<Summary of 2Q result>

# Achieved record-high top-line growth (yoy+124%)and OP (yoy+88%) 

 ○ Album/Streaming : Robust growth in album sales led by Stray Kids/ TWICE/ NMIXX, generating 3x revenue growth. Streaming revenue also showed double digit growth

   - W14.7bn sales from Republic Records included

 ○ Concert : Record-high revenue and ticket sales based on main artists' NA/ Japan expansion

   - Reflected revenue from Twice World Tour (excluding 4time Japan tour in Q2)and deferral revenue from Japan (W5.5bn) : Stray Kids 1Q23 concert and NiziU’s 4Q22 concert

 ○ Merchandise : Offline MD & JYP360 sales increased due to expanding concert capacity

   - Growth is driven by merchandise sales in Japan and JYP360 (W14bn). JYP360 revenue includes not only MD sales, but also album sales, and others

 ○ Other : Continuous revenue growth in IP licensing

   - Other revenue W19bn (yoy+45%); sustained robust growth in IP licensing revenue (including DEARU)

   - Overseas publishing revenue (incl. NA)reflects in Q1 & Q3 only (vs.Q1 declined in 'Other revenue-Other)

 ○ Other Region : Revenue growth in 'Other Region', especially NA continuously driven by expanding concert capacity and increasing demand for digital content (yoy+141%)

# OPM 30.1%, margin declined qoq due to increased COGS (production cost and artist fee)

 ○ Production cost increased with surging content revenue. TWICE’s contract renewal and increased management revenue, etc. caused a partial increase in artist fees (yoy+152%)

   - Content production cost is growing due to increase in production volume and enhanced quality, but further margin expansion is expected to continue with revenue scaling up. We are currently investing in new artists expansion & content quality

 ○ Incentive reflected quarterly (10~15% of OP)and commission cost increased (yoy+W3.6bn)

   - One-off commission captured from A2K project and JYP360 commission increased

<Outlook>

# Stray Kids/ TWICE further penetrate the NA market and accelerate their growth based on a strategic partnership with Republic Records

 ○ TWICE is currently hosting a major stadium tour worldwide and Stray Kids is also expected to host a global stadium tour in 2024

# Potential strategic partnership is under negotiation with major global concert promoter

# A2K final debut members are to be selected in the final episode in September

# Latest single album sold over 1mil.+ physical copies breaking their highest record after just 18months since their debut 

# JYP Partners officially founded. Expected to raise funds and begin investment in 1H24