LG Chemical released the performance report for the third quarter of 2021. Che Dongxi, CFO of LG Chemical, said, "although the internal and external situation is uncertain, the trend of continuous growth in sales and strong profitability of the company remains unchanged." he also stressed: "LG Chemical will focus on developing environmental protection and sustainable business, further expand battery material business, strengthen clinical investment in new drug research and development, and become a sustainable enterprise."

Sales reached US $9.16 billion, a year-on-year increase of 41.4%.

The operating profit was USD 630 million, a year-on-year decrease of 19.6%.

Third quarter performance and fourth quarter forecast of various business areas

petrochemical industry

Sales of USD 4.86 billion and operating profit of USD 940 million

In the last quarter, the demand of overheated downstream industries fell partially, and the profitability decreased slightly, but the product demand continued to be strong, hitting a new high in quarterly sales.

In the fourth quarter, Korea's Dashan naphtha cracking plant (NCC) will carry out regular maintenance, but due to factors such as China's power rationing and rising coal prices, the performance is expected to remain stable.

advanced materials 

Sales of USD 1 billion and operating profit of USD 40 million

Due to the supply and demand problems of automotive semiconductors in downstream industries, the shipment volume decreased, and the sales volume and profitability decreased month on month.

In the fourth quarter, with the IT material market entering the off-season, the seasonal impact and the supply and demand problems of downstream industries will continue to exist. However, the cutting-edge materials business department will expand the business areas centered on battery materials (such as the diaphragm business planned to be launched), and the sales are expected to maintain a steady growth.

life sciences

Sales volume of USD 150 million and operating profit of USD 10 million

Factors such as restructuring China's sales network and regular maintenance of some production lines led to a decline in sales and profitability month on month.

With the increase of the supply and market share of major products such as eucept and polio vaccine, the sales in the fourth quarter is expected to increase.

LG new energy

Sales of USD 3.48 billion and operating loss of USD 320 million

The production resistance of downstream industries led to the decline of electric vehicle sales, but thanks to the strong demand for cylindrical batteries in the field of electric vehicles and it, the operating profit margin performed well. Due to the additional deduction of GM's recall reserve, it was in a loss state as a whole.

In the fourth quarter, the sales of electric vehicles are expected to pick up, and the demand in the IT field will also further grow. At the same time, it will also enhance profitability by continuously improving product quality and strengthening the strength of the value chain.

Farm Hannong

Sales of USD 110 million and operating profit of USD 110 million

Although the prices of raw materials rose, the shipments of crop protectants and chemical fertilizers increased, and the sales and profitability improved year-on-year.

In the fourth quarter, efforts will be made to explore overseas markets by strengthening and improving the product portfolio, and the performance is expected to be improved.