LS Electric Posts Record Q3 Results... First in Industry to Log "100 Consecutive Quarters of Profits"

Operating profit of KRW 233.5 billion, up 131.7% year on year
Driven by growth in high-margin products, including data center solutions
North American revenue of KRW 500 billion drives results

LS Electric (LS ELECTRIC) posted record quarterly results and set a milestone as the first company in Korea's power equipment industry to achieve 100 consecutive quarters of operating profits.

In a filing on October 21, LS Electric said it recorded consolidated revenue of KRW 1.8778 trillion and operating profit of KRW 233.5 billion in the third quarter of this year. Revenue rose 54.4% and operating profit 131.7% year on year. Both figures also increased quarter on quarter, by 19.1% and 30.8%, respectively, marking the company's highest quarterly results on record. Operating profit for the first three quarters had already surpassed its full-year total for last year.

With these results, LS Electric achieved 100 consecutive quarters of operating profits, from the fourth quarter of 2001 through the third quarter of this year. Only 12 of the top 500 companies in Korea by revenue have recorded profits for 100 consecutive quarters.

The strong results were driven by an expansion of high-value projects, including power solutions for artificial intelligence (AI) data centers and extra-high-voltage transformers. Revenue from switchgear, a key product, rose 120% year on year, driving overall growth, while revenue from extra-high-voltage transformers increased 106%. Solid growth in the mass-produced power distribution equipment business, up 32% year on year, also provided a stable foundation.

Aerial rendering of the expansion of LS Electric Utah in Cedar City, Utah. LS ELECTRIC

In global markets, growth in North America stood out. Third-quarter revenue in North America was approximately KRW 500 billion, up about 25% from the previous quarter and a record high. LS Electric plans to step up investment in key local production hubs, including LS Electric Utah in Utah and the Bastrop Campus in Texas, to meet surging demand for power infrastructure in North America and accelerate its market expansion.

Revenue at its Spanish subsidiary rose approximately 120% year on year, while revenue at its Middle East subsidiary increased 61%. LS Electric is expanding its presence in Europe by actively responding to rising demand for power equipment amid the growth of renewable energy and the modernization of power grids. It also expects growth in the Middle East as investment in local energy infrastructure increases.

Backlog stood at around KRW 7 trillion at the end of the third quarter. New orders during the quarter totaled approximately KRW 1.6 trillion.

An LS Electric official said, "Achieving 100 consecutive quarters of operating profits is a meaningful milestone made possible by our robust business portfolio, spanning medium- and low-voltage power distribution to extra-high-voltage power transmission, continued investment in new businesses, and growth in global markets. With order growth now accelerating amid the AI-driven power infrastructure supercycle, supported by a stable earnings base, we will usher in an era of sustained high growth."

This content was produced with the assistance of AI translation services.