KOSPI large cap · Consumer electronics · Appliances, TVs, automotive (VS)
LG Electronics
A global top-tier electronics company in home appliances (HS) and TVs (MS) whose FY2025 record revenue of KRW 89.20tn (+1.7%) came with operating profit falling to KRW 2.478tn (-27.5%), exposing margin pressure in mature appliances (a Q4 quarterly operating loss, its first in 10 years). Weight is shifting from mature appliances toward automotive (VS) and HVAC (ES) — appliances and TVs are cash cows defended by premium, subscription and webOS advertising, while the real re-rating axis is automotive components, where VS set records in both revenue and operating profit in 2025 (KRW 11.1tn revenue). The LG Magna JV supplies drive motors and inverters for GM EVs, and under holding company LG Corp, vertical integration with affiliates like LG Innotek (camera modules) and LG Display (panels) underpins cost and sourcing.
066570.KS Updated Sep 11, 2026 5 AI consumers· 5 recurring
Per the valuechain.wiki graph, LG Electronics is directly linked to 8 companies (4 supply, 3 revenue, 2 investment relationships) and reaches 23 companies within two hops; the links are backed by 14 dated sources, 2 of them primary filings (as of 2026-09-11).
Financials & Segments
- Total revenue · KRW 89.20tn (2025 consolidated, record, +1.7%), operating profit KRW 2.478tn (-27.5%)
- Customer concentration · A year balancing margin pressure in mature appliances (a Q4 quarterly operating loss, the first in 10 years) with a shift of weight toward automotive (VS) and HVAC (ES). VS set records in both revenue and operating profit in 2025. Top-10 North American customers were 31.5% of revenue. VS backlog was ~KRW 100tn at end-2024 (IR) but is no longer disclosed in the FY2025 report.
- Segments · HS home appliances (KRW 26.1tn, 29.3%) · MS TV & IT (KRW 19.4tn, 21.8%) · VS automotive (KRW 11.1tn, 12.5%) · ES HVAC (KRW 9.3tn, 10.5%) · LG Innotek (KRW 21.9tn, 24.5%, consolidated subsidiary)
Revenue from
- Automakers (VS: infotainment & drivetrain components) High confidence· Amount ₩11.1T · FY2025 VS 부문 매출
The automaker demand of the VS (automotive) business — FY2025 VS revenue was KRW 11,135.7bn (12.5% of the group), supplying telematics, AV, AVN, motors and inverters to Mercedes-Benz, BMW, Honda and others at a record level. The order backlog was ~KRW 100tn at end-2024 (IR), pre-securing future revenue, though the FY2025 business report states it no longer separately manages or discloses backlog.Mentions KO Eugene Investment & Securities Published Feb 2, 2026: Eugene Investment — LG Electronics BUY (maintained), target KRW 117,000Confirms KO LG Electronics Newsroom Published Jan 30, 2026: LG Electronics FY2025 record revenue KRW 89.2tn, operating profit KRW 2.48tn - North American big-box retail (Best Buy, Home Depot, Lowe's) High confidence· Market share 31.5% · FY2025 상위 10대 매출처 비중
The end distribution channel for appliances and TVs — the FY2025 business report names Best Buy, Home Depot and Lowe's among top customers, with the top-10 customers at 31.5% of consolidated revenue. North American consumer and housing cycles transmit into appliance sales through this channel. - General Motors High confidence
From the 51%-owned LG Magna e-Powertrain Mexico plant, supplies drive motors and inverters for GM's next-gen EV platform — direct exposure to the electrification cycle and a core engine of VS growth.Confirms KO Maeil Industry News Published Aug 1, 2024: LG earnings call: LG Magna Mexico ramp, GM supply - 현대차·기아 Medium confidence
Vehicle-system/automotive customers (per press reporting, undisclosed) — the end demand for the VS business, where automakers' electrification and software-ization drive the backlog. - Flex Ltd. Medium confidence
This is at the MOU stage; no supply volume or contract value has been disclosed. Classified as a revenue edge because Flex would integrate LG Electronics' cooling hardware into its modular solutions, though a revenue-sharing structure cannot be ruled out (see open_questions).Confirms KO Seoul Economic Daily Published Nov 4, 2025: LG Electronics and Flex to co-develop 'modular cooling', targeting AI data centers - Lowe's Companies, Inc. Medium confidence
LG Electronics supplies premium washers and dryers to Lowe's for sale in the United States. LG Electronics and The Korea Economic Daily each confirmed the start of supply in June 2025, but neither disclosed the amount.Confirms KO The Korea Economic Daily Published Jun 24, 2025: LG Expands Large-Capacity Laundry Appliances for U.S. ConsumersConfirms KO LG Published Jun 24, 2025: LG Signature Expands in the U.S. Ultra-Premium Laundry Market
Pays to
- POSCO (steel) High confidence· Amount ₩1.5T · FY2025 Steel 매입
The supplier of steel, a key material for appliance sheet metal — in FY2025 LG bought KRW 1,460.2bn in HS (13.1% of that segment's materials) plus KRW 81.3bn in ES, ~KRW 1,541.5bn combined, from POSCO. Steel prices are a swing factor for appliance cost ratios. - LG Chem (resins) High confidence· Amount ₩951.2B · FY2025 Resin 매입
The affiliated supplier of resins, the core material for appliance moldings — in FY2025 LG bought KRW 807.7bn in HS (7.3% of that segment's materials) plus KRW 143.5bn in ES, ~KRW 951.2bn combined, from LG Chem. It is the channel through which oil and petrochemical spreads pass into appliance costs. - Qualcomm (automotive chips, with NXP) Medium confidence· Amount ₩414.6B · FY2025 VS Chip 매입(퀄컴·NXP 등)
The supplier of chips for VS telematics and infotainment — in FY2025 LG sourced KRW 414.6bn of VS chips (6.3% of that segment's materials) from Qualcomm, NXP and others. Rising vehicle software and connectivity raise chip cost and dependence. - LG Display Medium confidence
Sources large WOLED panels for OLED TVs from LG Display (81% of its OLED-TV panel revenue) — in-group panel dependence anchors TV cost and supply, stable via related-party sourcing but exposed to the panel cycle.
Investors
- LG Corp (group holding) High confidence
Group holding company LG Corp is the largest shareholder controlling LG Electronics — the vertical integration and related-party dealings with electronics affiliates like LG Innotek and LG Display sit atop this holding structure.
Investments
- LG Display (36.72% stake) High confidence· Amount ₩4.8T · FY2025 LCD 모듈+VS 패널 매입
The affiliated display supplier for TVs and automotive — per the FY2025 business report, LG bought KRW 4,124.2bn of LCD modules for MS (TVs; 38.3% of that segment's materials) and KRW 690.1bn of VS (automotive) display panels from LG Display, ~KRW 4.8tn combined. Affiliated sourcing stabilizes supply but exposes cost to the panel price/demand cycle.Confirms KO DART (Financial Supervisory Service) Published Mar 11, 2026: LG Display FY2025 Annual Business Report (DART, filed 2026-03-11) - LG마그나 이파워트레인 High confidence
A 51:49 JV with Magna International (49%) making EV drive motors and inverters for GM, which turned its first annual profit in 2023 — strategic investment that both internalizes components and locks in an automaker customer. - LG Innotek High confidence
Parent shareholder of camera-module subsidiary LG Innotek — keeping optics and substrate components in-group underpins vertical integration for smartphone and automotive cameras.Confirms KO News1 Published Apr 24, 2026: Samsung Electro-Mechanics and LG Innotek under Samsung/LG Electronics
Value-chain ripple (2 tiers)
Following node-to-node links up to 2 tiers; each firm is shown once, at its nearest tier.
| Company | Chain | '21 | '22 | '23 | '24 | '25 | YTD |
|---|---|---|---|---|---|---|---|
| Palo Alto Networks | lead2 | +56.7 | -24.8 | +111.3 | +23.4 | +1.2 | +80.9 |
| Alphabet (Google) | lead2 | +65.3 | -39.1 | +58.3 | +36 | +66 | +8.3 |
| Flex Ltd. | lead1 | +1.9 | +17.1 | +41.9 | +67.2 | +57.4 | +81.2 |
| General Motors | lead1 | +40.8 | -42.4 | +7.9 | +49.8 | +54.2 | +8.4 |
| Lowe's Companies, Inc. | lead1 | +63.3 | -21.5 | +14 | +13 | -0.3 | -13.9 |
| LG Electronics | node | -16.2 | -20.9 | -5.8 | -9.5 | +19.2 | +105.5 |
| Qualcomm | benef1 | +22.3 | -38.6 | +35.1 | +8.3 | +13.8 | +0.2 |
| POSCO Holdings | benef1 | +13.9 | +19.9 | +43 | -37.3 | +38.3 | -1.4 |
| LG Chem | benef1 | -29 | +9.7 | -36.6 | -45.3 | +31.2 | -8.6 |
| LG Display | benef1 | -6.8 | -30.9 | -8.5 | -20.6 | +26.2 | -21.8 |
| Soitec | benef2 | -3.7 | -13.4 | -2.3 | -37.4 | -68.9 | +386.9 |
| United Microelectronics (UMC) | benef2 | +43.2 | -40.3 | +39.2 | -19 | +28.8 | +168.9 |
| Corning | benef2 | +5.9 | -11.6 | -1.2 | +60.6 | +87.8 | +77.2 |
| Samsung Electronics | benef2 | -9 | -14.2 | +20.9 | -26.4 | +212.9 | +59.7 |
| TSMC | benef2 | +12.1 | -36.7 | +42.3 | +92.6 | +55.9 | +41.9 |
| JCET (Jiangsu Changjiang Electronics) | benef2 | -34 | +0.2 | -15.2 | +73.3 | +28 | +36.3 |
| Merck KGaA (EMD) | benef2 | +42.2 | -0.4 | -19.1 | -2.5 | -12.7 | +10.4 |
| Nitto Denko | benef2 | -4.3 | -2.9 | +51.3 | +14.7 | +26 | +1.3 |
| King Yuan Electronics (KYEC) | benef2 | +26.7 | -7.7 | +132.4 | +38.6 | +171 | -6.7 |
| LG Energy Solution | benef2 | · | · | -26.9 | -7.6 | +13.1 | -9.9 |
| SMIC | benef2 | -29.6 | -7.4 | -18.3 | +169.9 | +98.4 | -10.9 |
| Cosmo Advanced Materials & Technology | benef2 | +121.4 | +48.7 | +128.9 | -60.4 | -3.4 | -23.5 |
| Leeno Industrial | benef2 | +21 | -5.3 | +18.3 | +9.5 | +150.1 | -37.1 |
YTD as of 2026-09-04 · source: Yahoo Finance
LG Electronics operates across KOSPI large cap, Consumer electronics, Appliances, TVs, automotive (VS). It is up +105.5% in 2026. The stock (+105.5%) is ahead of both its demand side (avg +44.8%) and supply side (avg -7.9%). Having run ahead of its chain, it is the first spot to give back if customer numbers fail to follow. Among connected nodes the furthest ahead is Flex Ltd. (+81.2%) and the furthest behind is LG Display (-21.8%). If chain logic explains the gap, the laggard is the next propagation candidate; if not, the link itself deserves a second look. The LG Magna JV supplies drive motors and inverters for GM EVs, and under holding company LG Corp, vertical integration with affiliates like LG Innotek (camera modules) and LG Display (panels) underpins cost and sourcing.
Analysis generated from returns as of 2026-09-04