LG Electronics India Ltd Q2 FY26 Results & Concall Highlights: Revenue, Margins & Order Book
Published 7 Aug 2026 | Consumer Durables | Market Cap: ₹1.2L Cr
LG Electronics India has a strong long-term growth strategy with a 13.1% CAGR revenue growth since 2022. LG Electronics India expects to resume strong growth, targeting to catch up to previous sales growth rates with double-digit EBITDA margins.
From LG Electronics India Ltd's Q2 FY26 earnings-call transcript · updated 23 Aug 2026.
Price
₹1,623
Market Cap
₹1.2L Cr
P/E Ratio
64.3
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LG Electronics India Ltd — Quarterly revenue & net profit
Reported quarterly figures (₹ Cr). Latest: revenue ₹8.1K Cr, net profit ₹693 Cr.
Full financials →📊 Revenue & Sales Performance
- →LG Electronics India has a strong long-term growth strategy with a 13.1% CAGR revenue growth since 2022.
- →The company aims to surpass previous sales growth and margins soon post Q2 challenges.
- →Key growth drivers include expansion of the Essential series targeting mass customers and scaling up B2B business, particularly in HVAC and information display panels.
- →The company is leveraging premiumization trends in India to improve market share and profitability.
- →Localization is targeted to rise from ~56% to 70% in 3-4 years, supporting margin improvement.
- →Ongoing new product launches and annual maintenance contracts (AMC) are expected to create additional high-margin revenue streams.
- →Investment in a new INR 5,000 crore manufacturing facility at Sri City will enhance capacity and support exports.
- →Management is confident of returning to double-digit revenue growth in the second half of FY 26 backed by strong demand pipelines and market leadership.
📈 Profitability & Margins
- →LG Electronics India expects to resume strong growth, targeting to catch up to previous sales growth rates with double-digit EBITDA margins. (Pages 15-16, 20-21)
- →Revenue CAGR since 2022 stands at 13.1%, with a continued focus on premium product expansion and B2B business scaling. (Page 15, 20)
- →Margin improvement is anticipated through price increases (1.5%-2% on refrigerators and washing machines), rationalized promotions, and ongoing localization efforts. (Pages 21, 11)
- →Long-term growth levers include expansion of Essential series targeting mass customers, annual maintenance contracts (AMC) for recurring revenue, and B2B growth in HVAC and information display panels. (Pages 15-16)
- →Near term, challenges like cool summer, geopolitical tensions, and tariffs could impact growth, but LG expects minimal impact due to operational resilience. (Pages 6, 10)
- →INR 5,000 crore phased CapEx over 4-5 years for new factory to boost production and exports supports growth prospects. (Page 22)
🏗️ Capital Expenditure Plans
- →LG Electronics India is investing INR 5,000 crore in a new third manufacturing facility at Sri City, Andhra Pradesh, over the next 4-5 years.
- →The investment will be made in a phased manner, with approximately INR 1,000 to INR 1,200 crore per year.
- →The new plant, spread over 1 million square meters on a 99-year lease, will enhance production capacity, support export expansion, and optimize logistics for the South India market (which contributes 38-40% of total business).
- →Operations at Sri City will start with room air conditioners in October 2026, followed by air conditioner compressor lines in March 2027, and subsequently washing machines and refrigerators.
- →The plant benefits from a government fiscal incentive of 100% capital subsidy realized over 20 years from start of production.
- →CapEx for existing plants will continue at 2-2.5% of total annual revenue focused on automation and modification.
- →Funding will come from internal accruals.
💰 Fundraising & Capital Structure
- →No explicit mention of new fundraising through debt or equity was made in the transcript.
- →The company plans to fund its INR 5,000 crore investment in the new Sri City plant entirely from internal accruals over four to five years.
- →There is ongoing investment in existing plants through internal resources.
- →Cash and bank balance remains healthy at INR 42.8 billion as of September 30, 2025.
- →The focus is on reinvestment from operating cash flows rather than external fundraising.
📋 Order Book & Pipeline
Key Metrics
Frequently Asked Questions
What were LG Electronics India Ltd Q2 FY26 results?
LG Electronics India has a strong long-term growth strategy with a 13.1% CAGR revenue growth since 2022. LG Electronics India expects to resume strong growth, targeting to catch up to previous sales growth rates with double-digit EBITDA margins.
What is LG Electronics India Ltd share price analysis?
LG Electronics India Ltd currently shows a neutral. The stock trades at a P/E of 64.3 with a market cap of ₹117,407 Cr. Investors should review the full earnings analysis for detailed insights.
Is LG Electronics India Ltd planning capital expenditure?
LG Electronics India is investing INR 5,000 crore in a new third manufacturing facility at Sri City, Andhra Pradesh, over the next 4-5 years.
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This analysis is AI-generated based on publicly available earnings data and concall transcripts. This is not investment advice. Please consult a SEBI-registered advisor before making investment decisions.