Dreamus Company Reports Operating Loss of 2 Billion KRW in Q1... Turns to Deficit

Sales Revenue of 63.2 Billion Won... Decrease Compared to Same Period Last Year

Dreamus Company, an affiliate of SK Square, announced on the 16th that it recorded an operating loss of 2 billion KRW on a consolidated basis in the first quarter of this year. Sales amounted to 63.2 billion KRW.

Both sales and operating performance showed a slight decline compared to the same period last year. Although sales increased in the merchandise (MD) business, overall sales decreased due to a decline in platform sales. Despite reducing selling and administrative expenses through cost efficiency compared to the previous year, the decrease in sales led to a turnaround to an operating loss.

Dreamus Company's music platform FLO is expanding the scope of its self-developed artificial intelligence (AI) music recommendation technology, evolving into a platform that caters to users' tastes. It also holds the largest number of service tracks among domestic music platforms, with over 75 million songs.

In the content distribution business, investments continue to be made in domestic entertainment companies such as Mystic Story, ODD Entertainment, and Company Soosoo.

The performance business focuses on planning and producing performances in collaboration with entertainment companies that own intellectual property (IP). Recently, it signed a business agreement with a company specializing in AI digital human production technology, seeking to diversify its IP business through content planning integrated with digital technology.

Kim Dong-hoon, CEO of Dreamus Company, said, "We will continue the growth of FLO service differentiation through AI technology development, IP-based music and album distribution, and the MD business, while discovering new revenue models that combine IP and platform capabilities."

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