Yumi's Cells 3 Success Boosts CJ ENM Earnings

CJ ENM announced that it recorded 1.3297 trillion won in revenue and 1.5 billion won in operating profit for the first quarter of 2024. This is attributed to global distribution performance and the continued growth of TVING. Notably, the film and drama division turned profitable, achieving 457.3 billion won in revenue, a 44.8% increase year-on-year, and 8 billion won in operating profit. Enhanced partnerships with platforms like Netflix and Amazon Prime Video led to expanded overseas sales of entertainment and music content, driving profitability improvements.

TVING's growth was also significant. Revenue increased by 11.6% year-on-year to 326.8 billion won, and subscriber numbers grew by 37.3% in one year due to the expansion of partnership products. TVING's advertising revenue also rose by 35.3% compared to the first quarter of last year, driven by exclusive content and the success of the WBC.

The music division recorded 167 billion won in revenue and 5.8 billion won in operating loss. The success of 'ALPHA DRIVE ONE', which set the second-highest initial album sales record, and 'ZEROBASEONE', which successfully completed their world tour, stood out. Mnet's revenue increased thanks to the success of 'Show Me The Money 12', with Mnet Plus revenue growing by 263.1% year-on-year. However, profitability temporarily decreased due to a reduction in large-scale events by label artists and increased infrastructure investment by Mnet Plus.

Commerce division revenue increased by 4.5% year-on-year to 378.5 billion won. Operating profit decreased by 7.6% year-on-year to 23.9 billion won, influenced by expanded investments to strengthen mobile competitiveness, including commerce content production and AI advancement. Mobile live commerce gross merchandise value (GMV) increased by 137% year-on-year, establishing itself as a key growth driver, and new app installations and monthly active users (MAU) also increased.

CJ ENM plans to continue its growth momentum in the second quarter. TVING aims to improve profitability in the second quarter based on the popularity of IPs such as 'Secret Audit', 'The Legendary Cook', and 'Youth Over Flowers Limited Edition'. Furthermore, the company aims to strengthen the impact of original content through the recently concluded 'Yumi's Cells 3' and the upcoming '​The Legendary Cook'.