Big Hit Entertainment Made Record-Breaking Profit In 2020 ( Photo Credit – Getty images )
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The COVID-19 pandemic proved to be a major boon for Big Hit Entertainment. One of the famous artists under this label are the BTS. Music has proved to be a boon and one of the best ways to survive during the lockdown. It has been proved by the annual performance report of the label.
Since its foundation, the label has recorded the best annual performance, disclosing the preliminary figures of KRW 796.3 billion in sales, KRW 142.4 billion in operating profit, and KRW 86.2 billion in net profit. Keep reading further for more details.
According to reports in Bollywood Hungama, Big Hit Entertainment’s annual sale grew by 36%, while its operating profit increased by 44% and 19%, respectively, despite the pandemic.
Big Hit Entertainment also announced the 2020 Q4 results of KRW 312.3 billion in sales and KRW 52.5 billion in operating profit, recording 117% and 122% increase respectively, compared to 2019 Q4. This also marks the most prominent quarterly performance since the company’s foundation.
In 2020, Big Hit Labels artists, led by BTS, SEVENTEEN, TOMORROW X TOGETHER, and ENHYPEN, sold a total of 13.22 million copies (based on the Gaon Music Chart). Revenue from the album sales nearly tripled to KRW 320.6 billion. Big Hit acquired PLEDIS Entertainment in May and KOZ Entertainment in November last year, bolstering its multi-label system along with Big Hit, Belift Lab and Source Music.
Although the revenue from off-line concerts declined due to COVID-19, official merchandise and licensing, content, and fan club-related sales increased by 53%, 71%, and 66%, respectively, compared to 2019. Big Hit Entertainment will strive to pursue balanced growth amongst business units. Considering the craze that BTS concerts have, the loss is considerably big.
Global fan community platform Weverse also showed steady growth. As of February 2021, Weverse has established itself as a “No.1 Global Fan Platform” by recording 25 million cumulative app downloads and having global artists from major labels overseas join or set to join the platform.
Well. What do you have to say about this major success of Big Hit Entertainment? Share your thoughts in the comments section below.
