SM Entertainment Reports Strong Q4 2024 Financial Results
On February 10, 2025, SM Entertainment (SM, 대표: 장철혁·탁영준) announced its financial performance for the fourth quarter of 2024, reporting consolidated revenues of 273.8 billion KRW and an operating profit of 33.9 billion KRW. Compared to the same period last year, revenues increased by 9%, while operating profit surged by 275.6%. The net loss for the period was reduced to 24.1 billion KRW, less than half of the previous year's figure.
On a standalone basis, SM recorded fourth-quarter revenues of 181.8 billion KRW and an operating profit of 35.8 billion KRW, marking increases of 11% and 83.2%, respectively, from the previous year. The company also achieved a net profit of 8.3 billion KRW, marking a return to profitability.
Key drivers of SM's consolidated revenue growth in Q4 included increased sales from merchandise and licensing, as well as concert revenues. Additionally, the rise in artist activities in Japan and expanded drama production contributed to the revenue growth of major subsidiaries.
The significant increase in consolidated operating profit was attributed to higher sales from the headquarters and subsidiaries, changes in the sales mix, and the recognition of performance bonuses.
Celebrating its 30th anniversary this year, SM has launched a new slogan, 'THE CULTURE, THE FUTURE,' and has begun unveiling brand films. Following the successful SMTOWN LIVE concert in Seoul last January, the company plans to release the SMTOWN album on February 14, coinciding with its anniversary. Upcoming events include the K-pop orchestra concert 'SM Classics Live 2025 with the Seoul Philharmonic Orchestra' on February 14 and 15, and a global SMTOWN LIVE tour scheduled for the second quarter.
Notably, on February 24, SM will debut its new girl group, Hatz to Hatz, with their first single 'The Chase,' marking the company's first new girl group in five years since aespa. In March, solo mini-albums from Red Velvet's Seulgi and NCT's Ten, along with a single from Naivis, will be released.
In the second quarter, aespa will release a new mini-album, while RISE will drop their full album. NCT's Doyoung and Mark will also release solo albums, alongside mini-albums from EXO's Kai, Red Velvet's Irene & Seulgi, WayV, and NCT WISH.
Furthermore, aespa has been on a world tour, achieving sold-out shows in Seattle and LA, while NCT 127's world tour continues to gain momentum with a confirmed performance at Tokyo Dome. Other ongoing global performances include TVXQ's nationwide tour in Japan and Super Junior's Yesung and SHINee's Minho's Asia tours, with Taeyeon and NCT WISH also set to embark on their Asia tours.
Additionally, during the SMTOWN LIVE event held at Gocheok Sky Dome in January, SM unveiled SMTR25, a group of 25 male trainees, which received a warm response. The company is ramping up preparations for their debut through pre-promotion on social media and participation in the SMTOWN LIVE global tour, generating excitement for new intellectual properties.
Co-CEO 장철혁 stated, 'On our 30th anniversary, we have announced our new slogan, 'THE CULTURE, THE FUTURE.' SM will continue to be a company that remains committed to its cultural heritage while consistently striving for excellence. We will pursue continuous innovation and the expansion of our artist IP alongside our strong lineup of artists and rich content.'
