BIG HIT RECORD A NEW HIT AGAIN

Big Hit’s up-down IPO aside, K-pop is a growing economic force. The combination of catchy tunes, synchronised dance routines, perfect skin and considerable social media savvy has brought in big money.

This is the company’s first performance report since their debut on the Korea Composite Stock Price Index (KOSPI) last October 15. Their operating profit for the third quarter of this year was 40.1 billion won (approximately $36.2 million), a 73 percent jump from the same period last year.

Big Hit on Thursday posted 49.7 billion won in operating profit on 294 billion won in revenue in the first half of 2020. This compares to about 39.1 billion won operating profit and 201 billion won in revenue during the first half of 2019, based on a different accounting standard.

Compared to the second quarter of 2020, numbers in the third quarter increased by 22 percent, 38 percent, and 51 percent for revenue, operating profit, and net profit, respectively.

Until the third quarter of this year, accumulated operating profit was recorded to be 89.9 billion won (approximately $81 million), accumulated revenue 484 billion won (approximately $436.3 million), and net profit 60.4 billion won (approximately $54.4 million). The rate of increase from the same period last year for these numbers are 20 percent, 9 percent, and 13 percent, respectively.

South Korean exports of cars and petrochemicals have fallen this year but one K-Pop song — “Dynamite” by BTS released in August this year — added $1.5bn in exports from album sales and other merchandise.

The company’s performance was measured in accordance with Korea’s International Financial Reporting Standards (K-IFRS). The numbers have not yet been reviewed by external auditors and are subject to change. Big Hit, on the other hand, has not managed to find the next BTS yet — despite having 105 signed trainees. Instead, it has tended to buy in musical talent by acquiring smaller local agencies.

Added Big Hit chairman and CEO Bang Si-Hyuk, "We are happy to collaborate with CEO Han Sung Soo and the creative team of PLEDIS Entertainment. Hereafter, Big Hit and PLEDIS will sympathize through music, and will thrive together to create great synergy with each other."

Currently Big hit top in any Korean entertainment including the big three, SM, JYP and YG.