LG Energy Solution Posts 7.6% Revenue Drop but 133.9% Profit Jump in 2025, Sets Ambitious 2026 Targets
LG Energy Solution reported 23.7 trillion KRW in 2025 revenue (down 7.6%) and 1.3 trillion KRW operating profit (up 133.9%), and outlined plans to boost ESS and EV battery production in 2026.
- 23.7 trillion KRW
- Up 133.9%
- 140 GWh
What Happened
For 2025, LG Energy Solution's consolidated revenue fell 7.6% to 23.7 trillion KRW, while operating profit surged 133.9% to 1.3 trillion KRW, yielding a 5.7% margin including North American production incentives. The company targets mid-teen to 20% revenue growth in 2026 and a mid-single-digit operating margin.
1.3 trillion KRW
up 133.9% year-on-year
“Last year, we saw a solid growth in ESS sales as we proactively expanded our LFP production capacity in North America, but total revenue decreased due to the slowdown in major customers’ EV sales.”
- Aim for over 90 GWh in new ESS orders and expand ESS capacity to over 60 GWh with more than 80% in North America
- Expand EV battery lineup including LFP, high-voltage mid-nickel, LMR prismatic, and 46-Series cylindrical batteries
- Enter new applications like robotics, ships, and UAM; already supplying six top robotics companies
- Reduce capex by over 40% and focus on cash flow management
Why this matters
The results show how battery makers are navigating slower EV demand by diversifying into energy storage, while investing in next-generation battery tech for future growth.
Terms in This Story
- ESS
- Energy Storage System, typically battery systems used to store electricity for later use.
- LFP
- Lithium iron phosphate, a type of lithium-ion battery chemistry known for safety and long life.
- 46-Series cylindrical batteries
- A format of cylindrical battery cells (46 mm diameter) used in EVs and other applications.
- UAM
- Urban Air Mobility, a concept for air transportation in urban areas using electric vertical takeoff and landing vehicles.
Summarised from the linked release; details can be imperfect — always verify against the original source.