The numbers are amazing.
Koreaboo
SmeniorinmentThe latest financial relationship has stunned the Netizen because the company revealed a drastic decrease in its net profit. Second Herald CorpThe operational profit of SM for last year was approximately ₩ 87.5 billion KRW (about $ 60.1 million USD), reflecting a reduction of 22.8% compared to the previous year. In the meantime, the company’s total revenues have recorded a modest 3%increase, reaching ₩ ₩ ₩ ₩ 990 billion of KRW (about $ 680 million).
However, what really attracted the attention of the public was the net profit of the company, which collapsed by 99.4%, leaving SM with only ₩ 465 million krw (about $ 319,000 USD) in net profits. Since SM is one of the largest entertainment companies in South Korea, this strong decline has aroused a widespread discussion.
Many wonder how a company with more active artists, successful returns and strong album sales could experience such a dramatic drop in net profit. Some speculate that the main expenses – such as investments in new groups such as Riizzi and other branches – may have contributed to the numbers. Others are comparing the financial struggles of MS with those of Hybe, which has also been criticized for its relationship on profits.
- “Are you sure that this is smeniorinment? He only says sm. “
- “How does an entertainment company also survives with only 400 million KRW in net profit …?”
- “This is even worse than Hybe, Lol.”
- “Their artists were promoting and selling actively well … so where all the money went?”
- “Didn’t he make his debut last year? Maybe they spent a lot for their debut. “
