NH Investment & Securities noted on the 18th that while the temporary expense incurred during the branch consolidation process concerning Contentree Central is a burden, there are ample major works prepared, so next year's performance can improve. The investment opinion is maintaining a buy, and the target price was lowered by 7% from 15,000 won to 14,000 won. The closing price the previous day was 9,510 won.
Lee Hwajung from NH Investment & Securities explained the reason for lowering the target price for Contentree Central by saying, 'We considered the potential temporary expense burden that may arise during the branch consolidation process,' and added, 'Another reason for lowering the target price is that we raised the estimated operating expense for 2025.'
NH Investment & Securities analyzed that the expectation of resuming exports to China is a positive factor. The Research Institute noted, 'Major works such as Good Boy, My Us, and Knock Off are prepared,' and added, 'If exports to China resume, it will positively impact performance.'
NH Investment & Securities also analyzed that expense efficiency is a positive factor for Contentree Central's performance. The Research Institute said, 'The fixed cost reduction plan due to branch consolidation and production cost efficiency through the hiring of new actors are favorable.'
Contentree Central's consolidated revenue for the fourth quarter of this year is 258.4 billion won, and its operating profit recorded a loss of 13.1 billion won. The Research Institute commented, 'Despite the releases of Joker 2 and Wicked, the box office was dull,' adding, 'This seems to be influenced by poor performance in the institutional sector due to the renovation of indoor playground venues.' However, it was analyzed that there is potential for additional revenue in the future, thanks to the unexpected success of the currently airing drama 'Okssi Buin Jeon.'