[Market Focus] LG Innotek Rises 7% on Q3 Profitability Improvement...Hits Record High

LG Innotek showed a significant improvement in profitability in the third quarter of this year, hitting a new 52-week intraday high.

As of 9:10 a.m. on October 31, LG Innotek was trading at 244,500 won on the Korea Exchange, up 16,000 won (7.00%) from the previous day. During the session, the stock rose as high as 248,500 won, setting a new 52-week high.

The previous day, LG Innotek announced in a provisional disclosure that its consolidated operating profit for the third quarter of this year was 203.7 billion won, a 56.2% increase compared to the same period last year. Revenue decreased by 5.6% to 5.3694 trillion won, while net profit rose by 22.3% to 128.4 billion won. Park Kangho, a researcher at Daishin Securities, commented, "Third quarter revenue and operating profit exceeded the consensus (average forecast by securities firms) by 4.8% and 13.7%, respectively. This outperformance is attributed to steady production and strong initial sales of the Apple iPhone 17, as well as the rise of the won-dollar exchange rate, which surpassed market expectations."

This improvement in performance is expected to continue in the fourth quarter. Yang Seungsoo, a researcher at Meritz Securities, stated, "LG Innotek's fourth quarter operating profit is expected to reach 316.8 billion won, up 27.8% year-on-year and 8.2% above consensus. The fourth quarter is likely to benefit from strong initial sales of new models from client companies. In particular, demand for the standard model, which has seen various specification upgrades compared to the previous version, is significantly exceeding that of previous years," he analyzed.

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