[Click eStock] "RaemongRaein, Rich Production Lineup Even After 'The Youngest Son of a Conglomerate' "

[Asia Economy Reporter Jang Hyowon] IBK Investment & Securities analyzed on the 19th that RaemongRaein has a rich lineup of production content even after this year's hit 'The Youngest Son of a Chaebol Family.'

RaemongRaein operates content production (dramas, entertainment, etc.) as its main business and continues to grow its scale and improve profitability by investing in more than one or two works annually, developing high value-added businesses. It has over 15 years of experience producing more than 30 works, with representative content including 'Sungkyunkwan Scandal,' 'Teacher Yoo Young-sun,' 'Postpartum Care Center,' and the currently airing 'The Youngest Son of a Chaebol Family.'

Researcher Lee Hwanwook of IBK Investment & Securities stated, "The recently high-rating 'The Youngest Son of a Chaebol Family' is a work in which the company holds 50% of the IP, and domestic rights were sold through Netflix, Disney Plus, TVING, and other cable channels," adding, "Overseas rights contracts were signed through Asia's largest OTT platform Viu."

Researcher Lee Hwanwook analyzed, "Since contracts were made with multiple platforms, it is estimated that profitability exceeded 20%, and additional revenue is expected from future sales of Chinese rights and other IP-related products."

He further explained, "In the third quarter of this year, sales were 6.5 billion KRW and operating loss was 900 million KRW, representing a 54.8% decrease and a shift to deficit compared to the same period last year. This was due to the carryover of new project contracts such as 'Oasis' and 'Queen of Masks,' scheduled to air next year, and delays in the release of IP investment works (The Youngest Son of a Chaebol Family, Death to Snow White, etc.)."

RaemongRaein plans to produce a total of 10 works next year, including 3 to 4 new media-oriented mid- and short-form contents. Major works include Maestra starring Lee Young-ae, Oasis, Queen of Masks, and Reincarnation Police, with at least one work receiving in-house investment.

He explained, "Next year's expected sales and operating profit are projected to increase by 60.1% and 153.9% year-on-year to 89.8 billion KRW and 15.1 billion KRW, respectively," adding, "The total production cost is expected to reach 80 billion KRW, estimated considering a 10% production agency margin and additional rights sales of IP-owned works."

This content was produced with the assistance of AI translation services.