YG Entertainment (hereinafter YG) has soared.
YG achieved an 'earnings surprise' in its 2025 first-quarter results, marking a remarkable rebound. Analysts attribute the success to the performances of new artists such as Baby Monster and TREASURE, as well as the effectiveness of global tours and the expansion of merchandise operations. The improvement in YG's structure following the return of Yang Hyun-suk, who focuses on the essence of music, is also evident.
YG announced that it recorded an operating profit of 9.525 billion won on a consolidation basis in the first quarter of this year, turning a profit compared to the same period last year. During the same period, sales increased by 14.7% to 100.2 billion won. The results exceeded market expectations.
TREASURE proved its global popularity by surpassing 1 million cumulative audiences during its solo tour in Japan. Baby Monster launched its global tour just one year after its debut, establishing itself as a leading girl group of the fifth generation. Their album sales and overseas tour achievements have driven YG's overall growth.
The securities market is optimistic. Shinhan Investment Corp. upgraded its target price for YG to 82,000 won, evaluating it as 'currently the most undervalued entertainment company.' Analysts predict that 'the second quarter will reflect the momentum of Baby Monster, and profit leverage will begin in earnest from the third quarter with BLACKPINK's world tour.'
Since returning as a producer in 2023, Yang Hyun-suk has showcased his producing skills by designing various aspects of the artists, including music, performances, and styling, solidifying YG's unique identity. His production method emphasizes fundamentals and individuality rather than being swayed by trends, increasing YG's competitiveness.
The results are already becoming prominent. Earlier, Yang Hyun-suk noted, 'The tentative name “NEXT MONSTER” is in the waiting. Next year, I will definitely introduce a new group to the fans,' adding, 'I will work hard to create opportunities for many YG artists to spend time with fans.'
In the second half of the year, BLACKPINK's world tour is scheduled, along with the release of new albums and additional tours from TREASURE and Baby Monster. In particular, as anticipation grows for the lifting of the Korea-China ban, expectations are mounting for YG's soaring rise.
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