Analyst Predicts YG Entertainment Could Recover Lost Sales When G-Dragon Returns

There are specific reasons how G-Dragon can help YG.

G-Dragon will be discharged on October 26, making him the next BIGBANG member after T.O.P. to finish his mandatory military service.

It was earlier predicted that G-Dragon was expected to “save” YG Entertainment from its lowering stock value, to the upset of fans who do not want to pressure him.

A new perspective has since been added to the mix in the form of analyst Lee Kihoon, a researcher from respected group Hana Financial. He stated that G-Dragon’s return could help YG Entertainment recover considering the value he and BIGBANG added to the company in the past.

For the last five years, BIGBANG’s dome tour revenues accounted for 40-50% of YG’s revenues.

– Analyst Lee Kihoon

He predicted that G-Dragon’s return and a possible dome tour of BIGBANG will be able to get YG Entertainment back on track.

If BIGBANG is able to carry out a Japan Dome tour at the same level, they’ll be able to achieve more than 30 billion won in annual operating profit.

– Analyst Lee Kihoon

Lee Kihoon was further optimistic about the fourth quarter earnings of YG Entertainment for 2019.

4Q earnings are expected to recover somewhat due to activities by Akdong Musician, WINNER, and BLACKPINK.

– Analyst Lee Kihoon

Taeyang and Daesung are set to be discharged after G-Dragon on November 2019.

Source: Naver