LG Electronics Inc. announced its financial results for the fourth quarter and full year of 2025, reporting consolidated revenue of KRW 89.2 trillion and operating profit of KRW 2.48 trillion. The company achieved the highest annual revenue in its history for the second consecutive year, underscoring the resilience of its diversified business portfolio.
HS and VS Extend a Decade of Continuous Growth
Despite cost pressures linked to U.S. tariffs and a slowdown in global electric vehicle demand, LG’s Home Appliance Solution (HS) and Vehicle Solution (VS) companies delivered sustained growth. Both divisions have now recorded revenue growth for ten consecutive years since 2015, making a significant contribution to LG’s record annual performance.
Operating Profit Impacted by Strategic Spending and One-Off Costs
Operating profit declined year-on-year, reflecting increased marketing expenditures for display-based products amid delayed demand recovery and intensifying competition. Additionally, LG recognized several hundred billion Korean won in one-off costs during the second half of the year, mainly related to organizational optimization initiatives, including company-wide voluntary retirement programs. These measures are expected to support a more flexible and efficient cost structure over the medium to long term.
Strategic Growth Engines Continue to Gain Momentum
LG continued to strengthen its focus on higher-value, more resilient business models. Strategic growth areas include B2B businesses such as vehicle solutions, HVAC, and component solutions; non-hardware businesses including the webOS platform and maintenance services; and direct-to-consumer (D2C) channels encompassing subscription-based services and online sales.
B2B revenue rose 3 percent year-on-year to KRW 24.1 trillion, while combined operating profit from the VS and Eco Solution (ES) companies surpassed KRW 1 trillion for the first time. Revenue from subscription-based business models increased 29 percent, approaching KRW 2.5 trillion.

2025 Performance and 2026 Outlook by Business Unit
Home Appliance Solution (HS) Company
The HS Company posted revenue of KRW 26.13 trillion and operating profit of KRW 1.28 trillion, marking an all-time revenue high. Excluding one-off costs, operating profit increased slightly. Through production footprint optimization, pricing adjustments, and cost improvements, HS demonstrated strong resilience against U.S. tariff-related pressures.
In 2026, HS plans to expand its AI-powered appliance lineup, strengthen its presence in emerging markets, and further develop built-in appliances, component solutions, AI Home platforms, and home robotics.
Media Entertainment Solution (MS) Company
The MS Company reported revenue of KRW 19.43 trillion and an operating loss of KRW 750.9 billion, reflecting year-on-year decline driven by delayed demand recovery and intensified competition in the global display market.
Looking ahead to 2026, MS aims to reinforce its OLED and LCD product portfolio, including offerings based on Micro RGB technology, while expanding lifestyle-focused products such as StanbyME and Easy TV. The webOS-based advertising and content business is expected to maintain solid growth through continued content investment and expanded partnerships.
Vehicle Solution (VS) Company
VS achieved record performance with revenue of KRW 11.14 trillion and operating profit of KRW 559 billion, supported by strong conversion of order backlog into sales.
While near-term uncertainty persists in global automotive demand due to macroeconomic volatility, VS plans to deepen collaboration with OEM partners, enhance operational efficiency, and strengthen capabilities in future mobility, including software-defined vehicles and AI-defined vehicles.
Eco Solution (ES) Company
The ES Company recorded revenue of KRW 9.32 trillion and operating profit of KRW 647.3 billion. Revenue increased year-on-year, and operating profit rose slightly when excluding one-off costs.
In 2026, ES expects growing demand for high-efficiency solutions, including heat pumps using eco-friendly refrigerants, particularly in overseas markets. The company will also continue pursuing opportunities in AI data center cooling, accelerating commercialization of next-generation liquid cooling technologies, and expanding partnerships for immersion cooling solutions.
Earnings Conference and Investor Call
LG Electronics will host a Korean and English earnings conference call on January 30, 2026, at 16:00 Korea Standard Time. The presentation materials will be available on the company’s official website prior to the call.
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