HYBE Posts Record-High Q1 Sales of 698.3 Billion Won... BTS "ARIRANG" Drives Growth
by Roh Kyungjo
Published 29 Apr.2026 17:37(KST)
Operating Loss of 196.6 Billion Won
"Deficit Due to One-Off Expenses"
HYBE achieved record-high quarterly sales in the first quarter of this year, driven by the comeback effect of BTS and the rapid growth of rookie artists. However, operating profit turned to a loss due to large-scale one-off expenses.
According to a public disclosure on the 29th, HYBE reported consolidated sales of 698.3 billion won for the first quarter of this year, up 39.5% from 500.6 billion won in the same period last year. This marks the highest first-quarter sales in the company's history. However, it represents a 2.5% decrease compared to the previous quarter's 716.4 billion won.
Revenue from direct participation sales, which includes albums, concerts, and advertising, reached 403.7 billion won, a 24.5% increase year-on-year. In particular, album sales surged by 99% to 271.5 billion won. BTS's fifth full-length album, "ARIRANG," was a key driver of this performance. "ARIRANG" sold 3.98 million copies on its release day alone. According to global music data analytics company Luminate, "ARIRANG" also sold 208,000 LP records in a single week, the highest weekly sales by a group since 1991. Additionally, "ARIRANG" set a record as the first album by a Korean artist to top the Billboard 200 main album chart for three consecutive weeks.
During the same period, indirect participation sales increased by 65.5% to 294.7 billion won. MD and licensing sales, as well as fan club sales, rose by 29% and 69%, respectively. The MD and licensing segment benefited from tour-related merchandise, including BTS light sticks, and character goods from HYBE Music Group artists. The company emphasized that fan club sales experienced rapid growth due to strong demand for advance booking of tickets for BTS's world tour concerts.
In contrast, operating profit decreased, resulting in a loss of 196.6 billion won. The company explained, "HYBE Chairman Bang Si-hyuk, the largest shareholder, donated 255 billion won worth of shares as performance bonuses for employees, and this was recognized as an expense in accounting, leading to the loss. This is a one-off expense with no outflow of corporate assets." The company added, "Adjusted operating profit, which reflects actual business performance, was 58.5 billion won, up 170.8% year-on-year, and the operating margin based on adjusted operating profit was calculated at 8.4%."
HYBE expects that, starting in the second quarter, many HYBE Music Group artists-including Tomorrow X Together, Le Sserafim, TWS, ILLIT, and KORITIS-will resume activities with new album releases. In addition, performance from BTS's world tour is expected to be reflected in the results, which is anticipated to further increase both sales and operating profit.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.