LG Electronic India FY24 revenue rises 7.5% to Rs 21,352 cr, profit grows 12.3% to Rs 1,511 cr

LG Electronics India, which is evaluating an initial public offering (IPO) in the country, posted 12% year-on-year (yoy) jump in net profit at Rs 1511 crore in 2023-24, while revenue increased by 7% at Rs 21,557 crore, as per the company's latest Registrar of Companies (RoC) filings.

The company did not attribute any reason behind the rise in sales and net profit in the filings. As per the filings sourced by business intelligence firm Tofler, refrigerator is the largest product of LG India contributing 27% to the sales followed by washing machine at 21%, and air-conditioner and televisions each contributing 20% to the sales.
The filings show LG India in FY24 expanded exports by 9% yoy at Rs 1086 crore. The company also paid a royalty of Rs 375 crore to its parent in Seoul, which increased by 40% yoy.


LG is the country’s largest home appliance manufacturer by sales and market share. The company is the leader in refrigerators and washing machines where it competes with Samsung, Haier, Whirlpool and Godrej, while in AC it is the second largest after Voltas. In televisions, the company competes with Samsung and Sony. India is the second largest market for LG after the US.

LG’s global chief executive has said the company is evaluating an IPO for its Indian operation. It has been reported in the media that the company may seek to raise $1-$1.5 billion from the share sale which could take place early next year, valuing the Indian operations at about $13-billion.

In FY23, LG India’s total income had grown by 17% yoy. This slowdown in sales growth last fiscal is indicative of the pressure in the Indian consumer electronics market where overall growth had slowed down to 4-5% with low-income and large sections of middle class consumers only undertaking necessary purchases postponing all discretionary spending due to high inflation in daily lives.

Electronic companies have been riding on the wave of premiumisation in the Indian market. Industry executives said this helped LG to improve its profit margins in the country, growing faster than sales.

The company in the filings also said it has strengthened local manufacturing right till the component stage in India in categories like televisions, refrigerators, washing machines and air conditioners.