LG Innotek, 3Q Operating Profit 335.7 Billion KRW... Up 209.8% YoY

[Asia Economy Reporter Jeong Hyunjin] LG Innotek announced on the 28th that it recorded sales of 3.7976 trillion KRW and an operating profit of 335.7 billion KRW in the third quarter of this year. Compared to the same period last year, sales increased by 71.4% and operating profit by 209.8%. Compared to the previous quarter, sales rose by 61.3% and operating profit by 121%.

LG Innotek explained that the expansion of supply of new high-performance camera modules such as triple cameras for smartphones and 3D sensing modules led the performance, and sales of semiconductors for 5G communications and substrates for displays increased, while vehicle cameras and power components for electric vehicles continued their growth trend, supporting the results.

By business division, the Optical Solutions division achieved sales of 2.9098 trillion KRW, a 100% increase compared to the same period last year. Compared to the previous quarter, it increased by 87%. Sales grew centered on high value-added products such as triple cameras for smartphones and 3D sensing modules as supply of new models to customers expanded.

The Substrate Materials division recorded sales of 423.6 billion KRW, up 33% year-on-year and 17% quarter-on-quarter. Sales were driven by substrates for 5G communication semiconductors such as substrates for Radio Frequency System-in-Package (RF-SiP) and substrates for Antenna-in-Package (AiP) due to supply of new models to customers. The strong sales trend of premium TVs continued, and display products such as Chip-on-Film (COF) and photomasks also maintained growth in performance.

The Automotive Components division recorded sales of 342.4 billion KRW, up 4% year-on-year and 5% quarter-on-quarter. Sales of camera modules for Advanced Driver Assistance Systems (ADAS) and power components for electric vehicles such as Battery Management Systems (BMS) increased. LG Innotek stated, "Despite the difficult market environment including global vehicle semiconductor supply issues and rising raw material prices, the Automotive Components division is making every effort to improve order soundness and profitability."