**LG Electronics India’s Profit Surges 45.8% to Rs 2,203.35 Crore in FY25**
New Delhi: LG Electronics India (LGEI) reported a robust financial performance for the fiscal year 2025, with profits surging by 45.8% to Rs 2,203.35 crore. The company’s revenue from operations also rose 14.1% to Rs 24,366.64 crore, according to the latest Registrar of Companies (RoC) filing.
LGEI, which is currently in the process of listing on stock exchanges, had posted a post-tax profit of Rs 1,511.07 crore and revenue from operations of Rs 21,352 crore in the previous financial year ended March 31, 2024.
Including other income, the company’s total income in FY25 increased by 14.25% to Rs 24,630.63 crore, as per financial data accessed by business intelligence platform Tofler. The pre-tax profit also saw a significant rise of 45.5% during the year.
The South Korea-based parent company, LG Electronics Inc., is selling a 15% stake in LGEI through an Offer for Sale (OFS) as part of the Initial Public Offering (IPO).
Advertising and promotional expenses for LGEI increased by 7.27%, reaching Rs 1,009.12 crore in FY25, up from Rs 940.71 crore the previous year. Additionally, the total tax expense surged 44.42% to Rs 759.76 crore compared to Rs 526.05 crore in FY24.
The company’s royalty payments to its parent entity under the license agreement also rose by 12.74%, totaling Rs 454.61 crore in FY25, up from Rs 403.23 crore a year earlier.
LGEI’s total expenses increased by 11%, amounting to Rs 21,667.52 crore in FY25.
### Revenue Breakdown by Product Segment
The refrigerator business led LGEI’s revenue, contributing Rs 6,696.45 crore, which accounted for 27.48% of the total turnover. This was followed by:
– Air conditioners: Rs 5,270.82 crore (21.63%)
– Washing machines: Rs 5,041.70 crore (20.69%)
– LED/LCD televisions: Rs 4,924.81 crore (20.21%)
### Trade and Foreign Exchange
In FY25, LG Electronics India earned Rs 1,451.2 crore through exports. However, its imports amounted to Rs 9,323.1 crore during the same period.
As per the license agreement, LGEI continues to pay royalties to its South Korean parent for the use of technology and branding.
### Market Context
LG Electronics India is the second South Korean company to enter the Indian stock market, following Hyundai Motors India Ltd., which got listed in October last year.
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