HYBE achieves record Q3 sales of 7.27 trillion won, driven by successful world tours, with total sales nearing 20 trillion won.

HYBE recorded the highest quarterly sales in history, supported by the success of its world tours. Cumulative sales until the third quarter approached 2 trillion won (approximately 200 billion yen). On November 10 (Monday), HYBE announced its financial results for the third quarter of 2025. Supported by the success of world tours, consolidated sales for the third quarter reached 727.2 billion won (approximately 77.4 billion yen*), marking a 37.8% increase compared to the same period last year. This performance exceeded the previous record for quarterly sales, which was 726.4 billion won in the fourth quarter of 2024. Prior to this, HYBE also recorded the highest quarterly sales in the first and second quarters of 2025. As a result, cumulative sales until the third quarter of this year reached approximately 1 trillion 930 billion won (approximately 205.5 billion yen*), nearing the 2 trillion won level. Direct participation sales in the third quarter amounted to 477.4 billion won, accounting for about 66% of total sales. Large-scale performances, including BTS's JIN's global solo tour, as well as TOMORROW X TOGETHER and ENHYPEN's world tours, received support from fans worldwide, with performance sector sales growing more than threefold compared to the same period last year, recording 245 billion won. On the other hand, due to a relatively low number of artist comebacks (music releases), sales in the music and audio sector decreased to 189.8 billion won compared to the same period last year. Indirect participation sales, including MD and licensing, content, and fan club sales, amounted to 249.8 billion won, a 22% increase compared to the same period last year. Among these, the MD and licensing sector, which accounted for the largest share, recorded sales of 168.3 billion won, a 70% increase compared to the same period last year. The strong performance in MD sales was driven by tour MD and light sticks (support sticks/pens), as well as sales of character products based on intellectual property (IP). HYBE's core growth strategy, 'Multi-home, Multi-genre,' is proving to yield concrete results in the global market. The global girl group KATSEYE's song 'Gabriela' rose to 37th place on the Billboard 'Hot 100' chart, updating its highest ranking, while the song 'Gnarly' re-entered the chart, achieving a total of 11 weeks on the chart. KATSEYE achieved the remarkable feat of being nominated for two categories, 'Best New Artist' and 'Best Pop Duo/Group Performance,' at the 68th Grammy Awards, setting a new record. Furthermore, the number of monthly listeners on Spotify surpassed 33 million, currently recording the best performance among K-POP artists based on the K-POP system. Based on this growth trend, KATSEYE's first global tour, scheduled to take place, has shown popularity with all 16 performances in 13 North American cities sold out. Currently, a four-member girl group under the same label as KATSEYE is in the process of selecting final members through a global audition, and the audition program 'WORLD SCOUT THE FINAL PIECE' will be exclusively broadcast for free on ABEMA next spring, revealing this process. The fan platform 'Weverse' also achieved a turnaround to profitability based on cumulative standards for the third quarter, performing well. This can be attributed to the introduction of new business models such as the monthly subscription service 'Digital Membership,' which offers various digital benefits, and advertising. Weverse plans to open the private chat service 'Weverse DM' on November 18 on QQ Music, China's largest audio streaming platform, to increase user engagement. Additionally, next year, Weverse is expected to significantly improve its performance, supported by the resumption of BTS's activities, the growth of major artists, and the expansion of e-commerce sales in its digital business sector. HYBE recorded an operating loss of 42.2 billion won (approximately 4.5 billion yen*) and a 5.8% operating loss in the third quarter. This was due to one-time expenses from pre-investments for expanding global artist IP and restructuring of North American operations, which resulted in a total decline of 12% in operating profit margin. In new investments for expanding artist IP, the boy group CORTIS successfully debuted in Korea, heralding the emergence of the next generation global star. In South America, members of the five-member boy group SANTOS BRAVOS were selected through an audition program of the same name, while the band Musza, under HYBE LATIN AMERICA's label S1ENTO Records, debuted through the Latin band audition 'Pase A La Fama.' The teams that advanced to the final round, Destino and Low Clika, which gained high popularity during the program, are also currently preparing for their debut. Due to initial investments in marketing and content production for such large-scale projects, the operating profit margin decreased by about 6%. In response, HYBE CFO Lee Kyung-jun explained, 'Although the profitability has decreased in the short term due to the debut of multiple groups, it is expected that the growth structure of HYBE will be strengthened through the expansion of the global fan base and stabilization of the revenue base in the medium to long term.' The one-time expenses due to the restructuring of North American operations also acted as an additional factor for a decline of about 6% in operating profit margin. HYBE is currently in the process of transitioning from a management-centered to a label-centered integrated business system for IP in order to enhance profitability and operational stability in the North American market. From next year, it is expected that the profit and loss structure of the North American business will stabilize due to the effects of the structural reorganization and the resumption of BTS's activities. HYBE CEO Lee Jae-sang stated, 'The K-POP sector, which is at the core of HYBE, is expected to maintain a profit margin of 10% to 15% this year, and the company's fundamentals are solid.' He added, 'The factors burdening profitability are expected to be largely resolved by the fourth quarter, and from next year, the improvement of the revenue structure will begin in earnest.' Furthermore, he expressed optimism that starting next year, with the resumption of BTS's activities, the acceleration of K-POP artists' growth, the expansion of the results of the multi-home, multi-genre strategy, and the stable profitability of Weverse, HYBE will enter a full-fledged recovery phase for profitability.' *Exchange rate: as of the announcement date, November 10.