LG Electronics achieves record revenue in 2024

Guests flock to LG Electronics‘ sales space on the opening day of CES 2025 in Las Vegas, Tuesday. AP-Yonhap

LG Electronics reported a record-high annual income of 87.74 trillion received ($66.7 billion) for 2024, with an working revenue of three.43 trillion received, the corporate mentioned Wednesday.

Within the fourth quarter, LG recorded a consolidated income of twenty-two.78 trillion received and an working revenue of 146.1 billion received, it added.

Over the previous 4 years, LG’s consolidated income has grown at a compound annual progress charge of greater than 10 p.c. Regardless of exterior uncertainties, the corporate has maintained strong fundamentals.

Strategic shifts in enterprise fashions, together with subscription companies and direct-to-consumer (D2C) initiatives, have pushed progress past its core companies. The enlargement of business-to-business (B2B) operations additionally contributed considerably to the income improve.

Regardless of varied challenges, profitability remained secure on an annual foundation. Within the second half of final yr, sudden international transport price surges and one-time prices for stock rationalization impacted profitability. Nonetheless, the general annual efficiency confirmed constructive qualitative progress pushed by a realignment of the corporate’s enterprise portfolio.

The house equipment enterprise, a core phase for the corporate, is predicted to surpass 30 trillion received in income for the second consecutive yr. The technique of increasing synthetic intelligence-powered home equipment and quantity zone lineups, together with diversifying enterprise fashions to incorporate subscription and D2C companies, has pushed strong efficiency. Progress continues steadily within the B2B sector, together with heating, air flow and air con (HVAC), built-in home equipment and part options.

LG plans to broaden its subscription enterprise to international locations corresponding to Thailand and India, along with current markets like Korea, Malaysia and Taiwan. The HVAC enterprise, which holds the most important share in LG’s house equipment B2B sector, will now function as an impartial enterprise unit, aiming to grow to be a worldwide chief in complete air high quality options.