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LG Electronics' Profit Surges in Q2 Amid AI Popularity

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LG Electronics' Profit Surges in Q2 Amid AI Popularity

LG Electronics (KRX:066570) posted a record operating profit for the second quarter, soaring 147% year on year, as sales remained strong amid the popularity of artificial intelligence-related technologies

Operating income surged to 1.579 trillion Korean won from 639.4 billion won in the prior year.

Net income attributable to shareholders rose 11% to 668 billion won from 604.7 billion won a year earlier.

Revenue rose 15% year-on-year to 23.8 trillion won from 20.7 trillion won.

B2B revenue, which accounted for 36% of the Seoul-based electronics company's entire revenue, rose 5% year on year to 6.5 trillion won. The subscription business' revenue also rose 5% from a year earlier to 660 billion won.

The company said there is an acceleration in new business areas, especially those related to robotics and AI data center cooling solutions, particularly the eco solution, which recorded 2.73 trillion won in revenue due to an expansion in its air conditioner sales.

Revenue under the home appliance segment reached 7.08 trillion won due to higher premium TV sales, while that of the media entertainment segment was 5.11 trillion won. The group's vehicle solution company posted revenue of 3.03 trillion won.

LG Electronics declared an interim cash dividend of 500 won per common share for the period, which will be paid out on Aug. 28 to shareholders on the record by Aug. 13.

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