LG Electronics India saw its net profit decline by 27.3 per cent due to margin pressures witnessed in the second quarter.
Its net sales in the quarter marginally rose 0.9 per cent to Rs 6,170.4 crore in the July-September quarter.
The appliances major saw its profit before interest, depreciation and taxes (PBIDT) drop 23.8 per cent to Rs 627.3 crore in the quarter, and it said in its release that it witnessed margin pressures due to the combined impact of rising commodity prices and incremental investments in festive go-to-market initiatives, to support the company’s distributors during tough market conditions.
The company has two business segments - the Home Appliance & Air Solutions (H&A) segment and the Home Entertainment (HE) segment.
H&A includes air conditioners, refrigerators, microwave ovens, washing machines, dishwashers, compressors, HVAC, water purifiers and air purifiers.
The HE segment includes televisions (Flat panel, signage, projectors, monitor TV), audio visual, monitors and personal computers.
“The H&A segment maintained its market leadership in Q2FY26, recording growth across key categories.
"While the GST revised rate announcement temporarily deferred consumer purchase, LGEIL’s strong brand equity and resilient distribution network helped strengthen its premium market share,” the company said in its results release.
It also said that going forward, supported by the recent GST rate cut and seasonal demand from festive and wedding period, it remains confident about future growth across all product categories.
Hong Ju Jeon, managing director at LG Electronics India said in the release, "H1 of 2026 presented some macroeconomic headwinds including a cool summer, geo-political challenges, tariffs, and forex fluctuations.
"Despite this, our team in India demonstrated resilience sales growth, gaining market share and maintaining stable profitability.”
He added, “This performance underscores the strength of our operational execution and the deep trust consumers place in our brand.
"This is a reflection of our strong fundamentals and reinforces our continued commitment to our India growth story.
"We are now strategically accelerating our future growth by expanding our domestic footprint followed by our focus on ramping up exports as global conditions normalise.”
Jeon also said that the construction of the company’s third plant is progressing as per schedule and its new product line, LG Essential Series is supporting the company’s growth in Tier 2 and 3 markets.
“Our focus remains clear: to deliver cutting-edge technology that enriches the lives of our customers and solidifies our position as India’s most loved brand,” he said.
