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 a year-over-year increase of 20.6% and 18.5%, respectively.

Separate revenue for the first quarter rose 14.4% year-over-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. Regarding operating profit, it recorded 38.8 billion won, a 5.9% decrease year-over-year, influenced by one-time music revenue from the prior-year period; however, excluding this one-time factor, the figure was effectively higher than the previous year. Net income for the period increased by 20.9% year-over-year to 38.9 billion won.

These results reflect increased album sales from core IPs, growth in concert revenue driven by expanded performance scales, growth in the MD and licensing segment, the consolidation effect of Dear U, and revenue expansion from major subsidiaries. Consequently, the proportion of revenue from concerts and IP-based sources has expanded, and the revenue structure continues to diversify.

In particular, during 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 and licensing segment, sales of light sticks and planned MD items increased, driven by pop-up events linked to EXO (EXO)'s regular album release, the NCT WISH project, and the aespa tour.

Performance by 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 Dear U continues 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, reinforcing its mid-to-long-term growth foundation through enhanced content production capabilities and an expanded IP portfolio.

In particular, rookie group Hearts2Hearts (Hearts2Hearts), which debuted last year, is rapidly expanding its achievements in the global market since debut. Its representative songs 'The Chase' and 'STYLE' each surpassed 100 million cumulative streams on Spotify, with overseas streaming accounting for approximately 85% of total streams, continuing its success in the global market. Additionally, it ranked first among K-pop girl group singles released in 2026 according to Spotify's Global Top 200.

SM plans to continue the growth trend in album, music, and concert revenue in the second and third quarters with a competitive artist lineup. 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 Yoonho are set to be released consecutively.

Activity in the concert sector will also continue actively, centered on global stages. In the second and third quarters, aespa's new global tour will begin, starting in Seoul and extending to North America and Europe, alongside EXO's tour concerts and solo concert tours by Yoonho and Irene, marking their first solo tours since debut.

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*This content was translated by AI.