LG Chem announced that its consolidated revenue for the third quarter of 2023 was KRW 15.157 trillion, and operating profit was KRW 9.9 billion. This represents a roughly 47.9% increase in sales compared to the same period last year, and operating profit also improved markedly. The market has noted that these results are better than the prior forecast, but the overall outlook remains positive.
Breaking down by segment: the petrochemical division recorded an operating profit of KRW 2.251 trillion versus the previous quarter, indicating a somewhat slower recovery in profitability. This is attributed to material cost inputs and changes in product pricing, as well as one‑time benefit reductions. The chemical materials division saw a modest improvement in operating profit to KRW 244 billion versus the prior quarter; sales prices remained at roughly the same level while sales volume increased about twice. Gasoline growth is projected at around 27%.
LG Energy Solution also stands out: EV battery material revenue is estimated at about KRW 300 billion, with operating profit expected to be KRW 336.1 billion. This can be seen as a result related to the expansion of electronic materials portfolio.
NH Investment Securities research institute analyst Choi Young‑gwang said, “The recovery rate in profitability may be slower than anticipated, but new orders from 2027 are becoming significant, so the recovery trajectory remains viable.” He added that the company’s push for expanding its electronic materials portfolio – such as automotive and semiconductor materials – is encouraging.