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14 Nov 2025
LG Electronics India Limited – Consumer Electronics and Home Appliances Leader
📊 Stock Analysis
Complete financial analysis with key metrics and investment outlook
LG Electronics India Limited Q2 FY2026 Financial Results
LG Electronics India Ltd (LGEIL) reported its Q2 FY26 financial performance amid a challenging macroeconomic backdrop, posting resilient top-line growth but sharp declines in profitability. Despite external pressures—from a cool summer to tariff and forex challenges—the company maintained market leadership across major categories.
Stock Performance & Key Metrics
As of November 14, 2025:
- Current Price: ₹1,618
- Market Cap: ₹1,09,753 Cr
- High / Low: ₹1,749 / ₹1,580
- Stock P/E: 53.4
- EPS: ₹32.5
- Dividend Yield: 0.00%
- ROCE: 56.8%
- ROE: 45.2%
- Debt to Equity: 0.07
- Debt: ₹473 Cr
- Industry P/E: 53.4
- Face Value: ₹10
Q2 FY2026 Financial Highlights
| Particulars | Q2 FY26 | Q1 FY26 | Q2 FY25 | YoY Change |
|---|---|---|---|---|
| Sales / Revenue | ₹6,174 Cr | ₹6,263 Cr | ₹6,114 Cr | ↑ 1% |
| EBITDA | ₹548 Cr | ₹716 Cr | ₹757 Cr | ↓ 28% |
| Net Profit (PAT) | ₹389 Cr | ₹513 Cr | ₹536 Cr | ↓ 27% |
| EPS (₹) | 5.74 | 7.56 | NA | - |
Result Summary
- Revenue grew 1% YoY despite a subdued demand environment and deferred purchases following GST rate revision.
- EBITDA declined 28% YoY, primarily due to:
- Higher commodity prices
- Festive season promotional investments
- Support initiatives for channel partners
- PAT fell 27% YoY to ₹389 Cr as margins contracted.
- The company continued to maintain strong ROCE (56.8%) and ROE (45.2%), reflecting a robust operating framework.
- Construction of the third manufacturing plant in Andhra Pradesh is progressing on schedule.
Management reiterated confidence in India's long-term consumption growth, supported by LGEIL’s strong brand equity and diversified distribution.
Management Commentary
LGEIL Managing Director Mr. Hong Ju Jeon stated:
> *"Despite macroeconomic headwinds including a cool summer, geo-political challenges, tariffs, and forex fluctuations, our India team delivered resilient sales growth and stable profitability. This performance underscores the trust consumers place in our brand and reflects our strong fundamentals."*
He also highlighted:
- Expansion of the LG Essential Series to drive mass premium adoption
- Strengthening of B2B presence across education, hospitality, medical, and institutional sectors
- A long-term commitment to Make for India, Make in India, and Make India Global initiatives
Segment Highlights
1. Home Entertainment (HE) Segment
- Revenue grew 3% YoY, driven by festive demand and traction in premium TVs (OLED & QNED).
- Segment revenue: ₹22.26 billion vs ₹21.61 billion in Q2 FY25.
- The company aims to strengthen premium positioning and expand B2B solutions in digital display and signage.
2. Home Appliances & Air Solutions (H&A)
- Continued market leadership across major categories including ACs, refrigerators, washing machines, and HVAC.
- GST rate change deferred purchases, but strong distribution and brand recall preserved premium market share.
- LG Essential Series gaining traction in Tier 2 & 3 markets.
- Segment revenue: ₹39.48 billion vs ₹39.53 billion in Q2 FY25 (flat YoY).
Strategic & Financial Overview
- Revenue from operations: ₹61.74 billion, up 1% YoY.
- EBITDA margin: 8.9%, impacted by rising material costs and festive channel support.
- PAT: ₹3.89 billion, reflecting margin pressure.
- Company delivered resilient topline despite challenging demand conditions.
- Maintaining strong execution in manufacturing:
- Greater Noida and Ranjangaon (Pune) units
- Ongoing work on the third plant in Andhra Pradesh
Outlook
LGEIL expects improved performance in the coming quarters driven by:
- GST rate cut boosting purchase momentum
- Seasonal demand from festive and wedding periods
- Expansion of premium product portfolio
- Strengthening B2B opportunities across multiple industries
- Export-driven growth as global conditions normalize
With strong fundamentals, a widening domestic footprint, and continued innovation, LG Electronics India remains well-positioned to scale its leadership in India’s consumer electronics ecosystem.
About LG Electronics India Ltd
Established in 1997, LG Electronics India Ltd (LGEIL) is a leading player in consumer electronics, home appliances, HVAC, and B2B solutions. Its manufacturing units in Greater Noida and Ranjangaon (Pune) produce TVs, air conditioners, refrigerators, washing machines, commercial ACs, and monitors.
The company’s strategy revolves around:
- Make for India – localized product development
- Make in India – expansion of domestic manufacturing
- Make India Global – leveraging India’s hardware and software capabilities for global markets
*For full financial results, refer to the official results PDF*
*Data as of November 14, 2025 | Results announced on November 13, 2025*
