Atinum Investment's sales and operating profit sharply decreased last year. The management fees from managing a 860 billion won mega fund increased, but the performance fees from fund liquidation decreased, resulting in a nearly 60% drop in sales.
Atinum Investment announced on the 4th that its sales last year were provisionally recorded at 51.7 billion won, a 61.4% decrease compared to the previous year (135.7 billion won). Operating profit was 13.6 billion won, down 45% from the previous year's 24.7 billion won. Current net profit also fell 46.1% from 20 billion won in 2023 to 10.8 billion won last year.
Atinum Investment noted, "Management fees and equity method earnings from operating partnerships increased compared to the previous period," while explaining that, "In the previous period, performance fees generated from the liquidation deadline of some operating partnerships were recognized as revenue, and current performance fees decreased compared to the previous period, resulting in a decline in sales and current net profit."
Venture capital firms typically manage venture funds and receive performance fees through management fees and fund liquidation, recognizing them as revenue. Atinum Investment is operating a 860 billion won mega fund while pursuing the so-called "one fund strategy."
While management fees increased due to managing a large fund, Atinum Investment explained that last year, the decrease in performance fees from fund liquidation led to a decrease in sales and operating profit.