LG Chem H1 2025 Earnings Analysis: A Mixed Bag

LG Chem’s H1 2025 earnings present a mixed bag, with the strong performance of LG Energy Solution offset by the continued struggles of the petrochemical division. LG Energy Solution posted an operating profit of ₩866.8 billion, driving overall results. However, the petrochemical division recorded a loss of ₩146.8 billion. The advanced materials and life sciences divisions showed stable growth.

Key Points for the September 22nd IR: What Investors Should Watch

  • Petrochemical Division’s Recovery Strategy: How does LG Chem plan to address the losses in its petrochemical division? Pay close attention to the specific strategies presented during the IR.
  • Growth Drivers for Advanced Materials: Strategies to counter external factors like the potential early termination of IRA subsidies and future growth plans are crucial.
  • LG Energy Solution’s Sustainable Growth: With increasing competition in the EV battery market, how will LG Energy Solution maintain its competitiveness and continue its growth trajectory?
  • Securing Financial Soundness: What are the plans to manage the increasing debt-to-equity ratio and maintain a stable financial structure?

Investor Action Plan: Post-IR Investment Strategy

Investment strategies should be adjusted based on the information presented during the IR. Carefully analyze the improvement plan for the petrochemical division and future growth strategies, assessing LG Chem’s long-term growth potential. Prudent investment decisions should be made, considering macroeconomic factors and market conditions.