LG Energy Solution Releases 2024 Third-Quarter Results

LG Energy Solution Releases 2024 Third-Quarter Results

Benzinga
October 27, 2024

LG Energy Solution posts KRW 6.8778 trillion in consolidated revenue and KRW 448.3 billion in operating profit

The company secures large-scale supply agreements leveraging new form factors and chemistries

The company to effectively address EV/ESS market needs, with the long-term focus on operational efficiency, R&D, and business portfolio expansion

SEOUL, South Korea, Oct. 27, 2024 /PRNewswire/ -- LG Energy Solution (KRX: 373220) today announced its third quarter earnings, along with its quarterly progress reports and action plans for EV and energy storage system (ESS) battery businesses.

The company posted consolidated revenue of KRW 6.8778 trillion, a 11.6 percent increase quarter-on-quarter and 16.4 percent decrease year-on-year. The operating profit was KRW 448.3 billion, a 129.5 percent increase quarter-on-quarter and 38.7 percent decrease year-on-year. The operating profit includes the estimated IRA tax credit amount of KRW 466 billion. Excluding the IRA tax credit, the company would have recorded quarterly operating loss of KRW 17.7 billion.

"Expanded sales to major European automakers and increased production at our joint venture facilities in North America and Indonesia, as well as substantial ESS revenue growth from grid-scale projects, improved the overall revenue compared to the previous quarter," said Chang Sil Lee, CFO of LG Energy Solution.

"We also saw quarter-on-quarter improvements in the operating profit excluding IRA tax credit effect on the back of improved utilization rate led by shipment increase in both EV and ESS batteries, as well as reduced unit cost burden in line with metal price stabilization," Lee said.

Recent Progress: Large-Scale Supply Agreements for New Form Factors and Chemistries

LG Energy Solution successfully secured large-scale orders from top global automakers for its new form factors and chemistries totaling 160GWh, further advancing its goal of leading global innovation in EV batteries.

The major supply agreements include a contract for 50GWh of cylindrical ...

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