(2nd LD) Hybe posts record quarterly results as BTS tour lifts revenue

(ATTN: UPDATES with quotes in paras 9, 12-15)
By Shim Sun-ah

SEOUL, Nov. 3 (Yonhap) -- K-pop giant Hybe reported record third-quarter revenue and operating profit Tuesday, propelled by BTS' ongoing world tour, putting it on track to become the first K-pop agency to surpass 4 trillion won (US$2.98 billion) in annual revenue.

According to its regulatory filing, the company's preliminary revenue for the July–September period jumped 109.8 percent year-on-year to 1.53 trillion won on a consolidated basis.

Operating profit swung to 188.5 billion won from an operating loss of 42.2 billion won a year earlier, while net profit also returned to the black at 11.3 billion won.

Hybe said both revenue and operating profit marked the highest quarterly figures in its history. "The previous quarterly records of 1.45 trillion won in revenue and 170.9 billion won in operating profit were set in the second quarter of this year, when BTS kicked off its 'Arirang' world tour, and those figures have now been surpassed in just one quarter," it explained.

The operating profit also topped the market consensus of 166 billion won compiled by Yonhap Infomax by 13.6 percent.

Concert sales led the growth, generating 726.8 billion won as BTS drew up to 70,000 fans per show across Europe and the United States, according to Hybe.

Tours by other Hybe artists, including Enhypen, Le Sserafim, NewJeans, Boynextdoor, TWS, Illit, Katseye and Cortis, further boosted the category.

Merchandise and licensing generated 334.6 billion won, and album and streaming sales accounted for 282.8 billion won.

With cumulative revenue for the first nine months reaching 3.674 trillion won, Hybe now sits just shy of 4 trillion won in annual revenue.

Hybe attributed the strong results to its "multi-home, multi-genre" strategy, built over several years.

As for BTS, Hybe said the group will continue its tour through the first half of next year to meet fans around the world.

"It also plans to work on new music and pursue diverse projects simultaneously to expand its reach," the company added.

CEO Lee Jae-sang said during an earnings call that the company is in talks with the BTS members regarding the group's plans following the "Arirang" world tour.

"We plan to announce additional dates for the tour and are also preparing for the group's post-tour activities, including both group and solo projects," he said.

He added that Hybe is preparing a wide range of projects to build global momentum across its entire roster, including BTS.

"Hybe will unlock greater possibilities and move toward the future without resting on its laurels," he said.

sshim@yna.co.kr
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