SM Entertainment Group has released its preliminary, unaudited financial results for the first quarter of 2026, highlighting significant top-line growth fueled by a robust global tour schedule and expanding merchandise sales
Consolidated Financial Highlights
The group saw double-digit growth in both revenue and operating profit compared to the same period last year:
- Revenue: Increased 20.6% YoY to KRW 279.1bn
. This growth was primarily driven by the expansion of concerts, MD & licensing, improved earnings from subsidiaries, and the consolidation of DEARU . - Operating Profit: Rose 18.5% YoY to KRW 38.6bn, led by strong parent-level performance
. - Net Profit: Decreased 85.5% YoY to KRW 36.7bn
. This decline reflects a high base effect from the previous year’s one-off gains related to DEARU share acquisitions and corporate tax impacts .
Parent Company Performance
SM Entertainment (Parent) reported revenue of KRW 189.3bn, a 14.4% increase YoY
- Concerts: Surged 56.0% YoY
. Key contributors included major tours such as SUPER JUNIOR’s "SUPER SHOW 10," NCT DREAM’s "THE DREAM SHOW 4," and tours by aespa, RIIZE, and NCT WISH . - MD/Licensing: Grew 20.3% YoY due to strong pop-up store sales for EXO and NCT WISH, as well as new fan-light launches for aespa
. - Physical/Digital Music: Decreased 15.2% YoY to KRW 57.5bn
. Despite the decline, new album sales increased to 1.79mn units (up from 0.92mn in 1Q25), led by EXO’s REVERXE (1.01mn units) and NCT JNJM’s BOTH SIDES (0.52mn units) .
Upcoming Artist Line-up
The company also previewed a packed schedule for the remainder of 2026:
Major Music Releases (2Q26 – 3Q26)
- Full Albums: TAEYEON, NCT 127, YESUNG, and aespa
. - Mini Albums: Red Velvet, SHINee, WayV, and RIIZE
. - Japanese Releases: Chanyeol (Mini), aespa (Mini), and single CDs from NCT WISH and RIIZE
.
Global Concerts and Fan Meetings
EXO: "EXO PLANET #6 - EXhOrizon" (continuing through 2Q26)
. aespa: "SYNK: COMPLaeXITY" Live Tour (starting 3Q26)
. SHINee: "The Trilogy 1-2026 SHINee WORLD VIII: [THE INVERT]" (starting late May)
. Jaehyun: "JAEHYUN FAN-CON TOUR " (starting June)
. - IRENE: "2026 IRENE ASIA TOUR [I-WILL]" (starting late May)
.