Artist Company Q1 Operating Loss Continues, Financial Burden Deepens

Consolidated Q1 2026 revenue KRW 7.39bn (+13.7% YoY), operating loss KRW 1.44bn (narrowed from KRW 1.98bn loss in Q1 2025).
Consolidated net loss KRW 1.72bn (attributable to parent KRW 1.70bn).
Separate Q1 revenue KRW 7.32bn, operating loss KRW 1.19bn, net loss KRW 1.41bn.
Corporate credit rating upgraded from CCC+ (end 2024) to B0 (Mar 2026) by NICE Information Service.
Consolidated debt-to-equity ratio 74.26% as of Mar 2026 (improved from 80.83% at end 2025).
Outstanding convertible bonds (KRW 140bn) and exchangeable bonds (KRW 180bn) total KRW 320bn.
Derivative liabilities KRW 7.78bn, convertible preferred share liabilities KRW 1.68bn.
Goodwill of KRW 13.81bn recognized from the January 2025 merger with Artist Company.
Largest shareholder Lee Jung-jae (27.1%), Jung Woo-sung (11.0%), and related parties hold 38.1%.
Selected as innovative growth-type venture company in March 2026; signed AI solution MOU with Perplexity.