[Edaily Reporter Choi Hee-jae ] As the content and media group Next Entertainment World Co., Ltd.(160550)(Next Entertainment World) accelerates efforts to enhance corporate value through portfolio diversification and improved profitability, its cinema business subsidiary, CineQ, is showing signs of growth by returning to profitability.

◇Growth in Both Attendance and Revenue… CineQ Turns a Profit
According to Next Entertainment World Co., Ltd. on the 30th, CineQ’s cumulative attendance from January to August 2026 increased by approximately 42% compared to the same period last year. This figure exceeds the overall cinema market’s attendance growth rate (29%) for the same period, and analysts note that growth was particularly pronounced during the peak season of July and August. In August alone, attendance rose by approximately 83% compared to the same month last year, exceeding the overall market’s attendance growth rate (45%).

Revenue also grew in tandem. August revenue increased by more than 50% compared to the same month last year, and cumulative revenue from January through August rose by 30% year-over-year. The company also announced that operating profit turned from a loss in the same period last year (January–August) to a profit. This is particularly noteworthy because the increase in attendance led to higher revenue and, in turn, supported improved profitability.

This year, the movie theater industry showed signs of recovery, starting with the film *The Man Who Lives with the King* surpassing 10 million viewers, followed by the box office success of major Hollywood blockbusters during the summer peak season. While highly anticipated domestic and international films such as “Spider-Man: A Brand New Day” and “The Odyssey” drove audiences to theaters, CineQ recorded a growth rate that exceeded the market’s recovery trend. Given that the company improved profitability beyond mere expansion, this is viewed as a significant achievement in strengthening Next Entertainment World Co., Ltd.’s competitiveness in the theater business and advancing its value-enhancement strategy.

◇From Operational Efficiency to New Locations… Diversifying Growth Drivers
CineQ is strengthening the operational competitiveness of its existing locations while also expanding its network by securing new hubs. In July, it unveiled the Daegu-Gyeongsan location, which was converted from an existing theater to the CineQ brand. It plans to open a new location in the Gyeonggi region next month and is set to begin operating the HyundaiEngineering&Construction DH Bangbae Community Cinema in December.

A key feature of the company is its diversification of operational models tailored to regional demand and location-specific characteristics, rather than relying solely on large-scale theaters. This strategy involves simultaneously improving operational efficiency at existing locations and expanding into new markets to broaden customer touchpoints and secure mid- to long-term growth momentum.

Lee Kyung-sun, CEO of CineQ, stated, “This year, as movie theaters continue to attract audiences with domestic and international blockbusters, CineQ is achieving results in terms of revenue growth and improved profitability,” adding, “We will continue to enhance both customer satisfaction and business competitiveness through a differentiated viewing experience.”

To enhance the efficiency and stability of its theater business, Next Entertainment World Co., Ltd. is flexibly responding to market changes by managing a diverse portfolio that includes company-owned theaters, outsourced operations, and small-scale cinemas. Based on CineQ’s improved performance and diversified operational model, the company plans to boost the profitability of its theater business and expand the foundation for sustainable growth.