1. What Happened? : Decoding IncredibleBuzz’s H1 2025 Earnings

IncredibleBuzz reported KRW 348.7 billion in revenue for the first half of 2025, a significant increase compared to the same period last year. The healthcare division led this growth, contributing 89.67% of total revenue. However, the company’s profitability took a hit with an operating loss of KRW 137.3 billion and a net loss of a staggering KRW 1078.1 billion.

2. Why Did This Happen? : Unpacking the Widening Losses

Despite revenue growth, the widening loss is primarily attributed to a surge in SG&A expenses and financial costs. Increases in salaries, commissions, and advertising expenses were particularly noticeable. Furthermore, the issuance of convertible bonds and an increase in financial debt resulted in financial costs ballooning to approximately 6.3 times higher than the same period last year.

3. What Should Investors Do? : Navigating the Investment Landscape

  • Short-Term Investment Strategy: Sell or exercise extreme caution. Given the current trend of worsening profitability, short-term investment in IncredibleBuzz requires careful consideration.
  • Mid-to-Long-Term Investment Strategy: Conservative approach and key monitoring. The growth potential of the healthcare division is promising, but cost control and improvements in financial structure are crucial.
  • Key Monitoring Points: Cost efficiency, financial cost management, revenue contribution from new businesses, future audit reports.

4. Investor Action Plan: Prioritizing Risk Management

Investing in IncredibleBuzz carries significant risk. If considering investment, continuous monitoring of the key points mentioned above, and a thorough review of the company’s financial improvements are essential. Careful due diligence, focusing on fundamental changes in the company’s financials, is crucial before making any investment decisions.