LS Electric Q1 Operating Profit 93.7 Billion KRW... 15% Increase YoY

Sales of 1.0386 trillion won... 6.4% increase
Impact of growing power infrastructure demand in North America and others

LS Electric recorded strong performance in the first quarter of this year, driven by growth in its power business centered on North America.

LS Electric announced on the 29th that its consolidated operating profit for the first quarter of this year reached 93.7 billion KRW, a 14.6% increase compared to the same period last year.

During the same period, sales increased by 6.4% to 1.0386 trillion KRW, and net profit rose by 57.9% to 79.7 billion KRW.

LS Electric Cheongju Smart Factory view.
Photo by LS Electric

LS Electric stated, "We recorded results close to an 'earnings surprise' thanks to the strong performance of our core cash cow businesses such as power equipment and distribution," adding, "With the power infrastructure market centered on North America entering a super cycle, global power demand is surging due to increased investments in artificial intelligence (AI) and data centers, and as a result, the upward trend in performance is expected to continue this year following last year."

LS Electric's order backlog increased from 2.3 trillion KRW at the end of last year to 2.6 trillion KRW as of the first quarter of this year. Along with strengthening its global market presence, the proportion of overseas sales has steadily grown from 24% in 2020 to 36% last year and 43% in the first quarter of this year.

The share of LS Electric's North American business, which the company is focusing on, rose from 14% last year to 17% in the first quarter of this year, and first-quarter sales of ultra-high voltage transformers in North America grew approximately 200% compared to the same period last year. Accordingly, the operating profit of its U.S. subsidiary reached 14.8 billion KRW, up 13.6 billion KRW from the same period last year.

LS Electric said, "We are solidifying our position as the number one supplier of low-voltage power equipment in Vietnam and strengthening our Southeast Asian business by targeting power infrastructure markets such as distribution transformers in Indonesia," adding, "Sales from large smart energy projects, including orders for the energy storage system (ESS) business in the UK, have also begun to be reflected, expanding our renewable energy business."

This content was produced with the assistance of AI translation services.