How did exchange-rate movements affect LG Innotek’s third-quarter profitability?

LG Innotek bought raw materials in the first half of the year when the won was weaker against the U.S. dollar. By the time it began mass-producing and shipping products in the third quarter, the won had strengthened sharply, which the company said weighed on profitability.

What drove LG Innotek’s third-quarter optical solutions sales growth?

The division expanded supplies of high-value-added camera modules for mobile devices after starting mass production of new products. Shipments of automotive cameras to North American customers also increased.

How did LG Innotek’s third-quarter sales compare with its profit results?

Sales increased 18.6 percent year on year to 6.36 trillion won, while net profit fell 25.8 percent and operating profit dropped 53.4 percent. Revenue rose across all of the company’s business segments.

LG Innotek Q3 net down 25.8% on fluctuating exchange rate

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Summary

LG Innotek reported lower third-quarter profits on Tuesday as exchange-rate fluctuations weighed on profitability. Net profit for July-September fell 25.8 percent year on year to 95.2 billion won, while operating profit declined 53.4 percent to 94.8 billion won. Sales rose 18.6 percent to a third-quarter record of 6.36 trillion won, with revenue increasing across all business segments. The company said higher sales reflected expanded supplies of high-value camera modules and increased shipments of automotive cameras to North American customers.

Key Facts

LG Innotek said the won weakened against the U.S. dollar when it bought raw materials in the first half of the year, then strengthened sharply as the company began mass-producing and shipping products in the third quarter.
Third-quarter sales exceeded 6 trillion won for the first time in that period and reached a record high.
The optical solutions division, which produces camera modules, recorded sales of 5.4 trillion won, up 20.6 percent year on year.
The company attributed optical solutions growth to mass production of new products and expanded supplies of high-value-added camera modules for mobile devices.

By Yonhap

Published Oct 27, 2026 3:51 pm KST
Updated Oct 27, 2026 4:39 pm KST

LG Innotek's headquarters in Gangseo District, Seoul / Courtesy of LG Innotek

LG Innotek, an electronic components manufacturer under LG Group, said Tuesday its third-quarter net profit fell 25.8 percent from a year earlier, as exchange-rate fluctuations weighed on profitability.

Net profit for the July-September period came to 95.2 billion won ($71.9 million), down 128.4 billion won from a year earlier, the company said in a regulatory filing.

LG Innotek said its net profit declined as the Korean won weakened against the U.S. dollar when it purchased raw materials in the first half of the year but strengthened sharply by the time the company began mass-producing and shipping products in the third quarter.

Operating profit for the cited period fell 53.4 percent on-year to 94.8 billion won.

Sales, on the other hand, rose 18.6 percent to 6.36 trillion won, surpassing 6 trillion won for the first time in the third quarter and reaching a record high for the period.

Revenue increased across all business segments from a year earlier.

The optical solutions division, which produces camera modules, posted sales of 5.4 trillion won, up 20.6 percent from a year earlier.

The growth came as LG Innotek expanded supplies of high-value-added camera modules for mobile devices following the start of mass production for new products.

Shipments of automotive cameras to North American customers also increased.

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