NEW DELHI, India — LG Electronics India on Thursday reported a sharp 27.3 percent year-over-year decline in profit after tax, posting Rs 389 crore for the second quarter of fiscal year 2026. The company had earned Rs 536 crore during the same period a year earlier.
Revenue from operations increased marginally by 1 percent to Rs 6,174 crore in Q2 FY26, up from Rs 6,113.8 crore in the corresponding quarter last year. Despite the modest growth, operating performance weakened: EBITDA fell 28 percent year-over-year to Rs 547 crore, and margins slipped by 350 basis points to 8.9 percent.
Segment results were mixed. Revenue from the home appliances and air solutions division dipped to Rs 3,948 crore, while the home entertainment division posted an improvement, reaching Rs 2,226 crore for the quarter.
The broader consumer electronics sector in India faced muted demand for much of the quarter, as many buyers delayed purchases until late September, when GST reductions on several product categories — including electronics — took effect.
Hong Ju Jeon, Managing Director of LG Electronics India, said the first half of FY26 presented “macroeconomic headwinds,” including a cooler-than-expected summer, geopolitical challenges, fluctuating tariffs, and currency volatility. Despite these challenges, he said the company achieved resilient sales growth and gained market share.
“This performance underscores the strength of our operational execution and the deep trust consumers place in our brand,” Jeon said. “It reflects our strong fundamentals and reinforces our continued commitment to our India growth story.”
This quarter marked LG Electronics India’s first earnings announcement since its highly successful stock market debut on October 14, 2025. The company listed at a 50 percent premium on the National Stock Exchange, opening at Rs 1,710 per share versus the IPO price of Rs 1,140. Shares closed the first trading day 48 percent higher at Rs 1,682.8.
The IPO, which was open from October 7 to 9, received overwhelming investor interest, with 54.02 times oversubscription. (Source: IANS)
