1. E-World H1 2025 Earnings: Key Findings and Issues

E-World recorded a significant decline in its H1 2025 earnings, with revenue at ₩24.1 billion, operating profit at ₩0.3 billion, and net loss at ₩0.4 billion. Despite a slight return to profitability in Q2, the first half of the year remained in the red.

  • Theme Park: Declining visitors due to the economic slowdown and climate change. Despite an increase in annual memberships, recorded an operating loss of ₩1.553 billion.
  • Jewelry: Accounts for 60.3% of revenue but recovery remains slow. Despite efforts to strengthen online channels, susceptible to economic sensitivity.
  • Financial Structure: High debt (₩137.85 billion) leading to increased interest burden. Concerns about increasing financial burden if the high-interest rate environment continues.

2. Analyzing the Causes of the Slump

E-World’s slump is attributed to multiple factors. The economic slowdown and weakened consumer sentiment negatively impact both the theme park and jewelry businesses, and high debt becomes a greater burden in the era of high interest rates. Furthermore, a lack of response to rapidly changing consumption trends is also cited as a cause of the earnings decline.

3. Can E-World Recover?

E-World is attempting to overcome the crisis by developing differentiated content for its theme park, enhancing the brand value of its jewelry business, and improving its financial structure. However, it is expected to take time to see tangible results.

4. Action Plan for Investors

Investors should be mindful of E-World’s short-term stock price volatility. From a mid- to long-term perspective, careful monitoring of business competitiveness enhancements and financial structure improvements is crucial.