LS ELECTRIC (010120) Q1 2026 earnings summary

Executive summary

• Achieved strong sales and profit growth in Q1 2026, driven by demand in AIDC, semiconductor, renewable energy, and data center sectors.

• Order backlog and new orders reached record highs, supporting future revenue visibility.

• Strategic focus on DC transition, ESS business, US capacity expansion, and digital transformation to capture global market opportunities.

• Company operates in electric power, automation, metal, and IT segments, with global subsidiaries and diversified product lines.

• Major recent events include large-scale contracts, new subsidiary incorporations, and a 5:1 stock split effective April 2026.

Financial highlights

• Q1 2026 consolidated revenue: KRW 1,377 bn, up 33.4% YoY, but down 9.7% sequentially.

• Operating profit: KRW 127 bn, margin 9.2%, up 0.7 percentage points YoY and QoQ.

• Net income: KRW 120.5 bn, up 77.6% YoY and 42.8% QoQ.

• Order backlog: KRW 5.6 tn, up 45% YoY and 13% QoQ.

• Total assets: KRW 5,362 bn as of March 2026.

Outlook and guidance

• Continued focus on securing orders, stabilizing utilization rates, and global expansion.

• Upward margin trend expected to be maintained despite raw material cost pressures.

• Full HVTR capacity expansion to KRW 800 bn by 2026, supporting growth.

• Data center business identified as a key growth area, leveraging power and automation capabilities.

• Dividend policy aims for stable payout aligned with profit growth and investment needs.