Seoul: LG Energy Solution Ltd. (LGES), South Korea's leading battery manufacturer, has reported a substantial increase in its first-quarter operating profit, attributed to a surge in battery product sales in the United States.
According to Yonhap News Agency, LGES estimated an operating profit of 492.2 billion won (US$361.2 million) for the three months ending in June, more than doubling from 195.3 billion won in the same period the previous year. This growth was propelled by increased shipments to major clients like Hyundai Motor, Kia, and General Motors Co. in the U.S., as noted by a company spokesperson.
Despite the impressive profit figures, LGES experienced a 9.7 percent decline in sales, amounting to 5.56 trillion won compared to 6.16 trillion won last year. The decline is attributed to a general slowdown in electric vehicle (EV) sales. The company has announced plans to release its final earnings results for the June quarter later this month.