Entertainment’s success reflects strong album sales and strategic growth in concert production and fan engagement platforms.
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