1. What Happened? KT Genie Music Q2 2025 Earnings Analysis
KT Genie Music reported a return to profitability in Q2 2025, with consolidated revenue of KRW 73.4 billion, operating profit of KRW 5 billion, and net income of KRW 4.3 billion. The robust growth of KT Milli’s Library was a key driver of this turnaround.
2. Why These Results? Analyzing the Drivers of Change
Despite intensified competition, the music streaming business held its ground with differentiated services like ‘Quick Selection,’ though revenue slightly decreased year-over-year. KT Milli’s Library significantly contributed with KRW 7.9 billion in operating profit. However, the sluggish performance of other business segments remains a concern.
3. What’s Next? Future Outlook and Investment Strategy
KT Genie Music is actively strengthening its content competitiveness through acquisitions like Parabole Entertainment and Storywiz, while also investing heavily in AI technology. These efforts are expected to drive mid-to-long-term growth. However, the company urgently needs to address challenges such as expanding market share in the music business and improving profitability in other segments.
4. What Should Investors Do? Action Plan
Currently, the investment outlook for KT Genie Music is ‘neutral’ due to the coexistence of positive and negative factors. Potential investors should carefully monitor changes in market share within the music business, turnaround potential in other segments, and resolution of regulatory risks.