HYBE’s shares climbed after all members of NewJeans decided to resume activities, easing the uncertainty that had surrounded the company during its contract dispute with the group.
HYBE, the Seoul-based entertainment firm behind some of the most commercially successful K-Pop acts, had seen its stock fluctuate amid the prolonged conflict, and the group’s full return removed one of the biggest risks tied to its artist lineup.
ADOR, the HYBE-affiliated label that manages NewJeans, said around 5 p.m. that Haerin and Hyein, after discussions with their families, chose to respect the court’s ruling and remain under their exclusive contracts.
Three hours later, Minji, Hanni and Danielle also conveyed their intention to come back, and ADOR is completing final confirmation with the three. Their return comes roughly a year after they declared their contracts terminated, a dispute that ended when the Seoul Central District Court ruled in favor of ADOR on October 30 and confirmed the validity of all five agreements.
NewJeans’ comeback carries weight beyond Korea because HYBE has positioned itself as one of the few Asian entertainment companies with a strong and growing footprint in the U.S. market through labels, touring operations and partnerships.
The company reported 498 million dollars in third-quarter revenue, a 38 percent increase from a year earlier, but still posted an operating loss of 28 million dollars as profitability weakened during the dispute. With NewJeans returning, HYBE’s lineup stabilizes at a time when global expansion is central to its strategy, adding momentum to its efforts in markets where the group already commands significant attention.
