New Delhi: LG Electronics India’s profit surged 45.8 per cent to Rs 2,203.35 crore in FY25, while its revenue from operations rose 14.1 per cent to Rs 24,366.64 crore, according to the latest RoC filing by the appliances and consumer electronics major.
The company, currently in the process of listing on stock exchanges, reported a post-tax profit of Rs 1,511.07 crore and revenue from operations of Rs 21,352 crore for the financial year ended March 31, 2024.
LG Electronics India (LGEI)’s total income in FY25, including other income, increased by 14.25 per cent to Rs 24,630.63 crore, according to financial data accessed by the business intelligence platform Tofler. The company’s pre-tax profit also rose significantly by 45.5 per cent in FY25.
The South Korea-based parent entity, LG Electronics, is planning to sell a 15 per cent stake through an Offer for Sale (OFS) in LGEI’s upcoming Initial Public Offering (IPO).
LGEI’s advertising and promotional expenses went up by 7.27 per cent in FY25, reaching Rs 1,009.12 crore compared to Rs 940.71 crore in FY24. The total tax expense during the same period increased by 44.42 per cent to Rs 759.76 crore, up from Rs 526.05 crore a year earlier.
Moreover, the ‘cost royalty’ paid by LGEI to its parent company under the license agreement rose 12.74 per cent to Rs 454.61 crore in FY25, up from Rs 403.23 crore in FY24.
Total expenses for LG Electronics India increased by 11 per cent in FY25, amounting to Rs 21,667.52 crore.
According to the latest filing, LG Electronics India’s refrigerator business led the revenue chart, contributing Rs 6,696.45 crore, or 27.48 per cent of the total turnover. This was followed by air conditioners at Rs 5,270.82 crore (21.63 per cent), washing machines at Rs 5,041.70 crore (20.69 per cent), and LED/LCD televisions at Rs 4,924.81 crore (20.21 per cent).
In FY25, LG Electronics India earned Rs 1,451.2 crore in foreign exchange from exports, while its imports amounted to Rs 9,323.1 crore.
As per the license agreement, LG Electronics India pays royalties to its South Korean parent firm, LG Electronics Inc., for the use of technology and brand name.
This marks LG Electronics India as the second South Korean company to tap the Indian stock market, following the listing of Hyundai Motors India Ltd in October last year.
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