LG Innotek (011070) Q4 2025 earnings summary

Executive summary

• Q4 2025 revenue reached ₩7.61 trillion, up 41.7% sequentially and 14.8% year-over-year.

• Full-year 2025 revenue was ₩21,896.6 billion, up 3.3% year-over-year, with net income at ₩341.3 billion, down 24% from 2024.

• Q4 operating income was ₩324.7 billion, a 59.4% increase from Q3 and 31.0% higher than Q4 2024.

• Net income for Q4 was ₩135.9 billion, up 5.9% sequentially and 27.1% year-over-year.

• The audit opinion was unqualified, confirming fair presentation under K-IFRS.

Financial highlights

• Operating margin improved to 4.3% in Q4, up 0.5 percentage points both sequentially and year-over-year.

• EBITDA for Q4 2025 was ₩612.8 billion, up from ₩487.3 billion in Q3.

• Cash and equivalents at year-end stood at ₩1.41 trillion.

• Gross profit for 2025 was ₩1,749.6 billion, with a gross margin of 8.0%.

• EPS was ₩14,421, down from ₩18,985 in 2024.

Outlook and guidance

• Optical Solutions expects continued growth despite seasonality, driven by robust demand and new product launches.

• Package Solutions anticipates steady demand for RF-SiP and expansion in AI and semiconductor applications.

• Mobility Solutions foresees a slight sales decline due to EV market softness but aims for growth in high-value products.

• Management expects continued growth in core segments, with ongoing investment in R&D and capacity.

• New accounting standards (K-IFRS 1118) will be adopted by 2027, impacting reporting categories.