LG Electronics Inc. (LG) recently announced its record-breaking third-quarter 2024 consolidated revenue of KRW 22.18 trillion and an operating profit of KRW 751.9 billion, marking the highest third-quarter revenue in company history and the fourth-highest operating profit ever.
This achievement comes despite challenging global conditions, including delayed market recovery, geopolitical tensions, and rising shipping costs.
LG’s robust year-over-year growth, marking four consecutive quarters of revenue increases, reflects its strategic business portfolio transformation. This incudes new business models, a focus on expanding B2B operations, and the launch of initiatives to counter cost pressures, enabling the company to retain a strong competitive edge.
Looking ahead, LG plans to further accelerate its business transformation by expanding home appliance subscriptions, direct-to-consumer (D2C) sales and volume zone product sales. In addition, the company aims to drive steady growth in the B2B sector while also expanding platform-based content and service businesses.
The LG Home Appliance & Air Solution Company reported Q3 revenue of KRW 8.34 trillion, up 11.7% year-over-year, and an operating profit of KRW 527.2 billion. Demand for LG’s subscription and B2B HVAC services contributed significantly, offsetting challenges posed by high logistics costs.
Meanwhile, the LG Home Entertainment Company posted Q3 revenue of KRW 3.75 trillion—a 5.2% increase compared to the same period last year—and an operating profit of KRW 49.4 billion, driven by demand in Europe for OLED TVs and webOS-based services.
The LG Vehicle Component Solutions Company generated revenue of KRW 2.61 trillion and an operating profit of KRW 1.1 billion, while LG Business Solutions Company saw a Q3 revenue of KRW 1.40 trillion and an operating loss of KRS 76.9 billion. While revenue grew year-over year, the operating loss expanded due to rising LCD panel prices and increased competition.
Meanwhile, following a recent board resolution, LG decided to discontinue its battery pack business. As a result, starting from the third-quarter earnings report, related revenue and operating profit will be treated as discontinued operations in the financial statements. This will also lead to adjustments in past revenue and operating profit figures.
