LG Electronics Reports Record Annual Revenue and Operating Profit
LG Electronics Inc. (LG) reported annual revenues of $61,900 million and an operating profit of $1.721 billion for the year 2025, marking its second consecutive year of highest annual revenue.
Overcoming Trade Pressures
Despite facing cost pressures related to US tariffs, LG’s various business divisions maintained sustained growth. The B2B segment saw a 3% interannual increase, reaching $16.7 billion. The combined operating profit of VS (Vehicle Solutions) and ES (Energy Solutions), LG’s two key B2B pillars, surpassed $694 million for the first time.
LG Home Appliance Solution (HS)
HS reported revenues of $18.1 billion and an operating profit of $888 million.
- HS achieved its highest revenue in history, with a slightly increased operating profit after excluding extraordinary costs.
- Through production footprint optimization, price adjustments, and cost improvements, HS demonstrated resilience against US tariff pressures.
- In 2026, HS plans to sustain growth by expanding its AI-driven appliance line and strengthening presence in emerging markets.
- The company will continue developing embedded appliances, component solutions, AI Home platforms, and home robotics as part of its evolving portfolio strategy.
LG Media Entertainment Solution (MS)
MS recorded revenues of $13.5 billion and an operating loss of $521 million, reflecting a year-on-year decrease.
- MS’s performance was affected by delayed demand recovery and intensified competition in the global display market.
- In 2026, MS plans to strengthen its product line in both OLED and LCD segments, including offerings with Micro RGB technology.
- The company will continue driving demand for lifestyle-oriented products like StandbyME and Easy TV.
- The advertising and webOS content business is expected to maintain solid growth through continuous content investment and expanded partnerships.
LG Vehicle Solutions (VS)
VS reported revenues of $7.73 billion and an operating profit of $388 million, both reaching historical highs.
- VS’s performance was backed by strong order portfolio conversion.
- Despite short-term uncertainty in global automotive demand due to macroeconomic volatility, VS plans to reinforce collaboration with OEM partners and improve operational efficiency for stable profitability.
- The company will continue strengthening capabilities in future mobility solutions, including software-defined and AI-defined vehicles.
LG Eco Solutions (ES)
ES reported revenues of $6.48 billion and an operating profit of $449.3 million.
- ES’s revenues increased year-on-year, with operating profit growing slightly after excluding extraordinary costs.
- In 2026, demand for high-efficiency solutions, including eco-friendly refrigerant-based heat pumps, is expected to expand, particularly in international markets.
- LG Eco Solutions will continue exploring opportunities in AI-powered data center cooling, advancing next-generation liquid cooling technologies, and expanding partnerships for immersion cooling solutions development.
Key Questions and Answers
- What is LG Electronics’ annual revenue and operating profit for 2025? LG reported $61,900 million in revenues and an operating profit of $1.721 billion for 2025.
- How did LG’s divisions perform despite US tariff pressures? Despite cost pressures, LG’s divisions maintained sustained growth. B2B segment revenues increased by 3%, and VS and ES operating profits surpassed $694 million for the first time.
- What are LG’s plans for HS in 2026? In 2026, HS plans to expand its AI-driven appliance line and strengthen presence in emerging markets while continuing to develop embedded appliances, component solutions, AI Home platforms, and home robotics.
- What challenges did MS face in 2025, and what are its plans for 2026? MS faced delayed demand recovery and intensified competition in the global display market. In 2026, MS plans to strengthen its product line in OLED and LCD segments, drive demand for lifestyle-oriented products, and maintain solid growth in advertising and webOS content businesses.
- What are LG’s strategies for VS and ES in the future? VS plans to reinforce collaboration with OEM partners, improve operational efficiency, and strengthen capabilities in future mobility solutions. LG Eco Solutions will continue exploring opportunities in AI-powered data center cooling and expanding partnerships for immersion cooling solutions development.