BTS agency HYBE logs record sales backed by albums, concerts

HYBE Co., the agency behind K-pop sensation BTS, last year logged the highest-ever annual revenue for a South Korean entertainment company, backed by significant sales growth in music albums and performances.

During its earnings conference call on Monday, the company announced 2.18 trillion won ($1.6 billion) in revenue for 2023 on a consolidated basis, up 22.6% on-year.

The company’s operating profit rose 24.9% to reach 295.8 billion won last year and net profit skyrocketed 288.5% to 186.6 billion won.

The revenue is divided into two categories – revenue directly involved with artists’ activities such as music albums and performances, and revenue not involved with such activities but rather artist-related content, merchandise and licensing.

Artist activity-related revenue reached 1.47 trillion won, up 51.4% on-year. The company sold 970.5 billion won worth of music albums and sources last year, soaring 75.8% from 2022. Performance sales reached 359.1 billion won, increasing 39.1% on-year.

On the other hand, sales of artist-related merchandise, licensing and content declined 12.1% to 706.6 billion won.

Despite the absence of BTS’ activities as a group, two of the members, Jimin and Jungkook, topped the Billboard Hot 100 Songs chart last year. BTS successors like boyband Tomorrow X Together and girl group NewJeans scored No. 1 on the Billboard 200.

The revenue was boosted by BTS member Suga’s solo tours, of which tickets sold out in all concerts, boyband Seventeen’s world tour, Tomorrow X Together’s North America concerts and Enhypen’s Japan tour, as well as girl group Le Sserafim’s first world tour, HYBE said.

The music agency is planning to debut boy group TWS and girl groups I’ll-it and Katseye this year, while promoting the activities of existing musicians from the second quarter.

HYBE also said it will distribute a 700 won dividend per share, totaling 29.2 billion won. The company’s share price rose 0.93% to finish at 217,500 won on Monday.

“HYBE is moving fast toward the future with an unwavering vision. Our multi-label system allows each label to operate independently to reduce heavy reliance on certain artists or labels, and the labels compete and cooperate under the system,” said Park Jiwon, chief executive of HYBE.

Write to Da Eun Choi at max@hankyung.com

Jihyun Kim edited this article.