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LG Energy Solution

PublicKRX: 373220Founded 2020🇰🇷Seoul, South KoreaCEO Kim Dong-myung

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LG Energy Solution is the largest battery manufacturer outside China and the West's main hedge against Chinese dominance of the cell supply chain.

Latest update Oct 12, 2026

01

Overview

Spun out of LG Chem on December 1, 2020 from a battery division that dates to 1992, it listed on the Korea Exchange in January 2022 in a KRW12.75 trillion (about $10.7B) offering, still South Korea's largest IPO ever. It ranks third globally in EV batteries with 8.3% share and 60.3 GWh installed from January through July 2026, supplying GM, Tesla, Ford, Hyundai, Stellantis, Honda and Toyota through wholly owned plants in Korea, Poland and Michigan and joint ventures including Ultium Cells with GM, NextStar Energy with Stellantis and L-H Battery with Honda. With Western EV demand flat and the US federal tax credit gone, LGES has swung North American capacity toward grid storage: its $1.4B Holland, Michigan plant is the first large-scale LFP cell factory in the United States, is scaling from 17 GWh to more than 30 GWh by the end of 2026, and its output is sold out three to five years ahead. The all-new Lansing, Michigan plant started production on August 18, 2026, and GM and LG converted Ultium Cells 2 in Spring Hill, Tennessee from EV cells to LFP storage cells. FY2025 revenue was KRW23.7T. On Oct. 8, 2026 the company posted a K-IFRS Q3 estimate of KRW 9.6434 trillion in sales and KRW 756.0 billion in operating profit, including KRW 416.9 billion of U.S. IRA 45X and other North American production credits; excluding them, sales were KRW 9.2265 trillion and operating profit KRW 339.1 billion. Those figures are unaudited. A detailed IR call is scheduled for Nov. 3, 2026. The same day it signed a binding offtake with Elevra Lithium for 240,000 dry metric tonnes of Quebec spodumene concentrate, with first deliveries expected later in 2026. Full-year 2026 revenue-growth guidance remains 20% or more, with ESS sales more than tripling.

lg.co.krUpdated Oct 12, 2026

Analysis · 5 min read · Aug 27, 2026The long view on LG Energy Solution: strategy, technology and what to watch

02

What's next9

All milestones

  1. Later 2026

    Take first Elevra NAL spodumene shipments

    news.lgensol.com

  2. Late 2026

    Ramp Spring Hill LFP output and win data-center storage customers

    With JF2 LFP cell mass production now live at Spring Hill, the next test is ramping output and converting the ESS pipeline (grid-scale, renewable-linked and AI data center projects) into signed supply contracts, following the same playbook as the Holland, Michigan plant. LGES's US system-integrator arm, LG ES Vertech, is separately targeting delivery of 50 GWh of US BESS projects in 2026, including a multi-year, 5 GWh supply and lifecycle-services deal with Qcells announced in February 2026.

    energy-storage.news

  3. Nov 3, 2026

    Publish audited Q3 2026 IR materials

    stockanalysis.com

  4. Q4 2026

    Ramp Ohio Ultium Plant 1 to full EV cell output

    Ultium Cells' Warren (Lordstown), Ohio plant resumed NCMA pouch-cell production for GM's Chevrolet Equinox EV and Cadillac Lyriq on August 18, 2026, ahead of its original Q4 2026 target. The plant - annual capacity above 45 GWh - now needs to ramp from restart back to steady-state output with its roughly 1,400 recalled workers, testing whether the EV demand recovery that triggered the recall holds through the rest of 2026.

    detroitnews.com

  5. Year-end 2026

    More than triple ESS sales in 2026

    LGES guided to annual revenue growth in the mid-teens to 20% with ESS sales more than tripling year over year while EV revenue declines. On the July 30, 2026 Q2 earnings call management reiterated full-year revenue growth of 20%+ as "comfortably achievable" on doubling ESS output, and guided Q3 ESS shipments up at least 50% quarter over quarter as new North American capacity comes online - the clearest single test of whether the grid-storage pivot can carry the company through the EV downturn.

    prnewswire.com

03

Latest news9

All news

  1. LG Energy Solution posts KRW 9.64 trillion Q3 sales

    LG Energy Solution's Oct. 8 preliminary filing put Q3 2026 consolidated sales at KRW 9.6434 trillion and operating profit at KRW 756.0 billion, up 59.0% and 25.7% from a year earlier. Those figures include KRW 416.9 billion of U.S. IRA 45X and other North American production credits; without them, operating profit was KRW 339.1 billion. The company said the print is an unaudited K-IFRS estimate, and a spokesperson pointed to North American energy-storage shipments and pouch cells for lower-priced European EVs.

    www.lg.co.kr www.newswire.co.kr www.koreajoongangdaily.com en.yna.co.kr en.sedaily.com

  2. LG Energy and Hyundai start used-battery ESS pilot

    Hyundai Motor, Kia, LG Energy Solution, Hyundai Engineering and Wonik PNE launched Korea's first used-battery energy storage pilot tied to EV fast charging on September 10, 2026 at Wonik PNE's Hwaseong site. The 200 kWh UBESS uses retired E-GMP packs, stores power in off-peak hours and feeds fast chargers at peak rates. LG Energy Solution builds the system and runs performance and safety checks; Hyundai and Kia lead technical verification and business-model work.

    The Korea Herald Hyundai Motor Group

  3. LG Energy and SNU extend LMR battery cycle life

    LG Energy Solution said on September 7, 2026 that joint work with Seoul National University's Jongwoo Lim lab, published in Nature Communications, suppressed gas generation in lithium manganese-rich cells by changing the voltage window and formation process rather than the cathode chemistry. Lowering charge cutoff from 4.6 V to 4.3 V raised oxygen recovery from 86% to 97%, and a 2.0 V discharge cutoff plus cooler formation let 40 Ah cells keep 92.2% of initial energy after 883 cycles. The company said the result supports using cheaper, cobalt-free LMR materials in large-format EV cells.

    PR Newswire (LG Energy Solution) The Korea Herald Automotive World

  4. LG Energy Solution locks in 10-year Arkansas lithium supply

    Smackover Lithium, a joint venture of Standard Lithium and Equinor, announced a binding take-or-pay agreement to supply LG Energy Solution with 8,000 metric tonnes per year of battery-quality lithium carbonate over 10 years from its South West Arkansas direct-lithium-extraction project, with deliveries tied to commercial production starting in 2029. Combined with an earlier Trafigura offtake, roughly 90% of the project's targeted volume is now committed, moving it closer to a final investment decision and giving LG Energy Solution a US-sourced lithium supply for its North American cell plants.

    PR Newswire Mining Weekly

  5. LG Energy Solution starts production at Lansing battery plant

    LG Energy Solution began production on August 18, 2026 at its all-new Lansing, Michigan battery plant, a site it took over outright after GM exited what was originally planned as a third Ultium Cells joint-venture factory. The 226-acre facility has drawn more than $2 billion of investment since 2022, targets over 35 GWh of annual capacity, and will make LFP cells for grid storage plus NMC cells for Toyota's 2027 electric Highlander, with roughly 900 workers on site growing toward 1,700.

    LG Energy Solution electrive.com

04

Products2

05

Key metrics

Employees
32,000+
Est. annual revenue
KRW 9.6434 trillion
Global EV battery market share
8.3%

(60.3 GWh, Jan-Jul 2026, up 4.5% YoY on installations) - third worldwide and the largest non-Chinese maker, down from 9.6% a year earlier and from 8.6% in H1 2026 as growth lagged the 20.4% global market

FY2025 results
KRW23.7T revenue

KRW1.3T operating profit (5.7% margin including US production incentive)

Q2 2026 results
KRW7.5602T revenue

(up 24.8% YoY, 15.3% QoQ); KRW113.3B operating profit, ending three straight quarterly losses, though a KRW241.2B non-operating loss (interest expense and asset disposals) left a net loss of KRW328.6B for the quarter

H1 2026 ESS revenue growth

Up 4.6x year over year, reaching the high-20% range of total revenue; new ESS orders topped KRW3T

2026 guidance

Revenue growth guidance reiterated at 20%+ year over year on the Q2 2026 earnings call (July 30). Q3 2026 preliminary sales of KRW 9.6434 trillion were up 27.6% quarter over quarter, above the more-than-20% QoQ sales guide; ESS versus EV split, net profit and whether ESS is profitable excluding U.S. incentives remain for the Nov. 3, 2026 IR call.

North America ESS capacity

Ramping past 50 GWh by end-2026 across five North American sites (LGES-owned Holland and Lansing, Michigan; NextStar Energy in Windsor, Ontario; and joint ventures L-H Battery in Ohio and Ultium Cells 2 in Spring Hill, Tennessee) - about 80% of LGES's global ESS capacity; Holland alone scales from 17 GWh at end-2025 to over 30 GWh by end-2026, with output booked out 3-5 years. Lansing started production August 18, 2026 and is still ramping toward more than 35 GWh at full scale.

Market cap
KRW 93.83T as of Oct

8, 2026 close (KRW 401,000) on 234.00M shares, up from KRW 85.41T at KRW 365,000 on Sept. 10

Customers and joint ventures
GM

(Ultium Cells), Stellantis (NextStar Energy), Honda (L-H Battery), Hyundai, plus supply to Tesla, Ford, Toyota and Mercedes-Benz. The all-new Lansing, Michigan plant (formerly a planned third GM Ultium JV site, now wholly LGES-owned) started production August 18-19, 2026, making LFP cells for grid storage and NMC cells for Toyota's 2027 electric Highlander; Tesla-specific LFP prismatic cells for Megapack 3, under the $4.3B, three-year deal confirmed by the US government in March 2026, remain on track to begin in 2027

Q3 2026 preliminary sales / operating profit
KRW 9.6434 trillion / KRW 756.0 billion

06

Operations & revenue

Operating status

Operational - Q3 sales record on ESS pivot, profit still credit-heavy

On Oct. 8, 2026 LG Energy Solution posted a K-IFRS consolidated estimate of KRW 9.6434 trillion Q3 sales (+59.0% YoY, +27.6% QoQ) and KRW 756.0 billion operating profit (+25.7% YoY, +567.3% QoQ), including KRW 416.9 billion of U.S. IRA 45X and other North American production credits; excluding them, sales were KRW 9.2265 trillion and operating profit KRW 339.1 billion (3.7% margin). Nine-month operating profit was KRW 661.6 billion, down 54.9% YoY, on KRW 23.7586 trillion of sales. Figures are unaudited; a detailed IR call is scheduled for Nov. 3, 2026. The same day it signed a binding offtake with Elevra Lithium for 240,000 dry metric tonnes of Quebec spodumene concentrate, with first deliveries expected later in 2026. On Sept. 22 its AC-coupled BESS qualified as NVIDIA DSX Ready. The company remains in a pivot from EV cells toward grid storage across Holland and Lansing, Michigan; NextStar in Windsor; L-H Battery in Ohio; and Ultium Cells 2 in Spring Hill.

Revenue streams

  • EV battery cells and modules

    Pouch and cylindrical cells for GM, Tesla, Ford, Hyundai, Stellantis, Honda and Toyota, built in Korea, Poland, Michigan and a network of automaker joint ventures. Still the largest stream, but revenue is guided to decline in 2026.

  • Energy storage system batteries

    LFP cells for grid-scale storage, made across five North American sites: Holland and the newly launched Lansing, Michigan, NextStar in Windsor, Ontario, and joint ventures L-H Battery (Ohio) and Ultium Cells 2 (Spring Hill, Tennessee). The fastest-growing stream by far, with 2026 sales guided to more than triple and combined North American capacity set to exceed 50 GWh (about 80% of LGES's global ESS output) with output booked out several years ahead.

  • North American production incentives

    Advanced Manufacturing Production Credits on US-made cells, worth KRW241B in Q2 2026 alone and a material component of reported operating profit.

07

Track record

How past announced dates turned out.

3/4announced dates hit on time

  • 3 Hit
  • 0 Slipped
  • 1 Missed
  1. Hit

    Ramp Ohio Ultium Plant 1 back to EV cell production by Q4 2026

    Target Q4 2026 · Resolved Aug 18, 2026

    Ultium Cells resumed NCMA pouch-cell production for GM's EV lineup at its Warren (Lordstown), Ohio plant on August 18, 2026, ahead of the original Q4 2026 target, completing a staged recall of roughly 1,400 workers that ran from July 27 through mid-August after a seven-month shutdown triggered by weak EV demand.

    Original targetOutcome
  2. Hit

    Convert the Spring Hill Ultium plant to LFP storage cells

    Target 2026 · Resolved Jul 8, 2026

    Ultium Cells began mass production of JF2 LFP battery cells for energy storage systems at Spring Hill, Tennessee in July 2026, completing the conversion in under five months on a $70M retooling investment. The roughly 700 workers furloughed in January 2026 are returning to work for the LFP line, which supplies grid-scale, renewable-linked and data-center storage projects in North America.

    Original targetOutcome
  3. Missed

    Grow 2025 revenue by 5% to 10%

    Target Year-end 2025 · Resolved Jan 28, 2026

    Revenue fell instead of growing, coming in at KRW23.7T for 2025 against KRW25.6T in 2024, as major customers' EV sales slowed faster than ESS growth could offset. Operating profit did improve to KRW1.3T on a better product mix, material cost efficiency and North American production incentives.

    Original targetOutcome
  4. Hit

    Start LFP cell production at the Holland, Michigan plant in 2025

    Target 2025 · Resolved Jun 30, 2025

    LGES began producing LFP cells for energy storage at Holland, Michigan in June 2025 on two lines, adding a third by year end and reaching 17 GWh of annual capacity. It is the first large-scale LFP cell plant in the United States.

    Original targetOutcome

08

Timeline16

  1. 2026

    1. BESS qualifies as NVIDIA DSX Ready

      On Sept. 22, 2026 LG Energy Solution said its AC-coupled BESS qualified as NVIDIA DSX Ready. NVIDIA's Sept. 21 blog listed LG Energy Solution with Hitachi Energy and Tesla as the first qualified BESS partners. LGES described modular 2.5 MW / 5.1 MWh blocks. NVIDIA said passing qualification does not replace site-level engineering and is not a volume contract.

    2. Signs Elevra Quebec spodumene offtake

      On Oct. 8, 2026 LG Energy Solution said it signed a binding offtake with Elevra Lithium for 240,000 dry metric tonnes of spodumene concentrate from the already-operating North American Lithium mine in Quebec, with supply starting later in 2026. LGES calls this a four-year supply. Elevra's same-day release calls it a three-year term from first shipment, with 30,000 dmt in 2026, 60,000 in 2027 and 2028, and 90,000 in 2029, plus up to 90,000 dmt optional. Pricing is market-linked. This is concentrate, not the August Smackover Lithium carbonate offtake.

    3. Posts KRW 9.64 trillion Q3 preliminary sales

      On Oct. 8, 2026 LG Energy Solution disclosed a K-IFRS consolidated estimate of KRW 9.6434 trillion in Q3 sales and KRW 756.0 billion in operating profit, including KRW 416.9 billion of U.S. IRA 45X and other North American production credits. Excluding those credits, sales were KRW 9.2265 trillion and operating profit KRW 339.1 billion. The figures are unaudited; a detailed IR call is scheduled for Nov. 3.

    4. Starts Hyundai used-battery ESS pilot in Hwaseong

      On September 10, 2026 Hyundai Motor, Kia, LG Energy Solution, Hyundai Engineering and Wonik PNE launched Korea's first used-battery energy storage demonstration tied to EV fast charging at Wonik PNE's Dongtan site in Hwaseong. The 200 kWh UBESS uses retired E-GMP packs, stores off-peak electricity and supplies fast chargers at peak rates. LG Energy Solution builds the system and verifies performance and safety; Hyundai and Kia lead technical verification and business-model work.

    5. LMR cells keep 92.2% energy after 883 cycles

      On September 7, 2026 LG Energy Solution said joint research with Seoul National University's Jongwoo Lim lab, published in Nature Communications, suppressed gas generation in lithium manganese-rich cells by changing the voltage window and formation process. Lowering charge cutoff from 4.6 V to 4.3 V raised oxygen recovery from 86% to 97%, and a 2.0 V discharge cutoff plus cooler formation let 40 Ah-class cells retain 92.2% of initial energy after 883 cycles, a step toward using cheaper, cobalt-free LMR cathodes in large-format EV cells.

    6. Signs 10-year Arkansas lithium offtake with Smackover Lithium

      Smackover Lithium, a joint venture of Standard Lithium and Equinor, announced around September 1, 2026 a binding take-or-pay agreement to supply LG Energy Solution with 8,000 metric tonnes per year of battery-quality lithium carbonate over 10 years from its South West Arkansas direct-lithium-extraction project, with deliveries tied to commercial production starting in 2029. Combined with an earlier Trafigura offtake, roughly 90% of the project's targeted volume is now committed, moving it closer to a final investment decision and giving LGES a US-sourced lithium supply for its North American cell plants.

    7. L-H Battery sells its Ohio plant building to Honda for $2.86B

      LGES said on August 10, 2026 that its L-H Battery joint venture with Honda will sell the building and related structures at their Ohio battery plant to a Honda US manufacturing unit for $2.86B in a sale-and-leaseback deal, excluding land and equipment. LGES said the transaction does not change its ownership stake in the joint venture, announced in 2022 with a combined $4.4B investment to supply battery cells for Honda's North American EV lineup.

    8. Spring Hill LFP conversion completed; mass production begins

      Ultium Cells starts mass production of JF2 LFP battery cells for energy storage at Spring Hill, Tennessee in July 2026, completing the EV-to-storage conversion in under five months on a $70M retooling investment and bringing back roughly 700 furloughed workers.

09

Funding

$10.7Bdisclosed across 1 round with a stated amount

  1. Spin-off from LG Chem

    Dec 2020

    Corporate separation

    LG Chem (retains ~81%)

  2. IPO (Korea Exchange)

    Jan 2022

    KRW12.75T (~$10.7B)

    Public markets (KRX: 373220); South Korea's largest IPO ever, more than double the previous record

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