LG Energy Solution President Kim Dong-myeong: "Now is the Time for the Strong... We Will Become the Dominant Player When the Supercycle Comes"

After the Holiday, CEO Delivers Internal Message to Employees
Emphasizes: "Let's Prepare with the Attitude of Hosiu-bo"

Kim Dong-myung, CEO of LG Energy Solution, stated, "Now is the 'time of the strong,'" adding, "When the future supercycle arrives, ultimately, companies with real capabilities will dominate the market." This remark is interpreted as emphasizing the need to patiently wait for opportunities based on technological leadership amid growing global market uncertainties, such as the tariff war initiated by former U.S. President Donald Trump, with China, Canada, and Mexico joining in.

According to LG Energy Solution on the 3rd, Kim sent a message titled "Now is the Time of the Strong, Let's Prepare with the Attitude of Hosiu-bo (虎視牛步)" to employees. Hosiu-bo means "to watch like a tiger and walk like an ox," signifying thorough preparation and cautious execution.

Kim said, "It is true that there are many concerns as various policy changes in North America are anticipated," but emphasized, "I want to define this moment as the 'time of the strong.' True capabilities are revealed in times of crisis. When the future supercycle arrives, companies with real capabilities will ultimately dominate."

He added, "It is time to respond flexibly to market changes while diligently and quietly carrying out activities to secure advantages in product and price competitiveness," and stressed, "If we prepare with this attitude, I am confident that LG Energy Solution will be the dominant player in the upcoming supercycle. We already possess the qualifications of the strong and are in the process of accumulating even more differentiated competitiveness."

As evidence, he cited ▲technological leadership ▲global top operational capabilities ▲first and best records. Kim explained, "Our technological leadership is demonstrated by industry-first achievements such as lithium iron phosphate (LFP) pouch cell-to-pack (CTP), high-voltage mid-nickel for European commercial vehicles, and large-scale orders for the 46 series," adding, "We are also the first to develop the game-changing dry electrode technology, which has attracted significant interest from customers."

Furthermore, he stated, "Last year, we surpassed an all-time high average yield of 95% in automotive batteries, which is by no means an easy achievement," emphasizing, "Steady order wins continue across business sectors such as electric vehicles and energy storage systems (ESS), and in the near future, combined with our operational capabilities, this will generate significant synergy." He also added, "We have accumulated experience through numerous successes and failures, which is an invaluable asset."

Kim said, "Although this year will continue to be very challenging, the company plans to wisely cope with difficulties by increasing investment flexibility, line conversion, and efficiency improvements," and elaborated, "Although limited, we expect sales growth of 5-10% this year and aim to lay the foundation for a turnaround in profitability by focusing more on rebalancing and fundamental activities."

Meanwhile, LG Energy Solution recently announced its fourth-quarter results for last year, reporting sales of 6.5 trillion won, a 19% decrease compared to the same period last year, and an operating loss of 225 billion won, turning to a deficit. The company expects volume recovery starting from the first quarter of this year.