LG Energy Solution announced on the 8th that it achieved a record quarterly revenue of 9.6434 trillion won in the third quarter of this year. This represents a 59% increase compared to the same period last year.
Third-quarter operating profit was recorded at 756 billion won, up 25.7% from the same period last year. The amount of Advanced Manufacturing Production Tax Credit (AMPC) under the U.S. IRA (Inflation Reduction Act) is 416.9 billion won. Excluding this, revenue stands at 9.2265 trillion won, and operating profit at 339.1 billion won.
The expansion of ESS (Energy Storage System) production in the North American region was a key factor contributing to LG Energy Solution’s record quarterly revenue.
In the electric vehicle battery business, performance improved based on factors including △increased sales of mid-nickel batteries (with approximately 60% nickel content) in Europe, △the resumption of operations at the North American joint venture with GM, △the start of operations at the joint venture with Hyundai Motor, and △stable supply of cylindrical batteries to strategic customers.
Operating profit also improved due to reduced fixed costs resulting from increased ESS shipments in North America. Increased shipments of pouch-type batteries for mid-to-low-priced electric vehicles in Europe, as well as compensation received from some automakers, also contributed to the improvement in operating profit.
An LG Energy Solution official stated, “Revenue is expected to maintain a continuous growth trend due to the full-scale ramp-up of North American ESS production and improvements in electric vehicle battery volumes in the second half.”
in INDUSTRY
