LG Electronics India delivered impressive first-quarter results with revenue growth of 15% year-on-year, significantly accelerating from the 8% growth recorded in the March quarter. According to reports from Business Standard, the company's overall operating profit margin expanded by 110 basis points year-on-year to 12.5%, surpassing analyst estimates. The strong performance was driven by robust growth across all business segments, with the home entertainment business leading the charge. This robust performance comes amid India's broader economic resilience, with the country's GDP growing 7.8% in Q1 FY27, surpassing expectations and indicating strong underlying growth momentum.
The home entertainment business emerged as the standout performer with 22% year-on-year growth, marking the second consecutive quarter of 25% growth. As reported by Business Standard, televisions with sizes over 55 inches grew 53% and now contribute 50% of the TV segment. The company's TV market share increased to 26% (usually ranging between 25-27%), while OLED market share remained stable at 59%. The segment's margins expanded significantly by 340 basis points year-on-year to 19.1%, driven by premiumisation, higher realisations, and operating leverage. This performance aligns with India's manufacturing sector showing strong growth of 9.2% in Q1 FY27, indicating robust demand for consumer electronics.
The home appliances and air solutions segment posted strong performance with 13.6% year-on-year growth, with every major category delivering double-digit growth. According to Business Standard, air conditioners and refrigerators benefited from peak summer demand, while washing machines saw strong growth ahead of the seasonal peak. The company's Essential Series, comprising mass-market, made-in-India home appliances, achieved sales volume of 0.5 million units in the first half of CY26. Current localisation stands at 55%, with the company targeting improvement of 2-3% annually and raising local manufacturing to 65% in the next three to four years.
LG Electronics is accelerating its business-to-business transformation by renovating commercial display hubs worldwide. The company currently operates 52 Business Innovation Centers (BICs) across 42 countries, with recent renovations in Hong Kong and Malaysia, and planned upgrades for Philippines and Brazil in the second half of the year. LG has set an ambitious target of raising B2B's share of total sales to 45% by 2030, pushing across commercial displays, automotive components, and commercial HVAC solutions. The Media Solution division, handling display business, swung from a loss last year to operating profit exceeding ₹3,630 crore ($363 million) in the first half of this year, with Q1 operating profit of ₹3,718 crore.
