LG Electronics Q1 results: Net profit rises to ₹652 crore; revenue jumps 15% on volume, value-led growth

The company's revenue from operations grew 15% to ₹7,233 crore in the April-June quarter as compared to ₹6,263 crore in the corresponding quarter of the previous fiscal year. This was driven by volume- and value-led growth.

Further, the company’s exports delivered growth complementing domestic demand supported by growing consumer shifts towards feature-rich, higher-value, and energy-efficient products.

The subsidiary of South Korean consumer electronics giant LG Electronics Inc.'s earnings before interest, taxes, depreciation, and amortisation (EBITDA) rose 26% annually to ₹904 crore as against ₹717 crore in Q1 FY26.

LG Electronics India’s operating profit margin expanded to 12.50% from 11.44% annually, led by operating leverage at higher volumes, a premium mix and strong home entertainment demand.

The company said it saw balanced growth across a diversified portfolio of home appliances & air solutions and the home entertainment segment, underpinned by superior demand fulfillment and channel execution.

The household appliances manufacturing firm said the festive season is expected to be the key demand driver for the television category, with a strong sell-out trend and early channel stocking beginning ahead of Onam, Durga Puja, and Diwali. “Premiumisation and large-screen adoption trends remain firmly intact, with consumer preference for larger TVs expected to continue,” LG Electronics said.

Segment updates

Home appliance growth was achieved despite absorbing elevated commodity prices and currency headwinds. Operating leverage on higher volumes, calibrated pricing and deepening localisation benefits supported profitability through the quarter.

Home entertainment EBIT margin improved significantly YOY driven by continued premiumisation with a richer product mix, normalisation of promotional spend and improved cost structure in the ID business. The operating leverage from strong revenue growth and continued cost discipline further supported profitability through the quarter.

FY27 outlook

“We remain constructive on the outlook for FY27, with demand momentum intact across segments, anchored by a strengthening product mix, export ramp-up and the scale-up of our B2B and AMC businesses,” said LG Electronics.

The firm said it was protecting its margin trajectory through pricing discipline, operational efficiencies and localisation amid geopolitical and macroeconomic headwinds. It added that its diversified growth engines and execution capabilities support its FY27 targets of mid-teen revenue growth and an early double-digit EBITDA margin.

Established in 1997, LG Electronics India is a formidable brand in the country that operates in various segments, including home appliances, consumer electronics, IT hardware and HVAC systems.

On Thursday, LG Electronics India shares closed at ₹1,578.30 apiece on the National Stock Exchange, losing 0.03%. The earnings, however, came after the market hours.