YG PLUS achieved the highest performance since its inception. This is attributed to an increase in its of main business of music sales, and the performance of investment subsidiaries exceeding expectations. According to mandatory financial disclosure on the 23rd, YG Plus achieved 154.3 billion won in sales, 25.6 billion won in operating profit, and 22.6 billion won in net profit last year on a consolidated basis. Sales and operating profit increased by 44% and 316.6%, respectively, from the previous year, but net profit turned to the black. YG Plus cited good sales of YG albums, distribution of albums and HYBE partnership of music distribution, increased sales of merchandise. Most of the sales and profits came from the music and music business related to the parent company, YG Entertainment.
The largest shareholder of YG Plus is YG Entertainment, which holds a 25.98% stake. YG Plus re-organized its divisions for 'selective focus’ for several years. After off-loading its previous cosmetics and franchise businesses, they focused on entertainment-related businesses. Last year the results came out. Recently, it is also working to sell Greenworks, a subsidiary company in the sports industry. In addition, the investment performance of its subsidiary, YG Investment, also shone.
Until the first half of last year, YG Investment's sales were 3.2 billion won and net profit was 2.3 billion won. Sales increased 4 times compared to the same period last year, and net profit increased 10 times compared to the same period last year. YG Investment is mainly investing in domestic and foreign content such as Naver Jet (Zeppetto), Musinsa, Balogo, RIDI, and 3I, and future technology industries. YG Plus explained, "The results of investments in new technologies such as Metaverse have had a positive effect on our performance." YG Plus is also showing expectations for this year's performance.
On the 15th, TREASURE, a group under YG Entertainment, resumed entertainment and broadcasting activities. Following this, major YG Entertainment singers such as BLACKPINK and BIGBANG are seeking to resume their activities. “This year, we will further strengthen and expand collaboration with strategic partners such as Naver and HYBE, and continue to expand our external intellectual property (IP) business,” said Choi Seong-jun, CEO of YG Plus. He added, "We will actively review various new businesses in the entertainment field such as NFT (non-fungible token) and metaverse together with global partners to create sustainable growth momentum."
