LG Energy Solution posts Q2 profit without US tax credits

LG Energy Solution is expected to post an operating profit in the second quarter without relying on U.S. tax benefits, driven by strong battery sales in the United States, the nation’s leading battery maker said Monday. Operating profit likely surged to 492.2 billion won ($361.2 million) from April to June, up 195.3 billion won from a year earlier, despite a 9.7 percent drop in revenue to 5.56 trillion won from 6.16 trillion won amid an overall slowdown in electric vehicle sales. The turnaround is especially notable as the projected profit excludes tax credits from the U.S. Inflation Reduction Act. The company has benefited from the law’s Advanced Manufacturing Production Credit (AMPC). Tax benefits received under the AMPC amounted to 490.8 billion won in the second quarter. Excluding the AMPC credits, the company’s operating profit stood at 1.4 billion won — the first time it has posted a profit without the subsidies since the fourth quarter of 2023, when it logged 88.1 billion won. “Increased shipments of battery products for our customers, including Hyundai Motor, Kia and GeWeiter zum vollständigen Artikel bei Korea Times Weiter zum vollständigen Artikel bei Korea Times