LG Electronics (066570)

LG Electronics is a global company leading technological innovation in various fields such as home appliances, IT, automotive components, and signage. Its main business areas consist of Home Appliance & Air Solution (H&A), Home Entertainment (HE), Vehicle component Solutions (VS), Business Solutions (BS), and Eco Solutions (ES). Key products and services include washing machines, refrigerators, OLED TVs, air conditioners, vehicle infotainment, telematics, EV powertrain components, system air conditioners, chillers, and robots. As of 2024, the H&A (Home Appliance) business unit accounts for over 1/3 of total revenue, and the revenue proportion of the VS (Vehicle component Solutions) business unit expanded to 12.5% in 2025. LG Electronics leads the global home appliance market, particularly holding the No. 1 position in the OLED TV market for 11 consecutive years and the No. 1 global market share in the telematics market. Furthermore, it is expanding its business areas into built-in appliances, system air conditioners, robots, and AI data center cooling solutions, strengthening its penetration into the B2B market. LG Electronics' core competency lies in its AI core-tech-based technological prowess combined with key component technologies such as AI, motors, and compressors. Based on this, it has achieved the world's No. 1 revenue among global home appliance manufacturers and maintains a dominant market position in the OLED TV and telematics markets. Additionally, it demonstrated its brand competitiveness by recording the highest brand value growth rate in 'Best Korea Brands 2025' and is pursuing qualitative growth by diversifying its business portfolio into B2B areas such as vehicle components, robots, and AI data center cooling. LG Electronics' annual revenue decreased by approximately 1.44% year-over-year to KRW 82,262.7 billion in 2023, but grew by 6.64% to KRW 87,728.2 billion in 2024, and showed a recovery, recording growth of approximately 1.68% to KRW 89,200.9 billion in 2025. Operating income increased by 2.88% year-over-year to KRW 3,653.3 billion in 2023, but decreased by 6.40% to KRW 3,419.7 billion in 2024, and further declined by 27.49% to KRW 2,478.4 billion in 2025, showing a trend of declining profitability. Net income significantly decreased by 48.59% year-over-year to KRW 591.4 billion in 2024, but substantially improved, increasing by 106.36% to KRW 1,220.4 billion in 2025. In the first quarter of 2026, it continued its solid performance, recording revenue of KRW 23,727.2 billion and operating income of KRW 1,673.7 billion. Examining LG Electronics' financial health, its debt-to-equity ratio increased to 160.31% in 2024 but improved to 140.33% in 2025, indicating an easing of financial leverage burden. The current ratio slightly increased to 128.28% in 2025 from 124.23% in 2024, maintaining a stable level in terms of short-term liquidity. Return on Equity (ROE) declined to 2.35% in 2024 but recovered to 4.27% in 2025, indicating improved profitability of shareholder equity. LG Electronics is accelerating its transformation into a 'Life Solution Company' in line with industry trends such as the development of AI and IoT-integrated smart home appliances and eco-friendly products. In particular, it is restructuring its business by fostering B2B areas such as vehicle components, HVAC (Heating, Ventilation, and Air Conditioning), robots, and AI data center cooling as future growth engines. Furthermore, it is pursuing sustainable growth by strengthening its penetration into the Global South region and implementing ESG management practices.