Korean media made comments after BLACKPINK did not renew their personal contract with YG.

On December 29, 2023, YG officially announced that all BLACKPINK did not renew their individual contracts. This caused YG’s stock price to drop significantly. According to news site Chosun Biz, as of the morning of January 5, 2024, YG’s stock price is plummeting due to its failure to renew the personal contract with BLACKPINK. The reason is because most of the revenue so far has come from BLACKPINK, so even if other groups are active, it is not a factor pushing the stock price higher.

This news site commented that YG Entertainment still cannot resolve its heavy dependence on BLACKPINK. Although BLACKPINK’s exact share in YG Entertainment’s achievements has not yet been revealed, industry experts estimate BLACKPINK’s revenue and operating profit exceed 80%. Meanwhile, expectations for the activities of rookie group BABYMONSTER or boy group TREASURE are still very low.

YG Entertainment still cannot resolve its heavy dependence on BLACKPINK

In fact, experts say that BLACKPINK’s group activities are not expected. This is because each member’s company is different, so unifying a group activity schedule is not easy. Kim Hye Young, a researcher at Daol Investment & Securities, said: “Because BLACKPINK’s individual contract was unsuccessful, we lowered the target stock price from 100,000 won to 70,000 won.”

In addition, Mr. Kim Hyeon Yeong, researcher at Hyundai Motor Securities commented: “The performance growth in the first half of last year was largely influenced by BLACKPINK’s overseas tour. Therefore, business results in the fourth quarter will not be good and this year’s profits are expected to decrease compared to last year.”

Experts say that BLACKPINK’s group activities should not be expected when each member has their own company