Next Entertainment World

Next Entertainment World (NEW) started in 2008 as a film investment and distribution specialist and has since expanded into a content media group spanning film, drama, music, visual effects, sports marketing, and global content distribution.

The film division centers on investment and distribution, and the company ranked as Korea's top film distributor in 2025, posting its highest revenue in three years.

Drama production is handled by subsidiary Studio&New, with titles such as 'Good Boy' and 'Nasty Love' serving as stable revenue sources, and the company signed a co-production agreement with Artist Company, founded by actor Lee Jung-jae, to jointly produce 'Nasty Love,' 'Good Partner 2,' and 'The Way of Soju.' Music and OST business is run by Music&New, visual effects by Engine Visual Wave, and sports management and marketing by Bravo&New, forming a diversified affiliate structure designed to maximize content ancillary value.

Global licensing is handled by ContentsPanda, while NEW ID, described as Asia's leading FAST (free ad-supported streaming) operator, has grown into a key pillar of K-content globalization through partnerships with more than thirty overseas platforms.

The company holds content supply agreements with major domestic and international platforms including Netflix, Disney+, SBS, and tvN, and its newly launched production company New Point is also running Netflix-bound series projects.

Its competitive landscape overlaps with large content groups such as CJ ENM, Lotte, and Hybe Media Corp, and securing IP from hit-proven directors along with building long-term collaborative structures has become the core of its recent strategy.

Looking at annual results, 2022 revenue was KRW 155.6 billion with an operating profit of KRW 7.2 billion, though owner-attributable net income was a loss of KRW 12.3 billion.

In 2023, revenue fell to KRW 129.1 billion with an operating loss of KRW 5.6 billion and a net loss of KRW 11.4 billion, deepening the downturn. 2024 was the worst year, with revenue of KRW 113.2 billion, an operating loss of KRW 19.0 billion (operating margin of -16.7%), and an owner net loss of KRW 20.1 billion, raising concerns over equity erosion.

However, 2025 revenue jumped to KRW 142.7 billion, with operating profit of KRW 2.65 billion (operating margin 1.9%) and owner net income of KRW 0.78 billion, marking a swing from loss to profit.

On a quarterly basis, Q3 2025 revenue of KRW 54.5 billion, operating profit of KRW 3.9 billion, and net profit of KRW 3.1 billion represented the peak that drove the full-year result, but Q4 revenue plunged to KRW 25.3 billion, reverting to an operating loss of KRW 2.4 billion and a net loss of KRW 1.1 billion.

Q1 2026 revenue was KRW 25.6 billion with an operating loss of KRW 1.4 billion, though net income turned slightly positive at KRW 0.17 billion, while Q2 revenue was KRW 27.0 billion with the operating loss widening to KRW 2.2 billion and the net loss expanding to KRW 3.1 billion.

Summed over the trailing four quarters (Q3 2025 through Q2 2026), owner net income stands at roughly negative KRW 1.0 billion, showing that the annual turnaround to profit has not yet been sustained in the more recent quarterly trend.

The Korean film market has recently been restructuring around big-budget productions, with securing new IP from directors recognized for both commercial success and critical acclaim emerging as a key competitive factor for distributors.

NEW ranked as Korea's top film distributor in 2025 and continues to secure competitiveness by acquiring new IP from hit directors such as Jang Jae-hyun, Um Tae-hwa, and Kang Hyung-chul.

In the drama and OTT market, global platforms such as Netflix and Disney+ continue to demand content from domestic production companies, and Korean producers are increasingly building long-term platform partnerships to secure stable revenue structures.

The FAST (free ad-supported streaming) market is a rapidly growing overseas distribution channel, and NEW ID is expanding cooperation with more than thirty overseas platforms on the strength of its position as Asia's leading FAST operator.

Competitors such as CJ ENM and Hybe Media Corp are also expanding their variety and drama production capabilities, intensifying competition in the content production market.

The content business inherently carries large revenue swings tied to box-office and viewership outcomes, and recovery structures vary by project, making it difficult to gauge where the industry sits in its cycle at any given time.

NEW has confirmed a lineup of five upcoming film investment and distribution titles for 2026, reinforcing a multi-IP strategy spanning film, drama, and OTT through new works from hit directors Jang Jae-hyun, Um Tae-hwa, and Kang Hyung-chul, alongside productions such as 'Rookie Detective' and 'Liar College Student.' Subsidiary Studio&New is preparing for the second-half 2026 broadcast of SBS drama 'Good Partner 2,' while co-production projects with Artist Company such as 'Nasty Love' and 'The Way of Soju' are also proceeding as follow-on projects.

Newly launched producer New Point plans to expand global platform supply through upcoming Netflix release 'Recharge Me' and Disney+ release 'I Am a Sinner.' Director Ryoo Seung-wan's film 'Humint' was released globally via Netflix, cited as an example of the company's revenue diversification strategy through global distribution.

The company has stated it aims to sustain a profitable trend through 2026 by diversifying its revenue structure via expanded partnerships, but the operating losses recorded from Q4 2025 through Q2 2026 show that achieving this goal has not been straightforward.

Future results are likely to hinge on how well the box-office and viewership performance of the confirmed new lineup, together with their broadcast and release schedules, translates into actual revenue.