LG Energy Solution Q2 2026 profit rebound

In early July 2026 LG Energy Solution warned of a steep 77 % drop in quarterly profit as EV demand weakened in North America. By late July the company disclosed a Q2 net loss of 328.6 billion won, with operating profit falling to 113.3 billion won, while its energy‑storage‑system (ESS) segment grew 4.6‑times year‑on‑year and reached the high‑20 % share of revenue. The loss was linked to sluggish EV sales and temporary shutdowns at its Ultium Cells plants, but was partially offset by a U.S. Inflation Reduction Act tax credit of 241 billion won.

On 29 July, U.S. integrator FlexGen launched its European operations, highlighting rising demand for grid‑scale storage. LG Energy Solution reported a return to operating profit for Q2, driven by a more than four‑fold increase in ESS revenue, and projected over 50 GWh of North‑American storage capacity by year‑end.

A day later, LG Energy Solution confirmed the profit turnaround, posting consolidated Q2 revenue of 7.56 trillion won and operating profit of 113.3 billion won (1.5 % margin). The rebound was powered by the ESS surge, strong pouch‑cell orders for European EV customers, and the same U.S. tax credit. Samsung SDI and SK On also recorded profits after multiple quarters of losses, citing ESS, UPS and data‑centre battery demand. The three South Korean makers expect continued ESS expansion, with LG planning to double its North‑American ESS capacity in the second half of the year and raise shipments by roughly 50 % in Q3.