LS, the holding company of LS Group, posted second-quarter sales of 11.02 trillion won and operating profit of 596.5 billion won ($422 million), the company announced Friday, driven by surging electricity demand tied to AI infrastructure. Both figures set all-time quarterly records, rising 40 percent and 153 percent, respectively, from the same period a year earlier.
Cumulative first-half operating profit reached 1.07 trillion won, surpassing the group's full-year 2025 operating profit of 1.05 trillion won in just six months. The combined order backlog as of the end of the first half also reached approximately 20 trillion won.
A breakdown by subsidiary shows AI data center value-chain products leading growth. LS Cable & System drove exports with high-value offerings including ultra-high-voltage submarine cables and bus ducts — power supply systems for AI data centers in the United States. LS Electric saw a sharp increase in profitability from AI data center power facility project orders and ultra-high-voltage transformers.
LS MnM posted a significant improvement in operating profit on the back of strong premiums for electrolytic copper and rising prices for precious metals and sulfuric acid products. LS I&D recorded a steep year-on-year increase in operating profit as demand for specialty transformer windings surged, led by its North American subsidiary Essex Solutions.
To sustain this momentum, LS is continuing large-scale investment in power infrastructure. Projects currently underway include LS Cable & System's submarine cable factory in Virginia and LS Electric's Bastrop campus in Texas and its Utah facility.
The group is also expanding investment in future growth areas, including secondary battery materials and critical minerals such as rare earths. LS MnM in Onsan and LS-L&F Battery Solutions in Saemangeum are building a battery materials value chain covering nickel sulfate and precursors, while LS Cable & System and LS Eco Energy are working to secure a stable supply base for nationally critical materials including rare earths.
"Rather than resting on the strong results our key subsidiaries have achieved amid the power super-cycle, we will reinvest in our core domestic and overseas businesses as well as new ventures to build a foundation for the group's sustained growth," an LS official said. "We will also secure the financial soundness to weather any market volatility through stable risk management and disciplined operations."
klee@heraldcorp.com
