IU (Lee Ji Eun) is estimated to have earned over 30 billion KRW (approximately 22 million USD) last year.
According to the audit report released by EDAM Entertainment on March 28th, it was confirmed on the 31st that a total of 33.62 billion KRW in service fees were paid out to artists between January 1st and December 31st of 2023.
In the entertainment industry, "service fees" included in cost of sales typically refer to payments made to artists, covering appearance fees, performance settlements, and other associated expenses. While these fees can also include other costs like promotional, legal, and accounting fees, they are generally considered minor in proportion. In most cases, the bulk of the amount is directly settled with the artist.
To provide some context, ADOR, the label behind NewJeans, reportedly spent around 29 billion KRW in service fees in 2023. After deducting approximately 2.9 billion KRW in selling and administrative expenses, about 26.1 billion KRW is believed to have gone directly to their artists.
Given that EDAM Entertainment’s total artist-related service fees amounted to 33.6 billion KRW, it is highly likely that IU alone received close to 30 billion KRW, considering she is virtually the agency’s sole source of income.
Attorney Noh Jong Eon of the law firm Jonjae explained, “Although the service fees may technically include things like promotional, legal, and event management costs, these components are usually minimal. For the sake of long-term transparency, it would be advisable for agencies to clearly disclose how much of this was artist settlement.”
EDAM Entertainment is an agency under Kakao Entertainment, which owns a 52.5% stake. IU herself owns a 22.5% share, making her the third-largest shareholder. The company is often regarded as a “one-person agency,” as the vast majority of its revenue comes from IU’s activities.
EDAM reported total sales of 74.9 billion KRW and an operating profit of 6.1 billion KRW in 2023.
This year, IU continues her packed schedule with her role in the Netflix drama 'When Life Gives You Tangerines', further cementing her reputation as one of the busiest artists in the industry.
SEE ALSO: IU’s ‘Bye, Summer’ fan meet-up sells out in fan club pre-sale
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