# SM Entertainment’s Q3 revenues fall 9.5% YoY to $205M as album and concert revenue tumbles

- URL: https://talkfuse.com/story/sm-entertainments-q3-revenues-fall-9-5-yoy-to-205m-as-album-and-concert-revenue-tumbles/
- Published: 2026-11-04T15:14:12+00:00
- Updated: 2026-11-04T15:41:01+00:00
- Original publisher: Music Business Worldwide
- Original article: https://www.musicbusinessworldwide.com/sm-entertainments-q3-revenues-fall-9-5-yoy-to-205m-as-album-and-concert-revenue-tumbles/
- Topics: Business, Companies, Entertainment, Music

## Key points

- SM’s Q3 revenue fell 9.5% to $205.1 million.
- New-release album sales dropped about 70% year on year.
- Merchandising and licensing revenue rose 23.5%.

## Summary

SM Entertainment’s third-quarter 2026 revenue fell 9.5% year on year to KRW 291.1 billion ($205.1 million), as album and concert income weakened. Operating profit also declined, and the company reported a small net loss, contrasting with rival HYBE’s record quarter fuelled by BTS’s tour.

At SM’s parent company, revenue from physical albums and digital music fell 51.3% to KRW 47.1 billion, while new-release album sales dropped about 70% to 1.67 million copies. Concert revenue decreased 34.2% to KRW 34.5 billion, as the company focused on overseas shows and smaller fan events; merchandising and licensing rose 23.5% to KRW 62.1 billion. Operating profit fell 26.4% to KRW 35.5 billion, while a KRW 1.1 billion net loss compared with net income of KRW 44.7 billion a year earlier, largely due to foreign exchange losses.

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Summarised by TalkFuse (https://talkfuse.com/). Quote the original publisher for the reporting and link this page for the summary and discussion.