LG Energy Solution has reported revenue of KRW 6.8778 trillion in Q3 2024, up 11.6 percent from the previous quarter but down 16.4 percent year-over-year.
LG Energy Solution has posted operating profit of KRW 448.3 billion, a 129.5 percent increase quarter-on-quarter but a 38.7 percent decrease year-over-year.
Excluding an IRA tax credit of KRW 466 billion, the company would have reported a loss of KRW 17.7 billion for the quarter. South Korea-based LG Energy Solution supplies EV batteries to customers like Tesla, General Motoros, Hyundai Motors, among others.
Revenue drivers include increased EV battery sales to European automakers and expanded production in North America and Indonesia.
LG Energy Solution has also achieved substantial growth in revenue from energy storage systems (ESS) projects, particularly grid-scale.
LG Energy Solution secured large-scale orders totaling 160 GWh for new battery form factors and chemistries.
Notable deals include a 50GWh cylindrical battery contract with a major automaker in North America and 109GWh in NCM pouch batteries for commercial vehicles in Europe.
LG Energy, as part of EV battery strategy, will be diversifying battery chemistries and form factors, with plans to produce 46-Series cylindrical batteries. LG Energy earlier said its capital expenditure for 2024 would be around 10.9 trillion won.
LG Energy Solution will strengthen its R&D focus on advanced materials, including dry electrode technology aimed at enhancing energy density and reducing costs.
LG Energy Solution’s ESS Battery Business will be targeting long-term projects in North America with stable revenue potential.
LG Energy Solution plans to start U.S. production of high-capacity LFP ESS batteries and consider repurposing EV lines for ESS in response to European demand.
LG Energy Solution will be scaling down capacity expansion and adjusting ramp-up speeds to optimize utilization of existing production lines.