aespa·RIIZE·Taeyeon Comebacks..SM Reports 279.1 Billion Won Revenue in Q1 2026 [Official]

*This content was translated by AI.

SM Entertainment, hereinafter SM, continued its growth trajectory by releasing its consolidated financial results for the first quarter of 2026.

On the 6th, SM announced that its consolidated revenue for the first quarter of 2026 reached 279.1 billion won, with an operating profit of 38.6 billion won. This represents increases of 20.6% and 18.5%, respectively, compared to the same period last year.

Separate revenue for the first quarter rose 14.4% year-on-year to 189.3 billion won, while concert revenue grew by 56.0% and MD/licensing revenue increased by 20.3%, demonstrating stable growth even on a separate basis. Operating profit, however, declined by 5.9% year-on-year to 38.8 billion won due to the one-time impact of last year's music streaming revenue base; excluding this one-time factor, the figure actually reflects growth compared to the prior-year period. Net income for the period increased by 20.9% year-on-year to 38.9 billion won.

These results reflect increased album sales from core IPs, expanded concert scale driving concert revenue growth, growth in the MD/licensing segment, the consolidation effect of DearU, and expanded revenue from major subsidiaries. Consequently, the proportion of revenue from concerts and IP-based sources has expanded, and the revenue structure continues to diversify.

Notably, in the first quarter, global tours by core IPs including Super Junior (SUPER JUNIOR), NCT DREAM (NCT DREAM), aespa (aespa), RIIZE (RIIZE), and NCT WISH (NCT WISH) contributed to expanded performance revenue. In the MD/licensing segment, sales of light sticks and planned MD items increased, driven by EXO (EXO)'s regular album release-linked pop-up events, the NCT WISH project, and the aespa tour effect.

Performance results from major subsidiaries also improved. SM C&C saw growth in advertising and management revenue, SM Japan's revenue increased due to expanded overseas activities by the company's artists, and DearU has continued to contribute stable profits since its consolidation. Operating profit from subsidiaries also turned profitable compared to the same period last year, improving profitability.

SM continues to pursue strengthening IP competitiveness and global expansion based on its "SM NEXT 3.0" strategy, enhancing its mid-to-long-term growth foundation through advanced content production capabilities and an expanded IP portfolio.

Notably, rookie group Hearts2Hearts (Hearts2Hearts), which debuted last year, has rapidly expanded its achievements in the global market since debut. Its representative song "RUDE!" surpassed 100 million cumulative global streams on Spotify within 28 days of release, with overseas streaming accounting for approximately 85% of total streams, continuing its strong performance in the global market. Additionally, it ranked first among K-pop girl group songs released in 2026 on Spotify's Global Top 200.

SM plans to continue driving growth in album, music streaming, and concert revenue in the second and third quarters with a competitive lineup of artists. In the second quarter, regular albums by Taeyong, aespa, and NCT WISH, mini albums by SHINee, RIIZE, and Hearts2Hearts, and a single by Ryeowook are scheduled for release. In the third quarter, regular albums by Taeyeon and NCT 127, mini albums by Super Junior-83z, Red Velvet, and WayV, and new releases by Yesung, Minho, and Yoono Yunho are set to be released consecutively.

Concert activities will also continue actively, centered on global stages. In the second and third quarters, aespa will launch a new global tour starting in Seoul and extending to North America, Central America, and Europe, alongside EXO's tour concerts and solo concert tours by Yoono Yunho and Irene following their debuts.

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*This content was translated by AI.