oh hey, Oppar

long time no see

Buying Ithaca (HYBE America) is their biggest mistake.

glad the people see clear through hybe's BS, amongst which are their astronomic dispenses in viral marketing /media play and other payola fraudulence! mmmm...

anyway what's the point of debuting 39488495959 groups if it's to never make any profit?? maybe stop debuting so many groups uh?

maybe they think they will start making money after establishing their monopoly, but the music market doesn't work like that. their monopoly is destroying the market due to various obvious reasons.

anyway, what is hybe even without bts...

For me it's not that they made a loss. It's that they missed their forecast. By a lot.

Did they provide a reason?

Quote from 0ppar

10. I've never seen HYBE in a positive net profit actually...

that's untrue, except lately

that being said, where do they put their money, I don't believe it's all in the "viral marketing". Is this in their other branches? It's so upsetting considering they work the idols to the bones.

K (@enhaonly01) on X

Belift Lab, home to ENHYPEN and ILLIT, is now the 2nd most profitable record label under HYBE (in terms of net profit). *Data reflects 3Q of 2025

x.com

The losses are mostly coming from Hybe America and Latin America, which makes sense given their expansion push. When a company is scaling up, the financial pulse naturally feels heavier on the “spend” side than the “earn” side. Anyone from finance knows that growth phases almost always mean temporarily carrying more costs.

And just to keep things accurate: Hybe Japan isn’t a record label. It’s the management arm in Japan. The Japanese groups are actually under YX Labels (formerly Hybe Labels Japan).

Quote from Ciana02

https://x.com/enhaonly01/statu…&t=If_zxqrmUVJbCNQJQORHwA

The losses are mostly coming from Hybe America and Latin America, which makes sense given their expansion push. When a company is scaling up, the financial pulse naturally feels heavier on the “spend” side than the “earn” side. Anyone from finance knows that growth phases almost always mean temporarily carrying more costs.

so katseye payola and tag pr to slander NJs

yes we could have understood as much

Quote from Tatiana1820

so katseye payola and tag pr to slander NJs yes we could have understood as much

To be honest, every big label even mid-sized companies does some form of ‘payola’ in K-pop terms, and even Western artists do it. In reality, that’s just normal promo. Melon is owned by CH company who also owns Kakao and SM. Do you honestly think it cant be manipulated? What truly proves whether a song is a hit is how long it stays on the charts, not the initial push. So yes, maybe there was payola for Katseye on charts, but it doesn’t change the fact that they’re the biggest global GG in the U.S. right now. Their tours are selling extremely well in US. For me, tours are the real measure of longevity and profitability because you can’t fake attendance. At the end of the day, I’ll always look at profitability on album sales and tours over charts, especially when idols don’t produce their songs. They still get a cut from album sales because fans are buying it for them and their photocards, and they get even bigger cuts from tours, especially HYBE artist.

They should do a breakdown of each label at Hybe America, so we can see which needs the chop (Scooter's venture would be the ones).

Quote from Tatiana1820

so katseye payola and tag pr to slander NJs

yes we could have understood as much

You mean that group that lost in court and now don't even seem to be a united front anymore?

Doesn't HYBE America lose money every quarter? For years now? I think they've lost more than this before. When does this expansion phase end? Katseye have debuted and have multiple releases, shouldn't we be seeing some profit now?

Also they are not the biggest girlgroup in the US, especially not by the metric proposed (touring).

Quote from jeyikal307

Doesn't HYBE America lose money every quarter? For years now? I think they've lost more than this before. When does this expansion phase end? Katseye have debuted and have multiple releases, shouldn't we be seeing some profit now?

Also they are not the biggest girlgroup in the US, especially not by the metric proposed (touring).

It'll nrver end until Bongo has "disappeared". I wouldn't be surprised if the expansion plans are all his, and everyone agrees.

In addition, do we even know if Katseye makes a return on its investment? 🤔

As I’ve mentioned, touring has always been the most profitable activity for an idol. That’s why Pledis and BELIFT ranked as Hybe’s top-earning labels in Q3, with their revenue heavily driven by successful tours. For Hybe America, loss can’t be attributed to Katseye alone, since the roster also includes Ariana Grande and Justin Bieber, and Western artists rely heavily on streaming and tours both of which aren’t generating significant revenue at the moment. Also, Hybe is making “significant strategic investments in global IP expansion,” including building new teams, restructuring North American operations, etc. In short, seems like Hybe is deliberately absorbing losses in the U.S. to build a long-term IP business there. The restructuring and investment are costly but could pay off if they scale. Lastly, according to their Q3 earnings, part of the operating loss comes from non-recurring costs. This means not all of what’s dragging down profit is ongoing some of it may be temporary restructuring cost. Hybe expects “these profitability headwinds will largely clear by Q4,” according to their CFO.

HYBE (XKRX:352820) Q3 2025 Earnings Call Highlights: Concert Sales Surge Amid Operating Loss

HYBE reports significant revenue growth driven by concert sales and merchandise, despite facing an operating loss due to strategic investments and…

finance.yahoo.com

External Content x.com

Content embedded from external sources will not be displayed without your consent.

Display all external content

Through the activation of external content, you agree that personal data may be transferred to third party platforms. We have provided more information on this in our privacy policy.

Quote from Ciana02

As I’ve mentioned, touring has always been the most profitable activity for an idol. That’s why Pledis and BELIFT ranked as Hybe’s top-earning labels in Q3, with their revenue heavily driven by successful tours. For Hybe America, loss can’t be attributed to Katseye alone, since the roster also includes Ariana Grande and Justin Bieber, and Western artists rely heavily on streaming and tours both of which aren’t generating significant revenue at the moment. Also, Hybe is making “significant strategic investments in global IP expansion,” including building new teams, restructuring North American operations, etc. In short, seems like Hybe is deliberately absorbing losses in the U.S. to build a long-term IP business there. The restructuring and investment are costly but could pay off if they scale. Lastly, according to their Q3 earnings, part of the operating loss comes from non-recurring costs. This means not all of what’s dragging down profit is ongoing some of it may be temporary restructuring costs. Hybe expects “these profitability headwinds will largely clear by Q4,” according to their CFO.

https://finance.yahoo.com/news…20-q3-2025-150057226.html

https://x.com/moonandenhypen/status/=46&t=If_zxqrmUVJbCNQJQORHwA

https://finance.yahoo.com/news…ml?utm_source=chatgpt.com

Let's see if it pays off to invest in these areas... (which I doubt)

Quote from Ciana02

As I’ve mentioned, touring has always been the most profitable activity for an idol. That’s why Pledis and BELIFT ranked as Hybe’s top-earning labels in Q3, with their revenue heavily driven by successful tours. For Hybe America, loss can’t be attributed to Katseye alone, since the roster also includes Ariana Grande and Justin Bieber

No, it doesn't include Ariana Grande or Justin Bieber.

Since touring is such a big money maker and "[Katseye's] tours are selling extremely well in US", should we expect a profit for HYBE America next quarter results?

Quote from jeyikal307

No, it doesn't include Ariana Grande or Justin Bieber.

Since touring is such a big money maker and "[Katseye's] tours are selling extremely well in the US", should we expect a profit for HYBE America next quarter's results?

I think he uses GPT to get his info...

Quote from jeyikal307

No, it doesn't include Ariana Grande or Justin Bieber.

Since touring is such a big money maker and "[Katseye's] tours are selling extremely well in US", should we expect a profit for HYBE America next quarter results?

I’m from Finance, so I understand how financial modelling works. I’ve done it for smaller companies, so I can only imagine the scale Hybe is dealing with as they absorb these losses. When a company is expanding and restructuring according to their press release especially on the scale of Hybe America, losses in the first few years are expected. The recent deficits aren’t caused by one artist; they’re tied to larger structural factors like North American restructuring costs and heavy investment in global IP.

Hybe America is not like a typical Korean label. It’s huge, and no single artist can define its profitability. Katseye will contribute more as they grow , and BTS returning in 2026 will significantly strengthen the company’s overall revenue. But long-term turnarounds don’t happen in a single year. In most financial models, break-even takes around three years, especially when high upfront costs are involved. It’s part of the expected trajectory when you’re building something big.

About Ariana, apparently she still has active business partnership with Hybe America for business and platforms. I am not sure though of the extent of it. While JB parted ways with SB, it is still unclear if his contract is valid until 2027?

Quote from Ciana02

I’m from Finance, so I understand how financial modelling works. I’ve done it for smaller companies, so I can only imagine the scale Hybe is dealing with as they absorb these losses. When a company is expanding and restructuring according to their press release especially on the scale of Hybe America, losses in the first few years are expected. The recent deficits aren’t caused by one artist; they’re tied to larger structural factors like North American restructuring costs and heavy investment in global IP.

They've been losing money for years.

What IP? There's Katseye and... what else? The other group from... literally the same reality show as Katseye? And then auditions. That's it?

Is the IP they've been developing in the room with us now?

You're acting like they're building a new company from the ground up.

No: They bought a bunch of long-running mostly Scooter Braun concerns for the most part.

So for example, Big Machine is a running business, not in growth phase, QC is a running business, not in growth phase, SB Projects was a running business until HYBE bought it and now it's dead. They have a 49% stake in Geffen, a company that existed for decades before HYBE owned them. None of these should be expected to be losing money. None of them are expanding.

The part that is expanding is the new stuff, like Katseye, the other group from the same show, and the auditions they're holding. This isn't "expansion" in the sense that you frame it. The other k-pop companies have large pools of trainees, auditions around the world, etc. They're all developing new IP. They're not losing near 100 milli every quarter doing it.

Make your next reply without using ChatGPT.