JYP Ent Strengthens Financial Performance Through Established Artists’ Growth

JYP Ent’s global competitiveness has reached a new level thanks to a stable revenue structure centered around its more experienced artists. As existing groups such as STRAYKIZ and TWICE continue to grow, along with tangible results from new artists, the company’s overall profitability is improving. Based on this growth trend, Korea Investment & Securities raised its target price for JYP Ent to 95,000 won while maintaining a “buy” rating.

Kim Ho-yoon, an analyst at Korea Investment & Securities, noted that STRAYKIZ conducted 56 stadium-scale tours last year, while TWICE has held a total of 78 tours since the third quarter of that same year. STRAYKIZ achieved record-high concert revenue in North America due to additional earnings from those global stadium tours. Revenue streams have diversified further through the sale of merchandise tied to concerts and products from global IP licensing collaborations.

This year, the established artists are scheduled to hold 47 tours, including 30 performances in North America. STRAYKIZ’s popularity in North America has risen rapidly thanks to their participation in the soundtrack for “K-Drama Heon.”

TWICE has been on a total of 78 tour dates since the third quarter of last year, serving as a stable revenue source that drives the group’s performance in the first half of the year. As performances expand in Western countries and the global fanbase continues to grow, the group’s career lifespan is lengthening. With little change in the fees paid to artists starting from the second renewal cycle, the company has established a structure that ensures long-term financial stability.

Until last year, slow growth among younger artists was a major challenge for JYP Ent. However, this weakness is being addressed as newer artists show faster progress. NMIXX is preparing 11 tours in Europe and North America starting in March, accompanied by a gradual expansion of its global fanbase.

Newer artists are also increasing album sales by expanding their core fanbases. The analyst from Korea Investment & Securities said, “As the number of songs increases and the core fanbase grows further, these artists will be able to significantly contribute to revenue through albums and tours.”